The possible failed reasons can be sorted into 3 categories:

• Copy trader related
• Lead trader related
• Reasons why copy trade positions can't close

Copy trader-related reasons

1. Amount per order too low:

Our platform has a minimum open position value for contracts and if your order amount is below this, your trade will fail. Note that different futures contracts have different minimum open position values. 

Copying will open positions based on the total asset value ratio and adjust positions based on the position ratio.

• Opening positions based on total asset value ratio

Once the total asset value ratio is confirmed, it will not change during copy trading.

Single copy trader's total asset value ratio = Confirmed total amount for copy trading / Lead trader's total assets at the time of creation

Single copy trader's opening quantity = Lead trader's opening position amount * Single copy trader's total asset value ratio

• Adjusting positions based on position ratio

Position adjustment quantity = (Lead trader's position adjustment quantity / Total positions of this lead trader) * Copy trader's position quantity

There is a certain mapping relationship between copy trader orders and lead trader orders. When a lead trader partially closes a position, the system will close the copy trader's corresponding order according to the corresponding closure ratio. For example, if a lead trader closes 50% of a position, the corresponding copy trader order will also be closed by 50%. When the lead trader's order is completely closed, the copy trader's order will also be completely closed in proportion.

2.Maximum total amount reached:

When you are setting up your copy trade, you can set a maximum total amount, which defines the maximum margin you'll invest across all trades under one lead trader. Please note the calculation for this limit only includes margin invested in open positions, and not positions which have already been closed. When the maximum total amount has been reached, you won't copy any new trades until an existing position is closed, causing copy trades to fail. You can increase your maximum total amount in your copy trade settings to continue opening new trades.

3. Slippage protection:
 

Significant differences in the opening position price between you and lead traders can have a big impact on your PnL. To prevent this, if there is more than a 0.5% disparity between the lead trader's and your open position price, our slippage protection mechanism will cancel the copy trade.

Example 1:
If a lead trader opens a long BTC-USDT futures trade at a price of 20,000 USDT, we'll make sure that your open position price is less than 20,000 × (1 + 0.5%) = 20,100 USDT. If the market experiences a significant fluctuation and the BTC-USDT futures price is 20,200 when you are placing your order, our slippage protection will automatically cause you to fail.

 

Example 2:
If a lead trader opens a short BTC-USDT futures trade at a price of 20,000 USDT, we'll make sure your open position price is more than 20,000 × (1-0.5%) = 19,900 USDT. If the market experiences a significant fluctuation and the BTC-USDT futures price is 19,800, our slippage protection will automatically cause the copy trade to fail.

Lead trader-related reasons

1. Lead trader has exceeded the maximum total position value:

Because of the liquidity and market depth of different cryptocurrencies, we’ve set a maximum limit for the value of all open lead trade positions under a lead trader. This is to help prevent significant price slippage during a fluctuating market. For example, for BTC-USDT futures long positions, lead traders have a maximum total position value of 50,000,000 USDT. Although a lead trader can continue to open BTC-USDT futures long positions after they reach this limit, these trades won't act as lead trades. They'll need to reduce their open positions before they can start leading trades again for that contract and direction. You can refer the leverage and position limits for copy trading here.

2. Lead trader has exceeded daily order limit:

Currently, lead traders can open a maximum of 500 lead trade orders each day. After they reach 500, any new trades that day won't be able to be copied by copy traders.

3. Lead trader has insufficient assets:

If a lead trader has less than 500 USDT in their trading account, they'll be unable to create new lead trades.

Reasons why copy trade positions can't be close

There is only a small likelihood that a copy trade order might fail to close. For example, if the market experiences extreme fluctuations and the copy trader triggers our price limit mechanism, or if the system experiences an abnormality. In these cases, the copy trader will need to close their position manually.

Price limits exist to protect traders and are an important risk-control measure for preventing the market from being manipulated. We will look at a variety of factors to dynamically calculate these limits, including trading volume, open interest, and deviation index values. If you open a long position or close a short position and your order price exceeds the price limit, our price limit mechanism will be triggered. Similarly, if you open a short position or close a long position and your order price is lower than the price limit, the mechanism will be triggered. When the price limit mechanism is triggered, the market price order may execute successfully. Matrixport private copy trading is traded on the OKX exchange, copy traders can check the OKX price limit system for more information. https://www.okx.com/help/iii-price-limit-rules