Main Takeaways
This article is the first in our new series, Top Lead Trader Tips, featuring exclusive interviews with top traders on the Binance Copy Trading platform.
Today, we sit down with Xut_Shawte, a lead trader since May 2024, with an impressive half a million USDT in Assets Under Management (AUM) and over 500 users copying him on Binance.
Discover his trading philosophy, tips, and insights that make him a star trader on our platform.
Binance Copy Trading is designed to make crypto trading more accessible and social, allowing users to copy the moves of top-performing traders. It’s an ideal solution for both beginners and those looking to follow seasoned traders without needing to spend hours analyzing market trends or executing complex strategies. The social aspect of Copy Trading is where the magic happens — users can follow traders from all over the world, from different backgrounds and levels of expertise, while learning and growing within a vibrant community.
At Binance, we believe in the power of community and knowledge sharing, which is why we’re thrilled to introduce our new Top Lead Trader Tips series!
This series aims to bring exclusive insights from the best performers on our Copy Trading program, allowing our community to learn from these traders' journeys, methodologies, and perspectives. In the following weeks, we’ll introduce you to new Lead Traders, dive into their stories, and provide a behind-the-scenes look at the strategies that have earned them success on the platform.
Today, we’re kicking off the series with an interview with Xut_Shawte, one of our standout Lead Traders.
In the Spotlight: Xut_Shawte
Xut_Shawte has been a Lead Trader with Binance since May 2024, specializing primarily in short strategies. With his extensive expertise and experience in crypto markets, he has earned the prestigious Cadet Badge. He now manages almost half a million USDT in AUM, with over 500 copiers, reflecting his consistent and strategic approach to the market.
Binance Futures: Can you share a bit about your background and how you got started in crypto trading?
Xut_Shawte: I started my trading journey in 2019 with platforms like eToro and Naga, where I got my kicks with the "mass suicide dive competition" of 50x leveraged positions on raw materials derivatives. I was later captured by the crypto world and enjoyed holding, till I realized real joy comes from fish netting fluctuations, instead of watching the waves come and go. I have no formal economic or trading background, but I do hold a PhD in chemistry: market emotions don't escape laws of thermodynamics.
Binance Futures: What inspired you to become a Lead Trader on our platform, and what has your experience been like so far?
Xut_Shawte: I became a Lead Trader to expand the options in futures trading and bring more discipline to my approach. I was pleasantly surprised by the safe environment and increased restrictions compared to the personal account (e.g., limited x5 leverage and limited selection of coins). This lowers the risks for everyone and creates a growth environment.
Binance Futures: Could you walk us through one of your most successful trades? What was your strategy and what made it successful?
Xut_Shawte: As a shorter, the key is holding your marbles. Sometimes it means sticking to the strategy even when the world crumbles down. Recently, a rare coin (not available for copy) surged 600%, putting significant pressure on my balance while I was shorting with 7x leverage. I knew it was a unicorn and I had enough free margin to ride it. I reduced the drawdown from 15% to 5% by patiently skimming highs and lows, and in the end, all I lost was only funding fees!
And there you have it, the most successful trade I have is the one that caused me losses, but it stayed controlled and preserved my 6-month, 3x winning streak. Long story short, keep your margin ratio below 1% on regular days, and on bad days you'll be grateful it just reaches 5%.
Binance Futures: How do you approach risk management, including handling underperforming assets?
Xut_Shawte: The mantra is to minimize your margin ratio, meaning invest what’s necessary with the least leverage possible. Greed and speed lead you to the crypto grave. Shorting becomes risky when bulls hit. That's why it is important to do the math and choose the most likely outcome with cold blood. Underperforming assets are part of the game. An effective hedging strategy will make you happy to leave behind dead branches.
Binance Futures: How do you leverage the tools and features of our platform to optimize your trading performance?
Xut_Shawte: I always advocate for allocating a good slice of investment in low-leveraged bots (5x) with wide price bracketing, expecting big volatility storms: they'll never lose money in the long run, and they can serve as a buffer that provides liquidity for turbulent manual trading periods.
Closing Thoughts
We are grateful to Xut_Shawte for sharing his insights, and we wish him all the best in his continuing journey as a lead trader on our platform.
If you are interested in finding out more, click here to explore Xut_Shawte’s portfolio.
If you're confident in your abilities and interested in becoming a Lead Trader to scale up your trading, sign up on Binance Futures Copy Trading now!
Further Reading
Disclaimer: Digital asset prices are subject to high market risk and price volatility. The value of your investment may go down or up, and you may not get back the amount invested. You are solely responsible for your investment decisions and Binance is not liable for any losses you may incur. You should only invest in products you are familiar with and where you understand the risks. You should carefully consider your investment experience, financial situation, investment objectives and risk tolerance and consult an independent financial adviser prior to making any investment. Trading by following and/or copying or replicating the trades of other traders involves a high level of risks, even when following and/or copying or replicating the top-performing traders. Such risks include the risk that you may be following/copying the trading decisions of possibly inexperienced/unprofessional traders, or traders whose ultimate purpose or intention, or financial status may differ from yours. Past performance is not a reliable indicator of their future performance. No relationship between top-performing traders & Binance. In no way is performance or results guaranteed. Content on our platform does not contain advice or recommendations. This material should not be construed as financial advice, nor as a recommendation to follow any particular trader or strategy. To learn more about how to protect yourself, visit our Responsible Trading page. Copy trading is restricted in certain countries and to certain users. This content is not intended for users/countries to which restrictions apply. For more information, see our Terms of Use and Risk Warning.
