Find out how social trading is transforming the crypto landscape

[La56]

Cryptocurrencies are evolving fast. They’re offering exciting investment opportunities for investors, traders and businesses. Since the rise of the Bitcoins in 2017, more and more countries are paying attention to the way cryptos are changing the global economy.
As more crypto coins are emerging, many believe this digitised currency format to be the future store of value.
Despite the immense popularity cryptos have earned, many traders lack the confidence and knowledge to trade well. That eventually discourages most of them to turn a profit in the crypto world.

So, what’s the solution?
Well, these speculators need quality guidance so that they can trade well and invest for a longer term. After all, every investor will like to invest in an asset whose market cap is touching $536 billion mark. (This market capitalisation figure was calculated during the first week of Nov 2020.)
That’s precisely where social trading, or copy trading, kicks in.
How social trading is revolutionising the crypto world?
The investors in the crypto space face stunted growth because most of them aren’t tech savvy. Some of them don’t have the time to research the most investible crypto assets. Besides, there are some other things—security concerns, volatility of crypto assets, dishonest projects, identity verification red tape—that don’t let the new investors easily navigate the crypto waters.
In a traditional financial market, many investors don’t take the investment decisions by themselves. Instead, they leave all that heavy lifting for the professionals to do. However, right now, the crypto space isn’t that matured to have professional traders.
So, how do novice investors break into the crypto space that’s either too time consuming to understand or too complicated?
Enter social trading.

So, what’s social trading?
Less experienced traders or investors often find it difficult to make the best trading decisions related to crypto money. That’s when they look for something—or someone—that’ll help them make better traders and take good decisions.
That’s when they look for social trading.
In social trading, traders base their decisions on the ones that are taken by other skilled investors. Plus, the traders who’re part of a social trading platform will take decisions only after analysing tons of financial data that it generates.
In simpler words, once the less-experienced traders identify a successful trader, they’ll follow that person’s trading strategy and begin copying that individual’s trades.

[davinchi]

Copy trading has been a thing for over a year now and it has always lacked a lot of stuff. The moment some places managed to build a software that allows you to have full control over your money but could also copy someone elses trades instantly and automatically without giving the control of your money to someone else, it became very popular.

After all you can stop copying people and just cash out whenever you want, and you are trading exactly the same way as someone who is 10+ years more experienced while even you are sleeping, trading, selling, buying all automatically while you sleep mimicking someone who is a veteran. That is a great deal and when that started (instead of old way where people gave their money to a veteran to handle) it became great, but I still feel there are ton of features lacking in almost all copy trading places.

[dimonstration]

It works well for others, there are exchanges that have features to copy the trades of some users. At that exchange there is a way to see their gains and chances that this trades were in win though that exchange is much popular in Stocks there are some only cryptocurrencies that can be trade and limitid with yet, the only downside it have is that the higher fees in using that exchange, I sometimes wanted to use it too.

[AmoreJaz]

social trading may be of importance to some users but to gain better knowledge in crypto market, i still prefer to do my own trading.  however, not many people have the luxury of time to study the market and learn the tips and tricks that come with crypto trading. this is the reason why many users are opting to social trading. there are pros and cons when it comes to this type of trading.
users that will avail these social trading services, they should keep in mind that these "professional traders" are not perfect. they can make mistakes any time. in crypto, you have no assurance that every project will hit in the market. so closely following them is one key to have idea where they are heading at. traders dont have the crystal ball to know the future of the project. they are just basing also from TAs, experience, history and other variables affecting the market, which vary from one project to another

[davis196]

"Social trading" is a term I don't like to use,because trading financial assets cannot be called "social" and has nothing to do with being social.
Copy trading can be really misleading for many newbies,making them think that trading is easy and they just have to find a good trader and copy his trades.
"Betting" your money on the skills of some trader is still as risky as performing crypto trading by yourself.
I believe that people should be responsible for their own money and never "outsource" that responsibility to someone else.It doesn't matter how experienced a trader is,he could still loose a lot of money,while trading.

[erikoy]

I had been hearing or seeing this kind of strategy to etoro trading platform.where you can copy the known trader in his trading strategies and skills. But trading for me is not all about skill and strategy in trading for cryptocurrency volatility is highly unpredictable and it so hard to.speculate when to sell.or not. The profit in crypto trading will only be matter on how good you are in speculating  bitcoin market prices or crypto prices.

[DooMAD]

As if there wasn't enough manipulation in trading already.  

In game theory, trading is widely considered to be a zero-sum game.  One person's loss is another's gain.  Attempting to copy the trading style of others just puts them in a position to exploit your (now entirely predictable) behaviour.

Don't engage this strategy obvious trap.  Either think for yourself or prepare to lose big time.