Minimum balance – is an absolute minimum amount of funds you need to have on your exchange account connected to Coinmatics to be able to subscribe to copy trading (or submit a strategy).
Different strategies have their own minimum balance requirement. However, on Coinmatics a minimum balance can not be less than is 150 USDT (in equivalent).
Importance of minimum balance: Example
Coinmatics minimum balance requirement is connected with an exchange limitation on minimum order size. The requirement was set in order to provide for the copy trading efficiency.
Imagine there is a strategy with a large sum on a balance. In comparison, your exchange balance is considerably lower. When placing a deal, a trader decides to use a small share of their balance (~1-2%). Coinmatics will take the same share of your balance to place the same order. And if your amount is less than the minimum order size specified by the exchange, the exchange will not place your deal – therefore, you won't copy it.
To avoid such a case, your exchange balance should be at least the same as the strategy minimum balance. Ideally, your balance and the strategy's balance are the same.
- In order to be successful in copy trading, it is better to have the same (or similar) amount of funds on your exchange balance compared to the strategy's one.
- The least possible minimum balance is 150 USDT (in equivalent).