Beware! ATP Markets is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
ATP Markets is nothing more than an insolent scam – what else can we say about an unlicensed broker who only offers access to a single homepage, does not provide its clients with any sort of legal documents, and only accept payment methods that do not offer a chargeback option?
ATP Markets REGULATION AND SAFETY OF FUNDS
ATP Markets claims to be based in London, the UK but does not provide any proof of being regulated in the country. Each and every licensed broker will be quick to provide you with a license number and a huge amount of company information – such was not the case here. This broker only provided us with a single homepage that barely contained any essential information about trading conditions, or the company itself. From what we did get to learn about ATP Markets’ trading conditions, we could conclude that there is no way that this is a legitimate UK broker – the leverage offered is far too high.
What is more important is that we were unable to find this broker anywhere in the FCA database – the register of the UK’s strict financial regulatory body contains all the forex brokers that are authorized to offer services. ATP Markets was obviously not one of these brokers.
Turning to a legitimate, regulated broker is essential if you do not want to end up scammed. Brokers with a solid license are reliable choice because they have to answer to certain reputable authorities that make sure that all brokers conduct business in a fair and transparent manner. UK brokers, for example, are considered to be among the best in the world – and a company has to meet many requirements before obtaining such a license. There are minimum capital requirements – all brokers are obligated to prove their financial stability by holding capital of at least €730 000 – and sometimes more if the broker has many clients. If such a broker does go bankrupt despite all safety measures, its clients would be entitled to compensation of up to £85 000 because UK brokers are obligated to participate in the Financial Services Compensation Scheme (FSCS). But since your capital is always kept in segregated bank accounts so that broker money and client money do not mix, it is extremely unlikely for your deposit to be lost if your broker becomes insolvent.
All of these protections would not be available if you choose to trade with unregulated scam brokers like ATP Markets.
ATP Markets TRADING SOFTWARE
ATP Markets provided access to a fairly decent web-based trading platform. The software was intuitive, offered a fair number of charting and analysis tools, and was an all in all good solution for traders who are just starting out and want to get trade on an easy-to-use trading platform.
However, such a platform does not offer a particularly high level of functionality. Even as a beginner, you would benefit from trading on a more advanced platform. MetaTrader 4 and MetaTrader 5 are both fairly beginner-friendly but offer a huge number of useful tools – not only a full charting and analysis package but also features such as Expert Advisors, VPSs, a Strategy Tester, the chance to set trading signals or to subscribe to those set by other traders, a market for trading apps, the possibility to develop your own trading bots and indicators, and much more.
ATP Markets TRADING CONDITIONS
ATP Markets offers various account types and allows you to trade the most popular markets – forex, commodities, shares, indices, and cryptocurrencies. The minimum amount you would have to deposit is $250 unless you are transferring money via bank wire transfer – in this case, you would have to invest at least $500. Neither of these prices is very affordable – some of the best, most renowned brokers out there would be willing to open an account for you for as little as $10.
The spread the broker offered stuck around 0.2 pips on EURUSD – which is actually great and way lower than the industry average of 1.5 pips. However, we would suggest that you hold your horses – the broker has not provided us with any sort of Terms and Conditions (a huge red flag in itself) and has not mentioned anything about the sort of commissions it charges. Those might as well turn out to be huge and destroy your chance of turning any sort of profit. Moreover, scammers are known to manipulate platforms in order to fabricate great results and fool you into investing – at a later point, it might turn out that their conditions are not remotely as good.
The maximum leverage ATP Markets promised was 1:200 but we were only allowed to trade with leverage of up to 1:100. Both of these ratios are far too high for any legitimate UK broker to offer legally. Because of the fact that trading with high leverage could lead to much bigger losses – and not just to fast, big profits as many scam brokers would have you believe without informing you about any potential risks – many countries have imposed leverage restrictions. UK brokers – something ATP Markets claims to be – cannot offer rates higher than 1:30 on forex majors to retail traders. If you think you can handle trading with a leverage of 1:100, better check out brokers who can offer such rates legally.
ATP Markets DEPOSIT/WITHDRAWAL METHODS AND FEES
ATP Markets accepts deposits made in crypto – in Bitcoin or Tether – through a crypto exchange like Moonpay where you can purchase these cryptos with your credit or debit card, or via wire transfer. The problem with all of these payment methods is that you would not be able to get a chargeback on your payment if you have deposited it in such a way. Cryptocurrency transactions are irreversible by default – all of them go into a ledger that cannot be changed or tainted at a later point. They are also anonymous because they can only be traced to a wallet but not to a person or organization. That is why scammers often urge you to use this specific payment method. Although bank wire transfers can be reversed, it is extremely unlikely that such a thing would happen. If you have already deposited with this fraudulent broker, do not expect to get your money back any time soon.
HOW DOES THE SCAM WORK?
Such scams are not only becoming more frequent but they are also surprisingly effective – which is why the first and most important step if you want to protect yourself from them, is to understand how they work.
You stumble upon a broker on the Internet – that broker promises to make you a rich, successful trader in no time. You are curious to see what forex brokers are all about – after all, you have heard stories of people becoming rich by trading – and provide the scammers with your phone number and email. After that, you would not be left alone before you have deposited – these people are seasoned scammers and will convince you to transfer money in no time.
This will not be enough though – the broker will keep asking for more and more money, and since scammers often manipulate profits and platforms, you might even be happy to invest because you would be thinking that you are turning a profit.
Once you try to withdraw, however, the problems will start – the broker will start denying withdrawals because of certain clauses in the Terms and Conditions, because of previously unmentioned fees and taxes, etc. At this point, you will find out that there is something wrong going on – but the scammers will be long-gone with your money before you can do anything.
WHAT TO DO WHEN SCAMMED?
Do not get desperate and do not employ any so-called “recovery agencies” that promise to track down the scammers and retrieve your money for a fee – this is just another type of scam.
What you should do is notify the responsible authorities in your country and contact your bank to let them know that you have been scammed. Change all your banking passwords and remove all remote access software the scammers had you install under false pretenses – they only wanted access to your computer and your banking systems.
If you have deposited with a Visa or MasterCard card, you might be able to retrieve your money – both card providers allow chargebacks within 540 days of the transaction so contact your card issuer as soon as possible.
Finally, make sure to share your story with as many people as possible to let them know that such scams exist and how they work. This way, others can avoid losing their money in the future.