1.Profit-Sharing Rules

For Copy Traders:

• The system calculates the profit or loss for each copied trade order and accumulates it during the settlement period.
• For each profitable order copied, the system deducts fees and a portion of the profit-sharing before settlement on the settlement date.
• If the actual profit due to the Lead Trader is less than the deducted amount, the excess is refunded to the Copy Trader's trading account.

Let's say the profit-sharing ratio for the Lead Trader is 10%, and there are no active positions at settlement.

Total profit and loss generated by the Copy Trader during the settlement period 

= 200 - 50 + 300 - 500 + 500 + 100 

= 550 USDT

Actual profit-sharing amount for the Lead Trader = 550 USDT * 10% = 55 USDT

Total deducted amount = 200 * 10% + 300 * 10% + 500 * 10% + 100 * 10% = 110 USDT

Amount to be refunded to the Copy Trader = 110 USDT - 55 USDT = 55 USDT

For Lead Traders:

We use a high-watermark method for profit-sharing. When the total profit of the leading trade exceeds the previous highest profit, any extra profit is shared based on a fixed ratio. This can be expressed by the formula:

Profit-Sharing Amount = Max [Cumulative Profit - High Watermark, 0] * Current Profit-Sharing Ratio

Profit-sharing applies exclusively to contracts denominated in USDT.

Case :

Assuming the profit-sharing ratio for the Lead Trader is 10% and there are no active positions at settlement:

Note:

• Profit change: Net profit for the week.
• Cumulative profit: Total realized profit in the copy trading portfolio.
• High watermark: Indicates whether the cumulative profit exceeded the previous profit-sharing instance.
• Expected profit-sharing: Amount to be shared based on the high watermark.
• Already shared: Profit already settled.

In Weeks 2 and 3, the cumulative profit didn't surpass the previous profit-sharing instance, so the pending profit-sharing remains at $0.

2. Preconditions for Profit-Sharing

• Copy Traders cease copying the contract investment portfolio, or:
• Lead Traders close their contract investment portfolio.

3. Provisioning and Settlement of Profit-Sharing

The system will provision profits from each realized gain according to the profit-sharing ratio, accumulating for unified settlement on the settlement date.

The settlement period for the copy trading system is one natural week, with profit and loss calculated from Monday 0:00 (UTC+8) to Sunday 23:59:59 (UTC+8), and settlement occurs every Monday 0:00 (UTC+8).

Please refer to the APP page for accurate details.