Cryptocurrency exchange Binance has rolled out a copy trading feature for futures products in selected markets, enabling users to replicate the strategies and portfolios of experienced traders. Users on Binance can now serve as both copy and lead traders, with lead traders earning a 10% profit share when their trades are copied. Copy traders have the flexibility to follow up to 10 lead traders simultaneously, setting their own risk preferences, including take profit/stop loss, leverage levels, and margin configurations.
In a statement, Binance expressed its belief in the copy trading feature’s potential to enhance engagement within its trading community, stating, “We believe copy trading lowers the barriers to entry into crypto and can help improve social engagement within the community.”
While Binance did not specify the markets where copy trading would be available, the exchange emphasized its commitment to regulatory compliance. The spokesperson for Binance noted that the availability of certain products varies in different regions and stated, “Binance is constantly evaluating its product offerings as regulations and regulatory guidance develop.”
As the world’s largest cryptocurrency exchange by trading volume, Binance has faced regulatory challenges in multiple jurisdictions. Various regulatory bodies have raised concerns about the exchange’s measures to prevent unlawful financial activities. In response, Binance has consistently stated its commitment to meeting legal and regulatory standards.
The U.S. Securities and Exchange Commission (SEC) previously filed a legal complaint against Binance, alleging the provision of unregistered securities to U.S. clients through its BNB token and the associated BUSD stablecoin. Binance has also encountered regulatory challenges in countries like Canada and the Netherlands, leading to limitations or withdrawals of services in some regions.
