[Copy Trading] Prometheus System

Gate is proud to introduce the Prometheus System – the world's first Copy Trading Risk Control System. This groundbreaking innovation represents a major leap forward in trading security, backed by significant investment and cutting-edge technology. As the first in the industry to implement quantitative fund-level risk control standards, the Prometheus System sets a new benchmark for safety and reliability in copy trading. The cryptocurrency market is highly volatile. While copy trading provides users with convenience and potential returns, it also comes with significant risks. To better protect user interests, Gate has developed an advanced risk control system that integrates intelligent, transparent safeguards across the entire trading process. This system is designed to enhance user confidence and position Gate as the most trusted platform for copy trading. In the current copy trading landscape, excessive leverage and reckless position-holding are all too common. Many users suffer major losses due to poor risk awareness or irresponsible lead traders. The Prometheus System was created to directly address these challenges, filling a crucial gap in industry risk management. 1. Three Core Features Designed to Make Copy Trading Safer

1. Leverage Limits: Managing Risk from the Start Prometheus sets tailored leverage limits for each copy trading leader based on their capital and the trading pairs they select. By restricting excessive leverage at the source, the system prevents copiers from being exposed to overly risky trades. Every trade is evaluated through a scientific, data-driven approach to ensure a safer trading experience for all copy trading participants.
2. Real-Time Leverage Monitoring: Stopping Risk Before It Escalates As trades unfold, the Prometheus System continuously monitors leverage levels in real time. If it detects aggressive position scaling when facing losses, it intervenes instantly to prevent further risky behavior. This proactive control helps shield users from compounding losses and keeps risk exposure in check as market conditions evolve.
3. Net Value Drawdown Stop Loss: Smarter Protection for User Assets When a lead trader's net value drawdown reaches a predefined threshold, the system automatically triggers a full positions stop-loss. Unlike traditional stop-loss methods based only on principal, this approach is more scientific and equitable. It ensures that all users—no matter when they start copying—receive the same level of protection against mounting losses. 2. Prometheus System Highlights: Quantitative Fund-Level Risk Protection Gate's Prometheus System is the first copy trading risk control system in the industry. Built on a three-layer risk management framework, it delivers comprehensive protection across every stage of trading:
4. Loss Minimization: By limiting excessive leverage and enforcing mandatory stop-loss triggers, the system actively controls trading risks and prevents losses from malicious or reckless position-holding;
5. Equal Protection for All: No matter when users start copying a trader, the system applies consistent protection across the board, ensuring fairness and transparency for everyone;
6. Building User Trust: With its clear, effective risk control mechanisms, Prometheus helps foster greater confidence in Gate's copy trading ecosystem. 3. Key Parameters
7. Maximum Leverage (Mandatory): This sets the ceiling for leverage on individual orders in specific futures markets. For example, if the maximum leverage for BTC/USDT perpetual futures is set to 50x, users cannot place any orders exceeding that leverage limit;
8. Real Leverage (Optional): This limits the total position size in a futures account based on account equity. For instance, if the real leverage is set to 10x and the account holds 1,000 USDT, the total allowed position size is capped at 10,000 USDT. Once this cap is reached, no new orders can be placed—except in cases of hedging mode;
9. Forced Stop-Loss & Cooling-Off Period (Mandatory): When the total drawdown of all copy trading positions in a leader's futures account reaches the preset stop-loss threshold, the system automatically triggers a full stop-loss of all futures positions. If stop-loss is triggered multiple times beyond the allowed limit, the trader is placed in a 48-hour cooling-off period during which they cannot open new futures positions.

Related Concept Explanation Current Drawdown / Forced Stop-Loss Drawdown: Gate's risk control system uses the internationally recognized Modified Dietz method to calculate net value. The Forced Stop-Loss Drawdown is a configurable ratio within the system. Current Drawdown is calculated based on the highest share net value and the current share net value over the most recent 30 calendar days, which is defined as the risk control cycle. The formula is: Current Drawdown = (Highest Share Net Value − Current Share Net Value) / Highest Share Net Value. When the Current Drawdown reaches or exceeds the Forced Stop-Loss Drawdown, the system will automatically trigger a forced stop-loss to help manage and contain risk.

1. Share Net Value Curve: The share net value curve displays changes in the trader's share net value over the past 30 calendar days. This data is updated every five minutes to reflect the most recent performance.
2. Example: (1) Assume a lead trader's Current Share Net Value, calculated using the Modified Dietz method, is 1.5. The Highest Share Net Value in the past 30 days is 2.0, and the Forced Stop-Loss Drawdown is set at 30.00%. Based on the formula, the Current Drawdown is (2 - 1.5) / 2 = 25.00%. In this case, since the Current Drawdown is below the 30.00% threshold, the system will not trigger a forced stop-loss. (2) Now, suppose the trader's Current Share Net Value drops to 1.4, with the same 30-day high of 2.0 and a stop-loss threshold of 30.00%. The Current Drawdown is (2 - 1.4) / 2 = 30.00%. Since the drawdown has reached the threshold, the system will immediately trigger a forced stop-loss. In other words, when the Current Drawdown is equal to or greater than the Forced Stop-Loss Drawdown ratio, the risk control mechanism is activated.

Forced Stop-Loss Count: This refers to the number of times a lead trader has triggered a forced stop-loss within the risk control cycle.

1. The “Forced Stop-Loss Count” displays three key figures: the risk control period, the current number of forced stop-losses, and the maximum allowed during that period.
2. For example, if the display shows 48h / 1 / 2, it means the system is tracking forced stop-losses over a rolling 48-hour window. The trader has already triggered one forced stop-loss during this period. Once the number reaches two, the trader will automatically enter a futures Cooling-Off Period.

Cooling-Off Period When a lead trader reaches the maximum number of forced stop-losses within the risk control period, their account will enter a futures cooldown period. During this time, all trading activity and fund transfers are suspended. Upon entering the cooldown period, all positions in USDT Perpetual Futures, BTC Perpetual Futures, and USDT Delivery Futures will be liquidated, and any pending orders will also be canceled.

4. Who the Prometheus Risk Control System is For:

1. General investors who want to copy experienced leader traders for profits but are concerned about risks;
2. High-Net-Worth users who prioritize trading transparency and comprehensive risk management;
3. Institutional investors with strict safety requirements for copy trading. The launch of the Prometheus System marks a new era of intelligent risk control at Gate. We believe that continuously improving the user experience and enhancing fund security is key to fostering a healthier and more sustainable trading ecosystem. Gate will continue to lead through innovation, delivering a more professional, efficient, and reliable trading platform. Experience the new Prometheus System today — and trade with greater confidence and stability in every move.