Smart Margin Integrations

This repo is intended to be a bucket of example scripts that traders can run on a delegated smart margin account. For example, copytrading, grid trading, or any other automated trading service...

Copytrading example service for Kwenta Smart Margin

This service is an illustrative example of how you can construct delegation services for Kwenta Smart Margin using viem. The service allows you to replicate trades from a target wallet to a repeater wallet, allowing automated trading in proportion to the target wallet's activities. This is ideal for traders who wish to automate their trading strategies or follow the trades of another user.

Pre-requisites

• Node.js v16 or higher
• Executor wallet with some ETH for gas fees.
• A Smart Margin account with a delegate executor (see FAQ).
• JSON-RPC URL for the chain you are using. You can use public RPC nodes from Chainlist, but we recommend running your own node for extended rate limits and security reasons.

How it works

1. User delegates to the executor EOA on your Smart Margin account.
2. User runs this service with the delegated EOA, target Smart Margin Account, and your Smart Margin account addresses.
3. Service will listen for new trades on target Smart Margin account and execute them on your Smart Margin account.
4. Service works with amount proportions. If target Smart Margin Account has 1000 sUSD, and your Smart Margin Account has 500 sUSD, service will execute all of trades with 50% from target sizes.
5. Service will execute trades only if your Smart Margin account has enough sUSD to execute trade.
6. Service can copy open/close trades, modify margin, modify size, set stop loss and take profit conditional orders.

Edge cases

Since the script works by calculating the proportions of trades, there may be some trades that will not be executed by this script.

1. If the target Smart Margin account opens a trade for 50% of its deposit (e.g. $1,000) and you only have $99 available, the position opening will be ignored (due to the minimum position size of $50).
2. If the target Smart Margin account performs any type of operation on an existing market position (increase/decrease size, change margin, close position) and your Smart Margin account didn't have the same position, then this operation will be ignored.
3. If the target Smart Margin account increases the margin size of the position - the script will take the same percentage of your position. If there is not enough sUSD in your account to execute a trade, it's trade will be ignored.
4. If the target Smart Margin account decreases the margin size of the position - the script will take the same percentage of your position. If your position has less than $50 of collateral after margin decrease, it's trade will be ignored.

Installation

npm install

Usage

First, you need to create a .env file with the following variables:

CHAIN_ID= # 10 for Optimism Mainnet, 420 for Optimism Goerli
JSON_RPC_URL= # JSON RPC URL for the chain you are using
EXECUTOR_PRIVATE_KEY= # Private key of the EOA wallet that will execute the transactions

It's good practice to use a separate wallet for transactions, but you need to have some ETH on it for gas fees and add the wallet as a delegate to your Smart Margin account.

Read Smart Margin FAQ for more details.

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Then, you can run the scripts with following arguments:

  npm run copytrading -- --target <target-smart-address> --repeater <repeater-smart-address>

Smart Margin FAQ

What is Smart Margin?

You can read more about Smart Margin in Kwenta Docs.

How I can get my smart margin account address?

1. Go to Smart Margin Factory in explorer. Optimism mainnet, Optimism Goerli
2. Open Read Contract tab and call getAccountsOwnedBy function with your wallet address as an argument.

How I can add a delegate to my smart margin account?

1. Go to Smart Margin account in explorer (you can find it in Smart Margin Factory).
2. If your contract doesn't have methods, you need to open tab Code and Click on More Options and select Is this a proxy? to confirm and enable the "Read as Proxy" & "Write as Proxy" tabs.
3. Connect to your owner wallet (not delegate wallet).
4. Open Write as Proxy tab and call addDelegate function with your delegate address as an argument.
5. After transaction is confirmed, you can check your delegate in Read as Proxy tab and call delegates function.

How I can remove a delegate from my smart margin account?

1. Go to Smart Margin account in explorer (you can find it in Smart Margin Factory).
2. If your contract doesn't have methods, you need to open tab Code and Click on More Options and select Is this a proxy? to confirm and enable the "Read as Proxy" & "Write as Proxy" tabs.
3. Connect to your owner wallet (not delegate wallet).
4. Open Write as Proxy tab and call addDelegate function with your delegate address as an argument.
5. After transaction is confirmed, you can check your delegate in Read as Proxy tab and call delegates function.

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