[Basics] [Basics] What is copy trading? How it works and the traps

Copy trading makes your account automatically mirror another trader's (master's, leader's) trades. You don't need to know the strategy — but who you follow is everything.

How it works

1. Pick a trader on a copy service (a broker's own copy service, OKX or Bybit copy trading, etc.)
2. Set the amount and copy method (proportional, fixed lot, etc.)
3. When the trader opens a trade, your account opens one sized to your amount
4. On profits, the trader usually takes a share (performance fee, e.g. 10–30%)

Why your results differ from the master's

• Entry timing: positions already open when you start copying usually aren't copied
• Execution (slippage): you may get filled later and worse than the master
• Minimum size: with a small amount, ratios get rounded or some trades aren't copied at all
• Performance fees and commissions are deducted

The biggest traps

• The #1 return on a leaderboard is usually "lucky high risk." +500% in a few weeks is more often leverage than skill
• A smooth return curve can hide large losing open positions. Unrealized losses may not show in the return yet
• Traders can change their strategy at any time

Copy traders on EADesk gathers traders from several exchanges and re-ranks them by drawdown, track record and consistency. Before putting real money in, follow them for a few weeks with Paper copy.