FAQs
What is copy trading?
Copy trading is a trading strategy where individuals mirror the actions of experienced traders in real-time. This leverages the expertise of seasoned traders via dedicated online platforms.
This strategy is particularly beneficial for newcomers to the crypto sphere or those lacking time or market analysis know-how. It offers a more hands-off approach while still enabling learning from experienced traders.
Why copy trading?
Follow Proven Strategies: Instead of navigating the volatile crypto market on your own, you can follow in the footsteps of traders who've consistently demonstrated success.
Simplified Trading: With automated mirroring, your trades are executed based on your chosen trader's decisions, simplifying the decision-making process.
Benefit from Expertise: It's like having a mentor by your side. Copy trading lets you harness the knowledge and strategies of seasoned traders, giving you an edge.
Perfect Starting Point: For those new to trading, it's a valuable tool. It not only offers a chance to learn from the best but also provides a more hands-off introduction to the market dynamics.
Why is Alfred different from other copytrading platforms?
Three simple reasons:
Your keys, your crypto, your earnings: Alfred operates with the principle of utmost transparency. We don't hold onto your assets. Instead, your funds remain securely in your hands, giving you complete autonomy. With Alfred, there's no need for KYC verifications or sharing your email address. You just need your wallet to get started.
Hassle-free experience: Dive into the world of copy trading without the tedious paperwork. Alfred's user-friendly interface ensures you can connect your crypto wallet, explore top traders, and start mirroring their strategies with just a few clicks.
Access to Elite Trader Data: Alfred has unparalleled access to the trading data of GMX's top performers. Through advanced analytics, we're privy to insights that no one else possesses. This means that Alfred users get a front-row seat to strategies and moves of the best in the business, an advantage that's hard to find elsewhere.
What fees do I need to pay when I copy trade?
Alfred has no platform fee. However, there are two minor charges that are required to protect you and your funds:
Reserve and Transaction Fees: Alfred reserves 5 USDC.e and 2 USDC.e for transaction fees from your deposited amount. You will receive this amount back on withdrawal. The 2 USDC.e for transaction fees gets converted to WETH during deposit and back to USDC.e during withdrawal, deducting the spent WETH.
Reserved Fund Purpose: The 5 USDC.e reserve safeguards against situations where your entire funds are tied up in a trade and transaction fees are required to close the position. This ensures that the 0.3% to 0.7% fees for position closure can be covered from this reserve. Without this fund, if your funds are engaged and there's no reserve, Alfred might be unable to close a position, potentially leading to losses.
Which platform does Alfred use for copytrading?
Alfred utilizes the GMX platform for its copy trading services. GMX is a Decentralized Perpetual Exchange that enables users to trade top cryptocurrencies with upto a leverage of 50X directly from their wallets. Alfred's choice of GMX stems from its decentralized nature. GMX stands out with low swapping fees, potentially zero price impact trades, and relatively low gas fees due to its deployment on Arbitrum or Avalanche rather than Ethereum's base layer blockchain.
What crypto is supported for copy trading on Alfred?
As a fellow crypto trader, you might be wondering about the range of supported cryptocurrencies for copy trading on Alfred. Rest assured, Alfred's platform is aligned with your trading preferences. We accommodate all the diverse cryptocurrencies available on the GMX platform. This means you can easily mirror the trading activities of professional traders dealing with a variety of cryptocurrencies, providing you with a comprehensive and flexible copy trading experience.
What is the minimum amount I can use Alfred with?
The recommended minimum to start with on Alfred is $100, yet you can begin with as little as $20.
How do I select a master trader to copy?
Review Leaderboard: Explore Alfred's Leaderboard to identify top-performing traders based on various criteria.
Explore Specialized Sections: Check out dedicated sections like Pro Scalpers and Alpha traders, which showcase skilled traders with specific trading styles.
Analyze Data: Review the provided data for each trader, considering their 30-day PnL, ROI, win rate %, and more to make an informed decision.
How do I copy a trader?
To copy a trader on Alfred, follow these straightforward steps:
After selecting a trader, click on the 'Start Copy Trading' button.
Click the 'Permit USDC' button and confirm the transaction in your web wallet popup.
Once the funds are allocated, click 'Copy Trader'.
Confirm the transaction by clicking 'Confirm' in the web wallet popup.
How do I stop copying a trader?
To stop copy-trading a pro trader, you need to withdraw the funds allocated to follow that trader. Once you have successfully copied a trader, that trader’s profile will show up in your screen’s copied trader’s section. You click on the ‘Action’ button in the row of the trader’s profile. You’ll see the following options:
Trade settings
Add funds
Withdraw
You need to click on withdraw, and follow along with your wallet’s prompts as follows:
Click on 'Withdraw'.
