Paper trading, a.k.a. forward testing, is when you trade without using any real money. Paper trading is an essential tool for both beginner and experienced traders alike. It allows investors to practice their trading strategies, test different assets, and become familiar with the market without risking actual capital. It also provides a safe environment for those just beginning to learn about crypto or who want to test new techniques before committing real money.
To start paper trading in Gainium, switch to Paper mode. You can do so under your account menu if you are on a desktop or from the “More…” button if you are on mobile.
Once you have switched to paper mode, you can go to your exchanges and add a new paper trading exchange. Input the desired amount of USDT, and that's it! You can now trade as if it was real money on your exchange.
Think of the paper trading mode as another account. You can add and remove exchanges, and all other functionality remains the same.
The most important difference you should be aware of is that the orders are instantly executed at the triggered price in paper trading. In live trading, however, orders may be executed at different prices due to slippage, or perhaps the order may not be executed at all during high volume.
We cannot account for these differences that can occur with live trading, so always keep this in mind when interpreting results from paper trading.