Crypto.com has launched Whale Baskets, a new feature within its app that enables users to mirror the public stock portfolios of high-profile investors, such as Warren Buffett and Bill Ackman.
While best known for its crypto trading services, the platform is expanding deeper into traditional finance with tools aimed at simplifying stock investing.
Crypto.com Enters Stock Copy Trading Market
The Whale Baskets tool provides users with a curated selection of “whales”-influential investors with publicly disclosed holdings, including members of Congress and hedge fund managers. Warren Buffett, Nancy Pelosi, Dan Meuser, and Bill Ackman are among the featured whales, according to the official announcement.
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By selecting a whale, users can automatically replicate the composition of their portfolio, receive notifications when their positions change, and adjust their own holdings with a single tap.
Crypto.com says the feature includes over 10 investors to choose from and supports investments starting at just $50.
It also offers the flexibility to fund baskets using either USD or crypto, and users can opt into securities lending programs to potentially generate yield. Unlike some competitors, the platform does not charge subscription fees for access to investor strategies.
Copy Trading Gains Momentum Beyond Crypto
The concept mirrors broader trends in social and copy trading, which have surged in popularity over the past years.
Although more common in cryptocurrency markets, copy trading has been gaining traction in equities, particularly among retail investors seeking to simplify their approach.
Market studies project that the global social trading market will hit $3.77 billion by 2028, growing at an annual rate of 7.8%, with equity-based platforms accounting for an increasing share.
Mixed Results and Risks in Copy Trading
Still, the performance of copy trading remains mixed. A study conducted by researchers from the University highlights that copy trading “leads to excessive risk taking” and that although users can replicate top traders, this often increases risk exposure.
Academic studies also warn that many followers end up mirroring trades with a delay, especially in equities where positions are disclosed quarterly, reducing the potential for returns.
Nonetheless, tools like Whale Baskets may appeal to passive investors who prefer to rely on the long-term strategies of established investors, rather than conduct individual stock research.
The inclusion of public figures like Nancy Pelosi and Dan Meuser also reflects the increasing popularity of so-called “Congress trading,” a trend fueled by online platforms tracking lawmakers’ financial disclosures.
Why This Matters
Whale Baskets marks Crypto.com’s first official foray into equity copy trading within their app, expanding beyond its traditional focus on cryptocurrency assets into the growing market of social and copy trading in stocks.
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Whale Basket may appeal to passive investors who prefer to follow long-term strategies of prominent investors rather than conducting their own individual stock research.
Users can opt into securities lending programs via Whale Basket to potentially generate additional yield on their investments.
Portfolios include stocks held by featured investors in sectors ranging from tech and finance to consumer goods, based on their latest public filings.
Users receive notifications about changes and can choose to mirror those trades by buying or selling the corresponding stocks.
