Moomoo Launches US Options Paper Trading Challenge, Co-branded with Nasdaq for Joint Promotion

Rhea-AI Summary

Moomoo announces the launch of an Options Paper Trading Challenge in the U.S., running from January 13 to February 7, 2025. The challenge, co-branded with Nasdaq, offers participants $200,000 in virtual money to trade stock options, ETFs stock options, and index options listed on U.S. exchanges.

Participants will compete for $15,000 in total Cash Rewards, with additional prizes including MacBook Pro, iPhone 16 Pro, and Apple Watch Series 10 for top performers. Weekly rewards of $300, $200, and $100 will be awarded to the top three participants, while those achieving 5% or higher returns will share $6,600 in Cash Rewards.

The challenge features realistic trading conditions with simulated orders matching real market trades, including margin trading and short selling options. Moomoo will host a webinar with Nasdaq on January 16, 2025, focusing on options paper trading education.

Positive

• Partnership with major exchange Nasdaq enhances platform credibility
• $15,000 in total cash rewards and premium tech devices as prizes
• Access to advanced trading tools and 13 options strategies at no cost
• Platform reaches over 24 million global investors

Negative

• None.

Insights

Market Research Analyst

The launch of Moomoo's Options Paper Trading Challenge, co-branded with Nasdaq, represents a strategic move to expand their user base and increase platform engagement. While the $15,000 prize pool and additional rewards are modest relative to FUTU's market cap, the initiative's true value lies in its potential to convert paper traders into active customers.

The partnership with Nasdaq adds credibility and could help Moomoo capture market share in the competitive U.S. options trading space. The timing is strategic, launching in January when retail investors typically show increased interest in trading. The four-week duration is optimal for maintaining engagement while collecting valuable user behavior data.

The focus on options trading education aligns with broader market trends showing growing retail interest in derivatives trading. This could translate to increased revenue through higher-margin options trading fees once users transition to live trading.

Financial Technology Expert

The platform's technical capabilities, including 13 options strategies and advanced P/L analysis tools, position Moomoo competitively against established players like Robinhood and TD Ameritrade. The $200,000 virtual trading capital and realistic market simulation, including margin requirements, demonstrate sophisticated platform infrastructure.

The community aspect, with over 24 million global investors, creates a valuable network effect that could reduce customer acquisition costs and improve user retention. The educational component, featuring free courses and expert webinars, addresses a critical need in the retail trading market while potentially reducing customer support costs.

However, the relatively small prize pool may limit participation compared to competitors' trading competitions. The real value proposition lies in the platform's ability to convert paper traders into active customers who generate recurring revenue through trading commissions and order flow.

Win Prizes and Potentially Elevate Your Options Trading Expertise with Moomoo's Pro-Level Trading Platform Risk-Free

JERSEY CITY, N.J., Jan. 6, 2025 /PRNewswire/ -- Moomoo, the intuitive investment and trading platform that offers $0 commission options trading services ^[1], will launch an Options Paper Trading Challenge ("the Challenge") in the U.S. This presents an outstanding opportunity for U.S. investors to develop, showcase, and refine their trading strategies within a competitive, risk-free, and simulated market environment.

The Challenge will run from January 13, 2025 to February 7, 2025. Participants will compete using moomoo's in-app paper trading feature to try and gain the highest virtual returns. Winners will share Cash Rewards ^[2] totaling $15,000, with additional prizes including a MacBook Pro, iPhone 16 Pro, and Apple Watch Series 10 for the top three winners.

While competitors will strive for the highest virtual percentage return on investment, they can also enhance their trading skills and share trading experiences in moomoo's interactive online community of over 24 million global investors, supplemented by free options investing courses.

Explore diverse trading opportunities with moomoo and Nasdaq

Promoted jointly with Nasdaq, the Challenge is limited to trading in stock options, ETFs stock options, ETF options, and index options listed on U.S. exchanges. Each participant will be funded with $200,000 in virtual money, with both margin trading and short selling options allowed in the Challenge. Simulated orders will match real market trades, ensuring a realistic trading environment. If a participant's net asset value falls below the required maintenance margin, moomoo's paper trading system will liquidate positions in the account, mirroring real-time market conditions. 

Moomoo offers advanced tools, free courses, and various rewards to participants

Challengers can leverage the pro-level tools on moomoo platform, including advanced order types and 13 options strategies. Moomoo's insightful P/L analysis can help users gain a clearer picture of an options strategy's possible performance at expiration before entering a new position.

