How syndicates work
Updated
A syndicate is a shared pool of money with a public record. Some people run it and trade it. Others back it with a deposit. This guide covers both sides, how people join, and what anyone can see.
Two roles
Operators trade the pool. Backers deposit into it. A syndicate can have up to 8 operators and up to 500 backers.
Every operator can place trades for a syndicate. Backers cannot.
Running a syndicate
A syndicate moves through three stages: draft, active and closed. Opening it creates the syndicate's wallet so backers can deposit. People can still join after it opens.
The creator sets the trading rules. The pool can trade any token, or only tokens on a list. USDC is always treated as cash. The rules also cap how much of the pool a single trade may use. Closing a position is never capped. The page shows these rules as one plain sentence.
Operators trade from the normal trade ticket. They pick the syndicate as the source of funds instead of their own account. Trading tokens on EVM chains is off until the operators turn it on.
Backing a syndicate
Any member can deposit, operators included, and everyone deposits on the same terms. The smallest deposit is 1 USDC.
A deposit buys units of the pool at its current value. A withdrawal sells units back at the value of that moment. If the pool has gained, your units are worth more. If it has lost, they are worth less.
Withdrawals are paid only from the pool's free cash. If the money is tied up in positions, an operator may need to close some of them before you can leave. Leaving withdraws your whole stake. A syndicate that has closed still pays its members out.
Joining
A syndicate is either invite-only or open. Invite-only is the default. An invite code carries a role and a number of places, from 1 to 100. An open syndicate can be joined from its page.
A paid mode through Whop is in testing and is not live. It sells access to a syndicate's community updates. It never gives access to the shared money, which needs a separate invitation.
Who holds the money
Each syndicate has its own wallet, held through Privy. A majority of its operators controls that wallet. A backer can only send capped USDC from it to their own account. Read more about custody.
What is public
Anyone can see a syndicate's page and its member list. The record shows its cash, what it holds now, its open and closed positions, and its realized profit and loss. Your own stake and the activity ledger are visible to members only.