In the popup, click 'Close Position' to revoke permissions.
Confirm the transaction by clicking 'Confirm' in your web wallet prompt.
Select 'Withdraw Funds' to initiate the withdrawal process.
Confirm the transaction by clicking 'Confirm' in your web wallet prompt.
Completing these steps will successfully stop copying the trader, and your funds will be withdrawn to your wallet.
How can I withdraw my profit?
Withdrawing profits on Alfred is easy and can be done in a couple of ways:
Total Funds: To withdraw all profits and allocated funds, you can stop copy-trading the pro trader.
Partial Withdrawal: Alternatively, you can opt for a partial withdrawal. This involves withdrawing a portion of your earned profits from your reserve funds while maintaining your copy trading connection with the pro trader.
In essence, withdrawing profits is a flexible process that allows you to choose between total withdrawal or partial withdrawal, enabling you to tailor your actions based on your trading preferences and financial goals.
What happens when copying a particular trade fails?
When the mirroring of your trade to the master trader's trade encounters an issue, your funds are allocated to the reserve funds temporarily. Subsequently, these allocated funds are then utilized for the next trade executed by the master trader.
In the scenario where copying a specific trade fails, Alfred ensures that your funds remain secure by placing them in reserve. The system automatically reallocates these funds for the next trade opportunity initiated by the master trader you're copying. This mechanism ensures that you can continue to engage in copy trading without disruption even if a particular trade copying attempt doesn't succeed as intended.
Are there limits on the number of trades I can copy?
Alfred provides you with the freedom to copy trades without imposing any limit. However, a few factors related to your funds and execution fees are important:
For instance, imagine you allocate 100 USDC.e for copying a trader and set a maximum of 50 USDC.e per trade. After reserving 2 USDC.e for trade execution fees and setting aside 5 USDC.e for safety, your remaining funds available for copying stand at 93 USDC.e.
Given your maximum per-trade limit of 50 USDC.e, Alfred will replicate the master trader's trade as long as it aligns with this limit. As your remaining funds drop below this limit, Alfred refrains from initiating additional trades for you. This ensures that your allocated funds are used within the parameters you've defined. For instance, if after the first trade you have 43 USDC.e left, and your maximum per-trade amount is also 43 USDC.e, Alfred will not mirror a trade if the master trader's position size exceeds 43 USDC.e.
In essence, the number of trades you can copy isn't rigidly limited, but Alfred ensures your trade allocation adheres to your preferences, ensuring prudent use of your allocated funds.
What factors could stop me from copying a trade?
Several factors could prevent you from copying a trade:
Insufficient Funds: If your available balance is lower than the trade amount and fees, you can't copy the trade.
Max Amount Per Trade: If the Max Amount Per Trade is higher than your usable balance (Deposited funds - Safety funds - Trade Execution Funds), copying won't occur.
Safety Fund: If the safety fund (e.g., $5 USDC.e) is inadequate due to prior trades, copying stops.
Current Balance: If your current balance drops below the Max Amount Per Trade after previous trades, copying future trades could be halted.
How do I cancel an order I've copied?
If you wish to cancel a copied trade, Alfred facilitates a swift process:
Withdraw Option: Access your account dashboard on Alfred's platform.
Stopping Copying: Utilize the 'Withdraw' option associated with the specific copied trade. This action will not only halt future trades from the same trader but will also square off your existing positions.
Immediate Effect: Upon selecting the withdrawal option, Alfred promptly ceases copying future trades from that trader. Simultaneously, your ongoing positions, whether in profit or loss, will be closed, ensuring that your trade activity is concluded.
In summary, to cancel a copied trade and halt further trades from a particular trader, use the withdrawal option on your dashboard. This action will also trigger the closure of your existing positions, resulting in the effective termination of your trade engagement.
Are there leverage and position limits for copy trading?
For copy trading, there are specific leverage and position limits to consider:
Leverage Limit: The maximum leverage supported by GMX and Alfred is up to 50X. This means traders can magnify their exposure up to 50 times their original investment.
Example of Position Calculation: Suppose a trader opens a long position with $100 and a leverage of 20X. This makes the position size $2000. If you're copying this trader with a maximum amount per trade set at $50, your position size will be $1000, maintaining the same 20X leverage.
No Position Limits: There aren't specific limits on the number of positions that can be opened or closed. Alfred ensures that you copy all the positions opened or closed by the master trader you're following.
In summary, copy trading adheres to leverage limits and allows flexible position sizing while enabling you to mirror the trades of the master trader effectively.
Can I follow a wallet I know from other sources?
