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Risk Disclosure

The main risks of running a LatchTrade bot.

Before using LatchTrade, make sure you understand the trading, execution, infrastructure, wallet, and regulatory risks involved in hosted Polymarket copy trading.

1. General Risk Warning

Using LatchTrade to run hosted Polymarket copy-trading bots is speculative and involves a substantial risk of loss. You can lose all of the capital you allocate to trading through a bot.

LatchTrade is a software and infrastructure service. It does not remove market risk, guarantee profits, or guarantee that a copied trade will be profitable or even executable.

Only use funds you can afford to lose. Do not use borrowed money, emergency savings, rent, payroll, or any funds you cannot afford to have tied up or lost.

2. Prediction Market Risk

Polymarket markets are outcome-driven and many resolve on a binary basis. Being on the wrong side of a market can result in a complete loss on that position.

Markets may resolve later than expected, have thin liquidity, move sharply around breaking news, or behave differently from what a user assumes from the headline alone.

You are exposed to Polymarket market structure, event resolution mechanics, and the behavior of public participants in those markets.

3. Copy Trading Risk

LatchTrade follows public trader activity, but copied trades are not guaranteed to match the original trader’s outcome, timing, size, or profitability.

Past performance of any trader, wallet, leaderboard entry, or public profile does not guarantee future results. A trader who performed well before may perform badly later, change behavior abruptly, or stop trading entirely.

If you follow only one trader or a small set of traders, your risk is concentrated. A bad period from one copied wallet can materially affect your account.

4. Execution and Slippage Risk

There is always latency between a public trader’s action and your bot’s attempt to react. During that window, the price, liquidity, or market state may change.

Your bot may receive a worse price than the original trader, may get partially filled, or may fail to place the trade at all. Fast markets and low-liquidity markets make this more likely.

Even if the copied trader ultimately profits, your bot may not match that result because your entry, exit, and execution conditions can differ.

5. Automation and Infrastructure Risk

LatchTrade depends on hosted infrastructure, cloud services, job queues, bot services, APIs, and third-party systems. Any failure in that chain can lead to delayed trades, missed trades, inaccurate logs, or downtime.

Software defects, service interruptions, deployment failures, infrastructure maintenance, queue delays, bad market data, or upstream outages may affect bot behavior.

A bot can pause, fail, miss an opportunity, or behave differently from what you expected if surrounding systems are degraded or unavailable.

6. Wallet and Credential Risk

LatchTrade requires your trading key so the bot can authorize trades on your behalf. That key is encrypted and stored separately from the main app database, but using any hosted trading system still carries credential risk.

If you provide the wrong wallet, wrong key, insufficiently funded wallet, or a wallet that is unsuitable for bot activity, your bot may fail or trade in a way you did not intend.

You are responsible for choosing a dedicated wallet setup that fits your own risk tolerance. LatchTrade cannot recover funds lost from incorrect wallet setup, wrong deposits, or user-side credential mistakes.

7. Blockchain and Network Risk

LatchTrade depends on public blockchain infrastructure and Polymarket-related services. Congestion, RPC failures, network instability, chain-level problems, or third-party integration failures can affect execution and reporting.

Transactions, once submitted and confirmed on-chain where applicable, may be irreversible. Delays, fees, or failures in surrounding infrastructure can change the economics of smaller trades.

8. Liquidity and Market Availability Risk

Not every market has enough depth to absorb copied orders cleanly. Thin markets may move sharply or reject orders entirely.

A market or orderbook may no longer be available by the time a bot tries to place the copied trade. In those cases, a copied trade can fail even though the original public trade already went through.

9. Regulatory and Jurisdiction Risk

Prediction markets, crypto-related services, and automated trading tools may be restricted, regulated, or prohibited in some jurisdictions. Laws can change with little notice.

You are solely responsible for determining whether it is lawful for you to use LatchTrade, Polymarket, and any related trading setup in your jurisdiction.

Tax treatment, reporting obligations, and compliance requirements may differ by country or region. LatchTrade does not provide legal or tax advice.

10. No Financial Advice

LatchTrade is not a financial advisor, broker, exchange, custodian, or investment manager. Nothing on the site, including trader pages, dashboard metrics, public account lists, trade logs, support messages, or product copy, is financial, legal, or tax advice.

Any decision to follow a trader, fund a wallet, choose a bot tier, or keep a bot running is your decision and your responsibility.

11. Practical Risk Controls

Risk cannot be removed, but users can reduce exposure by operating more carefully.

  • Start with small amounts before increasing size.
  • Use a dedicated trading wallet rather than your primary personal wallet.
  • Set sensible per-trade size and risk limits.
  • Review who you are copying instead of relying only on past visible results.
  • Monitor your dashboard and trade log regularly rather than assuming the bot is behaving exactly as intended.
  • Pause the bot when market conditions, trader behavior, or wallet funding no longer fit your plan.

12. User Acknowledgment

By using LatchTrade, you acknowledge that you understand and accept the risks described on this page.

That includes the possibility of losing all capital allocated to bot trading, receiving materially different execution from a copied trader, and experiencing failures caused by software, market conditions, wallets, infrastructure, or third-party systems.

13. Contact

If you have questions about this Risk Disclosure, contact LatchTrade at latchtrade@gmail.com before funding a wallet or running a bot.

Risk Disclosure | LatchTrade