Minimum balance – is an absolute minimum amount of funds you need to have on your exchange account connected to Coinmatics to be able to submit a strategy (for traders) or subscribe to copy trading (for subscribers).
Minimum balance for subscribers
Different strategies have their own minimum balance requirement. However, on Coinmatics a minimum balance can not be less than 150 USDT (in equivalent) to start copying a strategy.
Minimum balance for traders
A minimum balance for traders indicates the minimum amount on the exchange account required to submit a strategy on Coinmatics. 200 USDT (in equivalent) is required for submitting a strategy.
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, an subscriber's exchange balance should be at least the same as the strategy minimum balance. Ideally, their balance and the strategy's balance are the same.
Key takeaways:
The least possible minimum balance for traders to submit a strategy is 200 USDT in equivalent, depending on the strategy type.
The least possible minimum balance for subscribers to start copy trading is 150 USDT in equivalent.
In order to be successful in copy trading, it is better for an subscriber to have the same (or similar) amount of funds on their exchange balance compared to the strategy's one.