Want to start copying trades but don’t know which crypto copy trading platforms to go for? Our guide to the best options will help you make the right choice!Copy Trading ExplainedWhat Makes Crypto Copy Trading Such a Hit with Novice Traders?What are the Best Crypto Copy Trading Platforms for Newcomers?Summary
When beginners take their first tentative steps into the world of cryptocurrency trading, they often decide to copy the most successful traders’ deals. But they become overwhelmed by the sheer number of cryptocurrency trading platforms available.
And so, daunted, they put their idea to invest in cryptos aside – possibly forever.
But copy trading doesn’t have to be so complex.
In this guide, we’ll explore everything you need to know about crypto copy trading platforms, with a comprehensive overview of the best.
Copy Trading Explained
Have you ever heard of social trading? How about mirror trading?
What do these have to do with copy trading, you ask?
Essentially, they’re three different terms for the same process: you directly copy a strategy developed by a seasoned trader, with an aim to achieve the same success they have. Generally, the automatic copy trading mode is considered the best, but there’s a manual option too.
What Makes Crypto Copy Trading Such a Hit with Novice Traders?
Here are four terrific reasons why cryptocurrency copy trading is so popular with newcomers:
- You can learn a lot by copying traders with more experience than you – copy trading is a fantastic educational tool to help you grow
- Copying trades automatically can save you a lot of time (which you can channel elsewhere)
- Crypto copy trading is the simplest, most profitable entry to the global market, with no need for in-depth knowledge
- When you and other traders copy trades from an established trader, you’re all in the same boat – the person who developed the original trade is risking their own funds too
What are the Best Crypto Copy Trading Platforms for Newcomers?
Below, we’ll explore the top seven cryptocurrency copy trading platforms suitable for beginners. This guide will help you make the right decision based on your personal experience, goals, and financial situation.
Zignaly
Zignaly is a social trading platform designed for cryptocurrency investors, and is particularly popular with Binance and KuCoin users.
Zignaly enables investors to create their own trading portfolios by linking various cryptocurrency exchanges via API keys.
How can you copy trades with Zignaly? Just set up your Zignaly account and connect it to your chosen exchange using your API keys. Next, start browsing cryptocurrency traders to find the right one to follow.
How does profit sharing work? Profits of positions will be split between investors (that’s you), the copytrader provider, and Zignaly, along with the success fee. The trader will receive 10% if their success fee rate is 15%, while 5% will go to Zignaly.
And what about the remaining 85%? That’ll be yours.
Overall, Zignaly is an impressive option for anyone interested in copying other crypto traders. It can significantly reduce the stress involved with such a highly volatile market.
What security is available?
Zignaly’s approach to security is robust. Trading orders will be executed on the exchange on your behalf, and your funds will be completely secure as Zignaly has no need for withdrawal rights.
Advantages:
- User-friendly interface
- Trading fees cashback
- Solid copy trading+terminal+bots availability
- Profit sharing model
Disadvantages:
None.
How much does it cost?
You can use Zignaly for free. While copy trading may be free, monthly subscriptions on traders are priced between $5 and $500. You can try the platform for free with a 14-day trial.
Wunderbit
Wunderbit definitely deserves a spot on this list. This advanced crypto copy trading platform provides investors with an environment in which they can copy trades from seasoned crypto traders, or conduct their own trades thanks to custom automated bots. They can also take advantage of smart trading terminals.
Wunderbit supports multiple exchanges, including:
- Binance
- Binance Futures
- FTX
- FTX US
- Deribit
- KuCoin
- Bybit
- HitBTC
- OKEx
- Kraken
What security is available?
Your funds will remain secure when using Wunderbit, due to the platform’s API restriction and 2FA (Two Factor Authentication) functionality.
Advantages:
- Wide range of exchanges
- Transparent trader track records for your peace of mind
- Platform is easy to use
- Your own Buy Sell exchange
- Trusted by more than 2000 users
- Copy trading+terminal+bots availability
- Use it for free for your entire first month
Disadvantages:
- Customer support is slow
- User base is relatively small
- Lack of good traders to be copied
How much does it cost?
