What if you could copy what other crypto traders are doing? A trading platform notes that, when it comes to investing, many heads are better than one.
An internationally focused trading platform says it is offering a social element to finance that has never been seen before — bringing together a strong community who can talk strategy and collaborate to achieve strong results.
As well as enabling users to trade some of the world’s top stocks — Netflix, Microsoft, Amazon and Apple among them — eToro also provides access to a wide range of cryptocurrencies. Consumers can buy and sell the likes of bitcoin, ether, bitcoin cash, XRP and litecoin with ease, and receive instant updates when prices begin to fluctuate.
Just like social networks that boast news feeds where friends and family post status updates, eToro enables users to write posts and share their opinions about the latest movements in crypto prices. Followers can subsequently like this content and share it if they wish — or comment underneath and give their take on recent developments. According to eToro, this enables its base to have an informed discussion about strategies and the steps required to build a strong portfolio. If a user keeps track of the latest news and macroeconomic developments alongside these insights, it can allow them to keep their finger on the pulse of what’s happening in the crypto world more effectively — interpreting ups and downs with more perspective.
Each eToro member has the ability to present the ratio of their successes and failures to the world — and receive a customized score that reflects the level of risk in their strategies.
One particularly novel feature of eToro is the CopyTrader feature, which enables users to emulate the strategies of those who have established a reputation for themselves on the platform. According to the company, there are more than 3 million profiles to choose from — giving consumers the chance to find a portfolio that fully reflects their ethics and appetite for risk.
From here, the platform says trades are copied automatically and in a transparent way — giving users the freedom to chop and change whenever they please. Full statistics about past performance and the number of people who are following a particular trader’s strategy are given upfront in order to help a user make an informed decision.
Given the fact that anyone can trade — or indeed, become a top trader — there have been several success stories associated with the eToro platform.
One man from the United Kingdom went from flipping burgers to managing a fund worth $11.4 million. He gained experience by beginning to trade in simulation mode, and then made the transition to using his own money once he was confident in his strategies. His advice? To fully embrace technical analysis and know what you are investing in.
A key challenge of trading — be it crypto, stocks or shares — can be the levels of emotion that can be attached to a particular trade: both when something is going right and when it isn’t. The element of copy trading can help return some subjectivity to the process, as strategies can be decided by those who know how to ride the ups and downs of the market.
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