To foster inclusivity, moomoo offers various rewards, encouraging participation from investors of all levels. At the end of each of the four weeks, the weekly top three participants will earn $300, $200, and $100 in Cash Rewards, respectively. Those who achieve 5% or higher overall virtual returns by the Challenge's conclusion will share a slice of $6,600 in Cash Rewards, excluding the top three winners.

"Our past stock paper trading challenges have proven effective in enhancing trading skills based on users' feedback. As it has been a great learning experience for all the participants, we're excited to introduce options trading into our challenges, encouraging investors to deepen their knowledge and improve their strategies in a competitive, yet risk-free environment," said Neil McDonald, CEO, Moomoo US.

"It is a pleasure to collaborate with moomoo again to advance our shared initiative in promoting financial literacy," added Kevin Davitt, Head of Index Options Content at Nasdaq. "We invite U.S. investors to join this Challenge to help hone their investing skills and pursue a better financial future!"

To enhance participants' understanding of the dynamics and risks associated with options trading, moomoo is partnering with Nasdaq to host a webinar on January 16, 2025, "Options Paper Trading: Kickstart Your Skills with Nasdaq." Kevin Davitt, Head of Index Options Content at Nasdaq Inc., and Justin Zacks, Vice President of Strategy at Moomoo Technologies Inc., will guide attendees through the importance of paper trading as a practical preparation before transitioning to live options trading and participating in the Challenge.

Click here and add this event to your calendar:

https://www.moomoo.com/community/feed/113759193858453?share_code=01U3CP

[1] Terms and conditions apply. Click here for more details:

https://m-match.moomoo.com/contest/options_papertrading 

Disclaimer

The Paper Trading feature in the moomoo app is for educational purposes, enabling simulated trading with virtual funds using live market data. Any orders, returns, costs, and other aspects within Paper Trading are simulated. Virtual performance does not ensure success in a live trading environment.

Cash Rewards represent potential credits for eligible equity purchases in your moomoo brokerage account and hold no other value.

Moomoo is a client of Nasdaq TotalView^®.

About moomoo

Moomoo is an investment and trading platform that empowers global investors with pro-grade, easy-to-use tools, data, and insights. It provides users with the necessary information and technology to make more informed investment decisions. Investors have access to advanced charting tools, technical analytics, and in-depth data. Moomoo grows with its users, cultivating a community where investors share, learn, and grow together in one place. Moomoo provides free access to investment courses, educational materials, and interactive events that any investor, at any level, can gain from. Users can join forum discussions, trending topics, and seminars to better their investment knowledge and insights.

The moomoo app is offered by Moomoo Technologies Inc. ("MTI") a company that is based in Jersey City, NJ. The app is used globally in countries including the U.S., Singapore, Australia, Japan, Malaysia and Canada. MTI is not a broker-dealer and does not provide investment advice or recommendations. In the U.S., securities products and services are offered by Moomoo Financial Inc. ("MFI"), an SEC-registered broker-dealer and member FINRA/SIPC. MTI and MFI are indirect, wholly-owned subsidiaries of Futu Holdings Limited (Nasdaq: FUTU). FUTU has won multiple awards internationally, such as Fortune's 100 Fastest Growing Companies in 2022. Moomoo is not just your investment platform. It is your investment journey.

For more information, please visit moomoo's official website at www.moomoo.com 

 

View original content to download multimedia:https://www.prnewswire.com/news-releases/moomoo-launches-us-options-paper-trading-challenge-co-branded-with-nasdaq-for-joint-promotion-302342744.html

SOURCE moomoo

FAQ

When does Moomoo's 2025 Options Paper Trading Challenge start and end?

The Challenge runs from January 13, 2025 to February 7, 2025.

How much virtual money do participants receive in Moomoo's Options Challenge?

Each participant receives $200,000 in virtual money for trading.

What are the top prizes for Moomoo's 2025 Options Trading Challenge?

The top prizes include shares of $15,000 in Cash Rewards, plus MacBook Pro, iPhone 16 Pro, and Apple Watch Series 10 for the top three winners.

What types of options can be traded in Moomoo's 2025 Challenge?

Participants can trade stock options, ETFs stock options, ETF options, and index options listed on U.S. exchanges.

What are the weekly rewards in Moomoo's Options Trading Challenge?

Weekly top three participants earn $300, $200, and $100 in Cash Rewards respectively.

When is Moomoo's options trading webinar with Nasdaq scheduled?

The webinar 'Options Paper Trading: Kickstart Your Skills with Nasdaq' is scheduled for January 16, 2025.