Research & notes

How we think about copy trading

Technical notes on allocation, execution and risk. No price predictions, no hype cycles. Start with the four below, then read by topic.

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The four notes that cover the most ground

A complete guide to copying on Hyperliquid, how to choose leaders, how to evaluate any system, and why the single-leader version fails structurally.

Choosing traders

Choosing traders

What public rankings do and do not tell you, and what a defensible selection method measures instead.

Comparisons

Comparisons

The structural differences between the ways of delegating trading on Hyperliquid.

Risk

Risk

How losses actually happen to a follower, and which controls bound them.

Allocation

Allocation

How capital is weighted across leaders, and what happens when a leader is replaced.

Allocation · 6 min read

Score-weighting vs equal-weighting: why equal allocation is usually wrong

Once you follow more than one trader, you have made an allocation decision whether you intended to or not. Splitting capital evenly is not a neutral choice — it is an assertion that every leader in the basket is equally worth funding.

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Allocation · 8 min read

How to allocate capital across multiple Hyperliquid traders

Selecting leaders gets the attention. Allocation decides the result. Once you follow more than one trader, how much each receives — and whether each sleeve is large enough to function — matters more than the ordering of your shortlist.

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Product design · 6 min read

Starter mode vs full mode: why we gate diversification behind volume

There are two modes, they differ in exactly one dimension, and the threshold between them is a capital-adequacy decision rather than a commercial one. This note explains the reasoning without softening it.

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Adaptive allocation · 6 min read

How leader replacement actually works (and why it matters)

Most copy trading systems are good at adding leaders and have no process for removing them. That asymmetry is the single most consequential design gap in the category, because the evidence a selection was based on has a shelf life.

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Operations · 7 min read

What happens to your positions when a leader is replaced

The rules that decide when a leader is removed are one thing. What actually happens inside your account during the handover is another, and it is the part you will watch in real time.

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Costs and execution

Costs and execution

Every line that sits between a leader's fill and your realised result.

Costs · 9 min read

The real costs of copy trading on Hyperliquid (beyond the fee)

The headline fee is the one number every copy system publishes, and usually the smallest line on the bill. The costs that decide your outcome are the ones generated by turnover, and they are rarely quoted anywhere.

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Costs · 8 min read

Funding rates and copy trading on Hyperliquid: hidden drag or opportunity?

Funding is the cost that never appears as a trade. It accrues quietly while a position is open, scales with holding period rather than with skill, and behaves differently across a basket than it does for a single leader.

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Costs · 5 min read

The builder fee explained: why we only charge on mirrored volume

How a copy trading system charges you determines what it is incentivised to do. This is the full description of our fee: what it is, when it applies, what it excludes, and where its incentives are imperfect.

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Costs · 8 min read

The real cost of running HyperMirror: fees, slippage, funding and opportunity cost

A fee schedule describes what we charge. It does not describe what running the system costs you. These are the four cost layers that do, plus the three that never appear on any invoice.

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Execution · 6 min read

Why your copy trades will never perfectly match the leader

Every copy trading system produces results that differ from the trader it copies. The difference has known causes, it can be bounded, and it cannot be removed. Anything claiming otherwise is describing a product that does not exist.

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Measurement · 7 min read

Tracking error in practice: why your results will differ from the model portfolio

The model portfolio is a reference computed from public leader history. Your account is a real book with a start date, a capital size and its own fills. The gap between them is structural and mostly explainable.

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Regimes · 8 min read

How a score-weighted basket behaves in different market regimes

Weighting by composite score is a rule about the recent past. Which means the regime you are in — and more importantly, whether it is about to change — matters more to the outcome than the selection itself.

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Custody

Custody

What you grant, what you keep, and how you revoke it.

Limits and honesty

Limits and honesty

The boundaries of the product: what it deliberately does not do, how it behaves when infrastructure degrades, and how the risk numbers are computed.

Theory is cheap.
Watch it execute.

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