With Wunderbit, pricing is based on profit sharing: your first month will be free, but you’ll be required to share 30% of profits every two weeks thereafter. There are no monthly payments.
eToro
It’s fair to say that eToro is a social trading innovator, boasting the most cutting-edge features on the market. You can trade in commodities, Forex, ETF CFDs (contracts for difference), and stocks. It supports more than 16 cryptos.
One of the most exciting features in eToro is the copy trading, which differs from standard models. Social investing enables you to copy the actions of other traders, and adjust the levels of exposure and risk involved.
That means you don’t have to depend on the activities of the other trader, and can reduce your risk of losses as required. Furthermore, this service functions in a similar way to an investment social network, as traders have the option to publish their own blog posts.
eToro Official claims +29.1% average annual profit (of 2019’s 50 most copied traders) for copy traders.
What security is available?
Both the CFA and CySec regulate eToro. Funds are protected by some of the most advanced security protocols in the industry. And there will be no private data sharing unless you provide permission.
Advantages:
- Extensive selection of instruments
- eToro is a regulated, well-known company
- Traders can create their own blogs to communicate with their users
- Copy trading+terminal+bots availability
Disadvantages:
- No cryptocurrency deposits allowed – only $
- Customer support can be slow
- Inactivity fees
- eToro’s verification process can make this a complex platform for newcomers
- Fund withdrawal fee
- Large amount of unprofessional traders
How much does it cost?
Withdrawals cost $5, while eToro Official will also charge for spreads.
Coinmatics
Coinmatics is designed for cryptocurrency copy trading and analytics. This platform was created by Denis Zabauski, and launched in 2018.
Coinmatics is a terrific option for both those starting out in their crypto trading and those with years of experience. It allows investors to copy cryptocurrency deals automatically or manually. And traders can benefit by expanding their subscriber lists and generating profits from their copied deals.
The platform’s key feature is cryptocurrency copy trading, but other services are available. Such as? Analytics, ticker alerts, and crypto arbitrage. More than 3000 registered copy traders and 40 traders are on Coinmatics.
At the time of writing, Binance is the only exchange available to conduct copy trading on Coinmatics. However, the additional services covered above work with Bittrex, Bitfinex, HitBTC, Bitstamp, Exmo, and Poloniex.
These will be added to copy trading in upcoming Coinmatics updates, and Binance copy trading is well worth investigating in the meantime.
The Coinmatics team has stated that it knows risk is inherent in making investments, particularly with such volatile currencies. It aims to mitigate said risk by moderating strategies, as more stable performance leads to higher ratings.
Performance-based rating calculation is an ongoing process, beginning from the moment in which a user adds the strategy to the platform. Coinmatics keeps every strategy’s trading history open, empowering everyone with the insights they need to make independent evaluations.
What security is available?
There are no withdrawal permissions in API key settings, and 2FA helps to protect your account. Credible statistics are available too.
Advantages
- Extra analytical tools for professionals
- Free trial period is unlimited
- Support is efficient and responds quickly
- The interface is intuitive, ideal for beginners
- Strategies rating
Disadvantages
- The number of Coinmatics reviews available online is fairly low
- Lacking Binance Futures and Margin Trading
How much does it cost?
There’s an unlimited free trial period, and profit sharing is in effect.
3Commas
3Commas provides users with copy trading strategies via its marketplace. You can utilize Bitcoin and crypto trading bots, with experienced traders offering a wealth of strategies to be copied.
Browse the strategies available, choose those that suit your goals, and add them to your account. The crypto trading bots will handle the heavy lifting for you, placing buy or sell orders on your behalf.
