What is the use of trading bots? How to use Gate trading bots?

Crypto asset traders often face a dilemma: wanting to seize the 24/7 fluctuation market opportunities while struggling to avoid losses caused by emotional decision-making. This is precisely the area where the value of Bots is highlighted.

As an automated trading tool, Bots can respond to market changes in milliseconds, execute preset strategies, and address the speed and emotional issues of human operations. The recently upgraded AI Bot Pro on the Gate platform takes this field to a new frontier of intelligent trading.

##The Core Value of Trading Bots

In the rapidly fluctuating crypto market, emotions often lead investors to buy or sell at the wrong time. Traditional manual trading faces two major challenges: the inability to continuously monitor the market and decision-making being easily influenced by fear or greed.

The emergence of automated trading tools is precisely to solve these problems:

• Operate around the clock: No time restrictions, capturing trading opportunities across different global time zones.
• Strategy Discipline: Strictly execute according to preset logic, avoiding emotional interference.
• Multi-strategy parallelism: Diversify risks while running various strategies to cope with different market environments.
• Millisecond-level response: far surpassing human reaction speed, capturing fleeting arbitrage opportunities.

##Gate's AI-Driven Innovation: AI Bot Pro

On July 21, 2025, Gate officially launched AI Bot Pro, a significant upgrade to its Bots products. Compared to traditional quantitative Bots, this solution is based on artificial intelligence technology, providing more transparent strategy choices and risk perception capabilities.

Three Core Strategy Types

Strategy Type | Applicable Market | Target Users | Current Status --- | --- | --- | --- Fluctuation Band Arbitrage | Price Range Fluctuation (e.g., BTC Consolidation) | Conservative/Neutral Traders | Now Online Trend Active Tracking | Clear Market Trends (Especially Bullish) | Aggressive/Trend Traders | Coming Soon Reverse Price Spread Lock Profit | Reverse Signal Appears in Bear Market | Arbitrage/Risk Sensitive | Coming Soon

1. Range-Bound Arbitrage, as the first launched strategy, is designed specifically for markets where prices fluctuate within a range. It achieves "buy low, sell high" by identifying high and low price points and frequently engaging in long and short trading in the futures market. Historical data shows that this strategy performs better than passive holding on BTC, ETH, and SOL.
2. The Trend-Following strategy focuses on clearly trending markets, especially bullish trends. It dynamically identifies trend initiation points and adjusts position sizes, aiming to achieve dual returns of "holding + trend."
3. Reverse Spread Lock-in focuses on finding reversal signals in a declining market, locking in small price differences through risk control, suitable for risk-sensitive traders.

##Zero Fee Structure and Simple Operation

AI Bot Pro operates on a model of zero management fees and zero profit sharing. Users only need three steps to activate the strategy: open the "Bots homepage" in the Gate App, click on "Ultra AI," and enter the "AIBotPro" module to start using it.

The strategy page not only displays historical backtesting data but also provides excess return indicators—measuring additional returns compared to passive holding—as well as real user cases to help traders comprehensively assess strategy performance.

##User Guide: From Beginner to Practice

###AI Bot Pro Quick Start

1. Complete registration and identity verification on the Gate official website or App.
2. Account Recharge (supports multiple Crypto Assets)
3. Navigate to "Bots Homepage" > "Ultra AI" > "AIBotPro"
4. Select coin (currently supports BTC, ETH, SOL)
5. Choose the strategy type based on risk preference
6. Set parameters (acceptable stop loss range, etc.)
7. Invest funds and start the strategy

Grid Trading Settings

Apart from AI Bot Pro, Gate's traditional grid trading remains an effective tool for dealing with Fluctuation markets:

1. Select trading pair (e.g. BTC/USDT)
2. Set grid interval: starting price, ending price
3. Determine the grid type: Arithmetic (fixed price difference) or Geometric (fixed price ratio)
4. Set the buy and sell quantity for each grid layer
5. Define the total investment and risk management rules

The principle of grid trading is to automatically execute "buy low, sell high" within a preset price range. When the price reaches a grid point, the system trades automatically without the need for manual monitoring. The key is to choose trading pairs with moderate and regular fluctuations, avoiding one-sided market conditions that could lead to strategy failure.

Copy Trading Practice

For beginners, following experienced traders is a low-threshold starting point:

1. Enter the "Quantitative Copy Trading" page (formerly "Quantitative Trading Center")
2. Filter strategies on the leaderboard (by annualized return, total profit, and other indicators)
3. View the historical performance and risk data of signal providers
4. Click "Copy Strategy" to create your own follow-up order.
5. Set stop-loss points and follow-up amounts

Gate's copy trading system transparently displays strategy performance, such as the current highest yield strategy "margin_grid" with a seven-day annualized return of 2991.82%. However, it should be noted: high returns come with high risks, and it is essential to assess your own risk tolerance.

##Latest Updates: TOWNS Bots Now Live

As of the latest news on August 5, 2025, Gate has launched the Bots service for Towns (TOWNS). The specific timeline is:

• August 5, 22:40 ( UTC+80 ): Launch of TOWNS perpetual contract (USDT settled), supporting 1 - 20 times leverage.
• Within 1 hour of the contract launch: Open copy trading and Bots services
• 1 hour after spot launch: Enable TOWNS flash exchange and fixed investment functions

This provides traders with an early opportunity to apply automated strategies on newly listed tokens. However, it is important to note that the prices of new tokens can fluctuate significantly, so it is advisable to start with a small amount and set strict stop-losses.

##Risk Management and Best Practices

Despite the many advantages of trading Bots, they are not a "sure-win" tool:

• Backtesting does not represent the future: Historical data cannot fully predict future market fluctuations.
• Risk of overfitting parameters: Avoid strategies that seek perfect matches with historical data.
• Extreme Market Challenges: Black Swan Events May Lead to Strategy Failure

The Gate team recommends that users take the following risk control measures:

1. Start small: First test the strategy performance with a simulation or minimal funds.
2. Diversification Strategy: Do not invest all funds into a single strategy or coin.
3. Dynamic Stop Loss: Set stop loss points adjusted based on Fluctuation.
4. Periodic Review: Evaluate the performance of the strategy and its market adaptability at least once a month.
5. Avoid high leverage: While leverage amplifies profits, it also accelerates losses.

Especially in fluctuating markets, light position trading is a more stable choice. It can reduce risks and avoid liquidation caused by significant market fluctuations.

##Conclusion

The trading Bots are reshaping the landscape of Crypto Assets investment. Gate's AI Bot Pro analyzes multi-period market data using artificial intelligence to match strategies for different market conditions, allowing ordinary traders to gain institutional-level analytical capabilities.

Whether it is dealing with the fluctuation of swing arbitrage, capturing trends through active tracking, or classic grid strategies, choosing tools that match one's risk tolerance is crucial. With the launch of the robot functions for new coins like TOWNS on August 5, Gate continues to expand the boundaries of automated trading.

But it is important to remember: there is no universal strategy. In the high Fluctuation environment of the encryption world, rationally allocating funds and strictly controlling risks are the foundations for the Bots to realize their true value.