In Alfred's Leaderboard section, we have a 'Copy Trader By Address' option. This function allows you to copy any GMX trader by inputting their wallet address. However, Alfred exclusively supports GMX traders and can't facilitate copying traders from external sources. Presently, only GMX traders are accessible through Alfred's platform.
What is the ‘Leaderboard’?
The 'Leaderboard' on Alfred showcases the top traders achieving the highest ROI within a 30-day window. This list displays five columns: PnL (30D), ROI (30D), Avg Collateral (30D), Winning rate (All-Time), and Closed Positions (30D). You have the flexibility to sort traders based on these stats in ascending or descending order.
Beyond individual trader stats, the Leaderboard provides an overview of the entire market. It includes the total count of profitable traders and the cumulative profit generated by these traders within the 30-day timeframe. This feature offers insights into high-performing traders and the overall market dynamics, aiding your decision-making in copy trading.
How do I use the leaderboard?
Utilizing the Leaderboard is simple. Clicking once on a column header arranges traders' data in ascending order. For instance, clicking the 'PnL (30D)' column once will list traders from the smallest profit to the largest. A second click on the same column header reverses the order, displaying traders from the largest value to the smallest. Clicking the 'PnL (30D)' column again will now list traders with the highest profit first.
This feature lets you swiftly analyze traders' performance both from the lowest to the highest and vice versa, enabling easy comparison and selection based on your preferred criteria. Considering the descending order for all columns, here’s what each column will imply:
PnL (30D): Clicking this column shows traders who earned the most money in the last 30 days. It helps find consistent earners.
ROI (30D): Clicking this column reveals traders with the highest returns relative to their starting investment in the last 30 days.
Avg Collateral (30D): Clicking this column uncovers traders who invest significantly, indicating commitment and seriousness.
Winning rate: Clicking this column highlights traders with the best success rates in their trading history.
Closed Positions (30D): Clicking this column displays traders who've closed the most positions in the past 30 days, showing their engagement level.
By clicking these column headers, you can quickly sort traders based on these criteria, helping you make informed choices in your copy trading journey with Alfred.
What do you mean by ‘Maximum Amount Per Trade’?
This parameter signifies the highest sum you designate as the limit for replicating a single trade. It essentially sets the maximum trade size that Alfred will mirror from the master trader you’re following.
To illustrate, consider this example:
Suppose you allocate 100 USDC.e for copying a trader and configure a maximum per-trade limit of 50 USDC.e. After accounting for 2 USDC.e for trade execution fees and reserving 5 USDC.e for safety, your available funds for copying amount to 93 USDC.e.
With your preset maximum per-trade limit at 50 USDC.e, Alfred will replicate the master trader's trades within this limit. As your available funds drop below 50 USDC.e, Alfred will cease copying trades to ensure adherence to your chosen per-trade limit.
Note: If the trader decides to increase the current position or take a DCA trade, the trade amount might exceed the Maximum Amount Per Trade set by you.
What do you mean by 30-Day PnL?
When navigating Alfred's copy trading landscape, understanding '30-Day PnL' becomes crucial. This acronym stands for '30-Day Profit and Loss,' presenting a snapshot of your net profit or loss generated from trading activities over a 30-day period. It captures both gains and losses stemming from your trades and investments within this timeframe.
What do you mean by 30-day ROI%?
In the realm of Alfred's copy trading, '30-day ROI%' holds significant meaning. This abbreviation stands for '30-day Return on Investment Percentage,' a crucial metric that showcases the percentage of return achieved over a 30-day period concerning your initial investment.
This metric offers valuable insights into short-term performance, allowing you to assess how a trader has fared within the Alfred platform over the course of 30 days.
What is “funds in active positions”?
Here, the term "funds in active positions" refers to the cryptocurrency allocated from your deposit for the purpose of executing trades. This amount is actively employed to enter positions with leverage. It's important to note that these leveraged positions carry a risk of liquidation, and your collateral assigned might get liquidated, particularly if the trader you are copying incurs losses.
In simpler terms, this amount is the cryptocurrency that is invested in the trades you copy from a master trader.
What is the All-Time Winning Rate?
The All-Time Winning Rate of a trader on Alfred signifies the percentage of their total trades that have resulted in profits over the entire duration as a trader on GMX. This metric provides insights into the trader's historical success in making profitable trades compared to the total number of trades they've executed.
A higher winning rate suggests a trader who has consistently made profitable trading decisions over time, which can be an indicator of their skill and expertise as a perpetual futures trader.
What are Closed Positions?
In the closed position section of the trader’s profile on Alfred, you can find detailed information about all the positions that have been closed by a trader. This information includes:
Position Type: Indicates whether the position was a long (buy) or short (sell) trade.
