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What Trading Strategies Are Prohibited?

Updated over 2 months ago

Here’s your full updated Prohibited Trading Strategies article for Solana Funded with the oversized-margin example and without any leveraged-trading references.


What Trading Strategies Are Prohibited?

At Solana Funded, we’re committed to keeping our trading environment fair, realistic, and skill-based — reflecting real-world Solana meme coin market conditions. Some tactics are banned because they exploit platform mechanics, feed delays, or market quirks in ways that can’t be replicated sustainably in actual trading.

Violating these rules will result in an immediate account breach and possible permanent ban.


1. Latency Arbitrage

Placing trades based on delays between our price feed and the actual market — essentially “sniping” outdated quotes.

  • Why it’s banned: In live markets, liquidity providers quickly eliminate these gaps.

  • Example: Using a bot to detect price moves on a DEX like Jupiter, then instantly executing on our platform before the feed updates.


2. Quote Manipulation

Submitting and rapidly canceling large orders to influence the order book without the intent to execute.

  • Why it’s banned: Misleads other traders and distorts market activity.

  • Example: Placing a massive buy wall on a thinly traded meme coin to make it appear bullish, then canceling it before execution.


3. Oversized “All-In” Gambling Trades

Opening trades that use an excessively large percentage of your available margin in a single position, aiming for a quick win rather than consistent growth.

  • Why it’s banned: Ignores proper risk management, often resulting in breaches rather than skill-based results.

  • Example: Using 60% or more of your available margin on a single meme coin trade in hopes of catching a rapid pump.


4. Platform Glitch Exploitation

Trading to take advantage of bugs, mispricing, calculation errors, or execution delays on our system.

  • Why it’s banned: Profits are based on system flaws, not trading skill.

  • Example: Exploiting a price display error to open multiple trades before it’s fixed.


5. Multi-Account or Cross-Account Copy Trading

Operating multiple accounts simultaneously (directly or via others) to hedge or circumvent rules.

  • Why it’s banned: Allows risk-free positioning and bypasses drawdown rules.

  • Example: Going long on one Solana Funded account and short on another to guarantee a win.


6. Coordinated Pump & Dump Participation

Joining organized efforts to artificially inflate and then crash a meme coin’s price.

  • Why it’s banned: This is manipulation, illegal in many places, and distorts the market environment.

  • Example: Entering a low-cap token minutes before a Telegram group initiates a “BUY NOW” raid.


7. Insider Information Trading

Trading using non-public details from token developers, influencers, or private groups.

  • Why it’s banned: Creates an uneven playing field and can breach insider trading laws.

  • Example: Acting on advance knowledge of a token’s planned exchange listing.


8. Guaranteed Win “Hedging”

Opening offsetting positions to eliminate risk entirely, especially across accounts or platforms.

  • Why it’s banned: Bypasses intended challenge risk parameters.

  • Example: Long on our platform, short on another exchange with identical size on the same asset.


9. Excessive Spread Scalping

Opening ultra-high-frequency trades aimed solely at exploiting tiny spread differences rather than actual price moves.

  • Why it’s banned: This approach isn’t realistically scalable in live meme coin markets without heavy slippage.

  • Example: Running a bot that executes hundreds of trades per minute to capture fractions of a cent.


10. Exploiting Funding or Fee Calculation Errors

Trading to take advantage of mistakes in how we calculate fees, swaps, or funding.

  • Why it’s banned: It’s a platform loophole, not skill-based profit.

  • Example: Entering oversized positions solely to profit from a mistakenly negative fee rate.

Important Note

We may classify new prohibited strategies at any time if they undermine the fairness or realism of the trading environment — even if they’re not listed here.


Pro Tip:
If you’re unsure whether a strategy is allowed, ask first at [email protected]. Confirming before trading is far safer than risking a breach.

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