CoTrade Pool Setup
DeCA allows any user to create a CoTrade Pool for perpetual futures using a DCA (Dollar-Cost Averaging) approach. This feature empowers traders to gradually build positions while distributing both profit potential and downside risk across a community of participants.
When setting up a CoTrade Pool, the creator can define the following key parameters:
Total Pool (USDC): The total amount of capital to be raised for the pool. This determines the pool’s maximum collective position size.
DCA Step Size: The price interval between each DCA layer. It dictates how frequently the system executes new buy or sell orders as prices move.
DCA Amount: The amount of capital deployed for each DCA step, allowing participants to lower their average entry price and smooth volatility impact.
Margin Allocation: Users can adjust the ratio between funds used for margin collateral and funds used for DCA orders -a level of flexibility rarely found in other DCA-based trading systems. While most trading platforms fix this ratio at 50% for margin and 50% for DCA, DeCA allows users to freely customize this balance for each DCA setup. This customization gives traders the ability to fine-tune their risk exposure and capital efficiency according to their personal strategy.
Once parameters are configured, the interface automatically presents real-time simulation metrics, including:
Final Position Size - The estimated total size after all DCA executions.
Average Entry Price -The weighted average entry price after all DCA steps.
Liquidation Price -The estimated liquidation level based on leverage and margin.
Total Margin - The total collateral required for the strategy.
Total DCA Steps - The number of DCA orders configured in the plan.
These indicators allow users to clearly understand their potential risk and profit scenarios before activating the strategy.
After reviewing and confirming the configuration, the pool creator can activate CoTrade Pool, enabling smart contracts to automatically execute DCA steps as the market evolves. Every DCA operation is executed transparently on-chain, ensuring fairness and full traceability for all participants.
As more users contribute to the pool, the Master Position gains additional capital for DCA scaling, increasing position resilience and reducing the likelihood of liquidation - effectively making the position “near-immortal” in volatile market conditions.
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