Closed Time: Specifies the date and time when the position was closed.
Token: Identifies the cryptocurrency or asset involved in the trade.
Net PNL ($): Reflects the net Profit and Loss in US dollars from that specific trade.
ROI%: Represents the Return on Investment percentage for that closed position.
Market Price ($): Shows the price of the cryptocurrency or asset in US dollars at the time of closing.
Average Price ($): Indicates the average price at which the trader bought or sold the asset during the trade.
DEX Fees ($): Represents the fees associated with using a decentralized exchange (DEX) for the trade.
Max Collateral ($): Denotes the maximum collateral amount allocated for the trade.
Position Size: Specifies the size or quantity of the cryptocurrency or asset involved in the trade.
This detailed information in the closed positions section allows you to thoroughly review and assess a trader's past performance and trading history, aiding in your decision-making when choosing to follow or copy their trades.
What do you mean by Active in every?
'Active in every' in the Alpha trader's profile indicates that the trader has engaged in at least one activity, such as opening, increasing, decreasing, or closing a position, within the chosen timeframe. The options for this timeframe are 7 days, 14 days, and 30 days. This feature serves to help users discern whether the Alpha traders—those with exceptional over 100% ROI in 6 months—are currently active.
By applying this filter, users can ensure that the Alpha traders they are considering for copy trading have maintained their engagement and are actively managing their positions. This enhances users' ability to make informed decisions while selecting traders to follow, aligning with their investment goals and risk preferences.
What do you mean by Open Positions?
''Open Positions' on Alfred's platform represent trades that a trader has initiated but has not yet concluded. These positions reflect active bets on the future price movements of cryptocurrencies, allowing traders to potentially profit from both upward and downward market trends.
For instance, if a trader anticipates a cryptocurrency's price to rise, they can open a 'long' position. Conversely, if they predict a price decrease, they can initiate a 'short' position. These positions remain active until the trader decides to close them, either to lock in profits or limit potential losses.
In this section, you can find the following details about ongoing trades:
Position Type: Indicates whether the position is a long (buy) or short (sell) trade.
Token: Specifies the cryptocurrency or asset involved in the trade.
Gross Unrealized PNL ($): Reflects the potential Profit and Loss (PNL) in US dollars if the trade were closed at that moment.
Market Price ($): Displays the current price of the cryptocurrency or asset in US dollars.
Average Price ($): Represents the average price at which the asset was bought or sold during the trade.
DEX Fees ($): Shows the fees associated with using a decentralized exchange (DEX) for the trade.
Current Collateral ($): Indicates the current amount of collateral allocated for the trade.
Position Size: Specifies the size or quantity of the cryptocurrency or asset involved in the trade.
These details in the 'Open Positions' section provide insights into the trader's ongoing strategies and potential gains or losses. It helps you monitor the progress of active trades and make informed decisions based on market conditions.
What do you mean by Gross Asset Value?
Let's get down to the nitty-gritty of Gross Asset Value (GAV) on Alfred:
Gross Asset Value (GAV) might sound a bit jargony, but it's quite straightforward. It's the total value of all your assets within Alfred. GAV sums up three key things:
USDC Funds: This is the money you've put into your vault for trading purposes.
WETH Funds: Reserved funds to cover trading fees on decentralized exchanges.
Positions Worth: The combined value of all your open positions.
Now, wrap these three elements in a neat bundle, and you've got your GAV – the total worth of your Alfred world. Think of it like your personal financial dashboard, showcasing the USD value of your holdings. So, whenever you want a snapshot of your assets, look no further than GAV.
What do you mean by Reserve Funds?
Reserve funds refer to the amount of money you have available for investment, which is currently uninvested but can be quickly deployed when the professional trader you are following initiates a trade.
These funds are securely held within a vault, ensuring the necessary liquidity for smooth trade execution. Imagine this: Alfred's reserve system prevents trading disruptions due to varying time zones. Without it, manual approval of trades would be necessary, potentially leading to missed opportunities.
Consider the advantage of being ready for market shifts even during your downtime. Alfred's decentralized vault manages your funds, allowing a sub-vault to handle the copying and execution of trades.
What do you mean by Gas Reserve?
Just like you stash away some cash for those "just in case" moments, a Gas Reserve in Alfred serves as a buffer to cover fees when you perform actions like token swaps or while using our dapp. In Alfred, you have a Gas Reserve of 2 USDC.e, which can cover around four transactions. Once depleted, Alfred automatically swaps one USDC.e to WETH on-the-go, adapting to the number of transactions and their required gas fees. It's all about maintaining a seamless crypto experience without disruptions.
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