Most exchanges that have introduced social / copy trading to their derivatives product set let users replicate (follow) a chosen leader’s trades. The feature have been integrated into the platforms for years now by leading players such as Binance, Bybit, OKX.
However, taking a different turn, Arthur Hayes-founded BitMEX – besides rolling our Copy Trading feature – has added a new “Reverse Copy Trading Feature” for its users. The feature will let followers automatically take the opposite side of a leader’s positions. With this, instead of only piggybacking on winners, users can automate contrarian strategies or programmatic hedges without third-party trade-copiers.
How BitMEX’s Reverse Copy Trading Feature Works
As per the press release shared with BrandTalk, BitMEX revealed its Reverse Copy trading feature “as a groundbreaking feature in a first for many platforms.”
Its dual social trading model includes both standard copy trading and an industry-first reverse copy trading feature. The Copy trading feature works similar to the way it is available on other exchanges. Followers allocate capital to mirror the trades of experienced leaders in real time, with positions sized proportionally to their own account. This allows less-experienced traders to replicate strategies automatically while retaining control over leverage and stop-loss settings.
However, BitMEX’s reverse copy trading option flips this logic: instead of following the same side of a trade, users can choose to take the opposite position.
Reverse Copy Trading on BitMEX
For example, when a leader goes long on Bitcoin, the follower’s account will automatically open a short position of proportional size. This contrarian approach caters to hedgers seeking risk offsets and traders who prefer to bet against prevailing sentiment.
For example, if a leader opens a long position on Bitcoin futures, the follower’s account will instead open a short position of equivalent size. This provides a structured way to pursue contrarian strategies or implement hedges against market exposure.
Also Read: Behind Crypto Exchanges-PayFi Giants Partnership
Impact for Traders
Such functionality was previously only available via third-party trade copiers, but BitMEX has now made it native to the exchange. According to Stephan Lutz, CEO of BitMEX. “This feature simplifies the trading process, removes the burden of constant market monitoring, and provides a unique opportunity for community to engage with the crypto derivatives market more effectively.”
For institutional traders, this can truly unlock automated risk-balancing tools. For retail users, it creates a simple mechanism to trade against overbought sentiment or high-risk leaders.
Further, by embedding both options natively, BitMEX has differentiated itself from rivals like Binance, Bybit, and OKX, which currently offer only standard copy trading.
Also Read: Kraken Litigation Head Departs Exchange
Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.
