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The first rule of crypto trading is…
DON'T GIVE ANYONE EVER YOUR ACCOUNT DETAILS OR let anyone trade your account.
your account details
Especially if they say something like they are Whale Account Services. They turned into a scammer. It is that easy – really, and still, I have to write this article. Recently, our reader reached out and asked us to publish his experience with such a service. Frankly, the outcome was not really surprising. We totally understand holders who want to increase their stack. The best solution would obviously be hands-free for the most part. So it might be tempting to some to hand over the account details. From there, let them trade your account with heaven. Well, this can go very wrong, and the “Whale Clients” by Crypto____ can feel it right now.
First off, yes—Crypto_____ was in our best Discord Signals post. Still, I think he pretended to be a talented trader. When it comes to technical analysis, it really appears like he knows the crypto markets inside and out. Hence, we listed the service on our site. The trade setups have been good, and they came most often with elaborate reasoning. It appears as if we have a great trader here.
Buyer Beware of Whale Account Services!
However, I was notified by a member that Crypto—- Blankedy Blank does not even deserve a mention here. We will keep his name in the dirt where it belongs. Anyway, he started a “whale account service program” – trading on behalf of the clients. We didn't touch such things, and we smelled trouble from 10 miles away. At first, we thought, OK – it doesn't concern the signals we reviewed. It is a service in its own right, and a note was added. A reminder of what they looked like. (Please ignore the typos; I just recognized them and wanted to present the original screenshot, cough):
On top of that, we warn in general from such things in the disclaimer:
Meanwhile, the signal service itself took a hit. The leverage became way beyond what we would suggest. Sometimes he started to push out many signals at once. He got greedy, imo, which is why the whale account services started.
Raises an eyebrow. This is more of a gambler's attitude than that of a reliable trader who knows how to manage risk. This can be risky in Crypto, as many of these signals have been for the altcoin futures on BitMEX. I assume he wanted to initiate a multi-kill and push his stats, leveraging the high leverage to increase his accuracy and the profits he had shown. Bitcoin looked set to drop, so he issued short signals on most altcoin futures.
This is dangerous as it increases your chances of losing all these trades at once. Furthermore, he suggested max leverage for almost all adults; this can liquidate you quickly, especially on expensive contracts like BCH. The trader in question knows very well that these pairs move together, highly connected to the direction in which XBT moves – it should become a series of winners, but as always in these situations, the odds turned against him, and all became losers. This is what unreliable trading looks like. We saw this and didn't like it.
Whale Account Services scammer is an African Scammer
This, along with the new “Whale Account Services scam,” led us to the decision to delist the channel. Still, people signed up for the “Whale Service”. Trader traded. Gainnnzzzzz. Hooray. The trader started gambling. Funds lost. Bam.
Frankly, this is my honest opinion: the trader in this case has good trading skills. But you never want to sacrifice risk management for exaggerated confidence in your own trades, especially not when trading clients' funds. The amount of money lost is beyond imagination. It makes me dizzy even thinking about this kind of loss.
As mentioned at the beginning, we were informed by a reader about the “Whale Service” and what was done. It turned out it was an actual “Whale Feed Service” and one of the fastest ways to lose your money.
Here is his whole story; read it and learn from his experience
If you are thinking about joining a “Whale Account Services” – if from Crypto___ or anyone else – you might feel excited at first. A pro trades your big stack, and you fantasize about doubling it quickly – then come back to this report, read it, and imagine this is you once you start. Just put yourself in this guy's shoes and see if you like being there. We have seen these experiences countless times. And still, every day, another guy with a big bunch of BTC gets out of his bed, gets a coffee, and decides to participate in such stupidity.
Remember, you flip huge amounts of money without contracts or other securities – it is INSANE. If you want such a thing, go for a legally approved fund management by a real company. As you can see from the document above, the customer begged for a stop-loss to be applied and for actual risk management, but the trader just ignored it! Working with contracts gives you the ease of fixing such things. Sure, you can still lose if the fund management service is bad, but it lets you set up a proper set of rules they have to work within, making them legally liable.
You might also ask, what about the signal providers we have on our side? Some of them offer an auto trader; can't this happen with them as well? Yes and no; you never know if a trader starts doing stupid things. It is outside your control, but with the auto trader software, you manage your risk by setting stop-loss rules and using percentage targets per trade. Check the liability weaver properly before you sign it – this is a piece of general advice.
WE URGE YOU: NEVER TRUST A WHALE ACCOUNT SERVICE PROGRAM WITHOUT A PROPER LEGAL SETUP!
To summarize:
- NEVER HAND OUT YOUR LOGIN DETAILS TO ANYONE
- THERE ARE NO CONSISTENT FAST LANES TO RICHES
- HUGE, FAST GAINS MEAN FAST LOSSES ALMOST EVERY TIME
- NEVER TRUST SOMEONE YOU MEET ONLINE AND EMPOWER HIM/HER TO TRADE YOUR ACCOUNT WITHOUT YOUR CONTROL
- YOU CAN STOP ALL API TRADING ACTIVITIES BY SIMPLY DELETING THE API KEY. IT IS MORE DIFFICULT IF THE TRADER LOGS INTO YOUR ACTUAL ACCOUNT
- GAMBLERS ALWAYS NEED MORE, MORE, MORE. FEELING PUSHED BY A PROVIDER TO SIGN UP FOR A WHALE PROGRAMME? MOVE ON AS QUICKLY AS YOU CAN
- FUND MANAGEMENT ALWAYS NEEDS A CONTRACT AND A PROPER LEGAL BASE – DO NOT MOVE A SATOSHI IF THIS IS NOT GIVEN
- TRUST YOUR GUTS – IF YOUR INTUITION TELLS YOU SOMETHING IS NOT RIGHT, IT LIKELY ISN'T
- ASK HOW THE RISK MANAGEMENT WORKS AND HAVE IT SEALED IN THE CONTRACT
