Differences and limitations
Key differences between paper and live trading in Coinrule.
Paper and live trading differ across 8 key dimensions — from whether orders are real to how fees and slippage are handled. Understanding these differences helps you interpret paper results and set realistic expectations before going live.
How do paper and live trading compare?
| Aspect | Paper trading | Live trading |
|---|---|---|
| Orders | Simulated (no exchange call) | Real orders on the exchange |
| Balance | Virtual $10,000 USDT per strategy | Real funds from your connected account |
| Fees | Not simulated | Real exchange fees (deducted from balance) |
| Slippage | Not simulated | Real market impact |
| Balance reset | Not available | N/A |
| Custom starting balance | Not available — always $10,000 | Real balance on your exchange |
| Low-balance pausing | Not triggered | Strategy pauses if free-plan balance runs low |
| P&L tracking | Yes (against virtual balance) | Yes (against real cost basis) |
Fee and slippage reality check
Paper trading fills at the current mid-price with zero fees and zero slippage. On a live strategy:
- Fees reduce your actual P&L vs paper (typically 0.05–0.1% per trade on crypto exchanges).
- Slippage on large or illiquid positions can be significant.
When comparing a paper result to a live result, expect the live strategy to underperform the paper version by the sum of fees and slippage costs.
Are paper balances per-strategy?
Paper balances are per-strategy, not per-exchange or per-account. Running two paper strategies simultaneously gives each its own $10,000 virtual balance — they don't share or compete for funds.
Can you reset a paper balance?
The $10,000 paper balance is fixed at strategy launch. There is no way to reset it or change the starting amount. If you want to restart with a fresh virtual balance, stop the strategy and launch a new one.