User Pools
Trade with More Collateral, Earn Shared Profits.
What Are User Pools and How Can They Improve Your Trading?
User Pools are an innovative way for traders to manage and expand their perpetual trading strategies on Demex. Whether you're looking to trade larger positions or earn passively through managed trading pools, User Pools provide the solution.
Benefits of User Pools
For Pool Leaders
Pool Leaders are traders who set up and manage User Pools. By doing so, they can significantly enhance their trading strategy:
- Larger Positions, Lower Risk: With increased collateral provided by Depositors, Pool Leaders can trade larger positions or maintain existing sizes while reducing leverage, effectively managing risk exposure.
- Profit Sharing: Pool Leaders earn a defined share of 10% of the total profits generated by their Pool, providing a clear incentive for effective trading.
- Full Control: Leaders maintain complete autonomy over their trading decisions, set deposit and withdrawal fees, and manually approve withdrawal requests, offering flexibility and security.
For Depositors
Depositors can effortlessly benefit from the expertise and strategies of successful traders by depositing funds into User Pools:
- Passive Earnings: Depositors earn passively without actively managing trades. Profits are distributed proportionally based on their deposited amount.
- Transparent Selection: Users have access to detailed performance statistics, allowing them to select Pools based on historical returns, risk/reward ratios, and trading styles, ensuring their investment aligns with their personal financial goals.
How User Pools Work
The process of setting up and joining a User Pool is simple and transparent:
Pool Leaders: Pool Leaders begin by creating their Pool with a minimum collateral deposit of $500. They can optionally set deposit and withdrawal fees and then actively manage trades. All withdrawal requests from Depositors require manual approval, giving Leaders control and accountability.
Depositors: Depositors select User Pools based on clearly presented historical performance data. After depositing funds, they receive DPLT tokens representing their stake in the Pool. Depositors can track their investments, view profits, and request withdrawals through an easy-to-use interface.
Managing Risk and Ensuring Security
User Pools prioritise transparency and risk management. Pool Leaders oversee trade execution and fund management closely, manually approving all withdrawals to maintain security. Depositors can regularly review comprehensive data on Pool performance, including trading activity, profit history, and open positions, providing full transparency and peace of mind.
Practical Examples of User Pools in Action
Imagine Alex, an experienced trader, who creates a User Pool initially funded with a $1,000 deposit. As more Depositors add funds, the Pool quickly grows to $100,000, allowing Alex to open larger trades with lower leverage. Alex earns consistent profits, taking home 10% of total profits as a reward for his effective management.
Meanwhile, Jamie is a Depositor who reviews various User Pools before choosing Alex’s Pool due to its reliable returns and optimal risk/reward profile. Jamie earns passively without the stress of active trading, benefiting from Alex’s experience.
Getting Started with User Pools
User Pools offer an attractive opportunity for both experienced traders looking to amplify their trading potential and passive investors seeking reliable earnings. Get started today and see how User Pools can enhance your trading or investment strategies.
Explore User Pools Now → https://app.dem.exchange/pools/perp/user