One of 3Commas’ biggest advantages is the wide variety of cryptocurrency exchanges on which you can automate your crypto trading for maximum convenience. These include:
- Bitfinex
- Bitmex
- Bittrex
- Bybit
- Bybit Testnet
- Binance
- Binance US
- Binance Jersey
- Binance DEX
- Kraken
- Exmo
- Ethereum Wallet
- Huobi
- Huobi US
- KuCoin
- Poloniex
- CEX
- Gate.io
- HitBTC
- Yobit
What security is available?
Your funds will not be held on the 3Commas platform, and trading bots are unable to process withdrawals.
Advantages
- 3Commas has a solid reputation
- A high number of exchanges are supported
- The user-friendly interface suits traders of all skill levels
- 3Commas delivers a positive user experience
Disadvantages
- Customizing bots can be difficult without TradingView
- Automated trading is not supported by every exchange
- Some aspects may be complicated for total newcomers
How much does it cost?
Three plans are available:
- Starter – $14.50 per month
- Pro – $49.90 per month
- Advanced – $24.50 per month
You can take advantage of three-day free access to 3Commas’ PRO plan. But be aware: the Starter plan provides less functionality.
Shrimpy
Shrimpy is a cloud-based platform for crypto traders, enabling you to set up your own asset portfolio, and determine the percentage weighting of each coin’s value within your unique portfolio. You can also configure this to be rebalanced automatically at a given time.
You’ll discover a variety of additional features in Shrimpy, such as Social, which allows you to follow other traders’ strategies. Insights offers … well, insights into other users’ methods of managing their portfolios. Backtesting is available too.
Shrimpy supports a huge range of crypto exchanges, such as:
- Binance
- Binance US
- Bibox
- BitFinex
- Bitmart
- Bitstamp
- Bittrex
- Bittrex Global
- Coinbase Pro
- HitBTC
- Kraken
- Huobi Global
- Gemini
- OKEx
- KuCoin
- Poloniex
What security is available?
API key encryption and 2FA help to protect your data. There’s also a fully secured HTTPS protocol (with SSL).
Advantages
- Well over a dozen exchanges supported
- Impressive security measures
- Rebalancing is automatic
- Solid referral program available
Disadvantages
None.
How much does it cost?
Three plans are available:
- Starter – $19 per month
- Professional – $79 per month
- Enterprise – $299 per month
A free Hodler account allows you to set up your own portfolio and connect it to your preferred exchange account.
With the Professional plan, you’ll have access to key Shrimpy features including Backtesting, Custom Index Builder, Social Trading, Insights, and Rebalancing.
Kryll
Kryll is an automated cryptocurrency trading platform. Traders can leverage its efficient crypto trading bots for automated trading, and its marketplace enables traders to offer their strategies for users looking to copy them.
Kryll suits beginners and experienced traders alike, even those with little to no knowledge of crypto trading.
To start copying trades: Open your free Kryll account, then choose the strategies you want to copy – you can test them for free before you try the standard paid process.
You can also install the Android or iOS app for real-time account tracking on your smartphone.
What security is available?
Kryll provides a direct connection to your exchange accounts through API keys, and there’s no requirement for withdrawal permissions.
Advantages
- Impressive strategy editor
- Mobile app for Android and iOS
- Backtesting is free and unlimited
- TradingView integration
Disadvantages
None.
How much does it cost?
Kryll has an innovative pay-per-use model: it charges 1% of your traded capital. You can conduct free, unlimited backtesting too.
Conclusion
For cryptocurrency investors aiming to earn a passive income, social trading is a hugely popular option – and it’s easy to see why.
Social trading appeals to novices for a number of reasons: it’s all automated, and trades can be processed in the background with buy/sell orders operating 24 hours a day.
These advantages suit professionals too. You don’t have to spend time analyzing charts: just allow someone else to trade for you and copy their strategies. It’s such a convenient way to generate that irresistible passive income.
Still, it’s best that you continue to do your own research before copying traders. Make informed decisions and keep learning about the industry to empower yourself with insights into the latest developments.
