Beware! Americryptotrade is an offshore broker! Your investment may be at risk.

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Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.

 

Americryptotrade assures us that it can help us take our trade to the next level. But the truth is different – Americryptotrade only offers us a way to end up scammed.

This website is nothing more than yet another fraudulent scheme trying to capitalise on the hype surrounding cryptocurrencies and the lack of knowledge about financial trading among the general public. In this review, we’ll show you how to spot fake investment intermediaries and choose a trustworthy one.

Americryptotrade Regulation and safety of funds

Guaranteed FundsSegregated AccountsNegative balance protection
Americryptotrade
UK regulated brokers£85 000YesYes
EU regulated brokers€20 000YesYes
AU regulated brokersNoYesYes
US regulted brokersYesYesNo

The most important information about a financial services provider is its regulatory status. Licensed brokers provide detailed information about which company runs them, where it is based, which jurisdictions it is authorised in and which regulatory bodies oversee its activities.

Americryptotrade is anonymous and does not provide access to Customer Agreement or other documentation required by law. That in itself is a big enough red flag that we are dealing with a scam and not a legitimate financial services provider.

Americryptotrade doesn’t even maintain a coherent version of what it represents itself to be. According to the homepage of the website this is a forex and CFD broker based in the US, but according to the FAQ the section is actually “UK-based cloud crypto mining initiative that prides itself on the security of its users”.

A check of the records of financial regulators in the U.S. and U.K. predictably showed that there was no authorised broker using the Americryptotrade brand and domain.

Under no circumstances should you trust your money to such anonymous websites full of false and contradictory information. Instead, you can turn to one of the many companies that really work under the supervision of respected regulatory bodies like Cyprus Securities and Exchange Commission (CySEC) or Financial Conduct Authority (FCA) in the UK.

As their customer you will enjoy a number of guarantees including negative balance protection and guarantee for your funds if the broker goes bankrupt, which goes up to EUR 20,000 in EU and 85,000 GBP in the UK. Regulations in the UK and EU include some important measures designed to improve investor protection and promote market integrity and transparency, such as transaction reporting. Regulated brokers are also required to segregate their operational funds from the client’s money.

Americryptotrade Trading software

Analytical toolsAuto tradingCustom indicatorsMobile apps
Americryptotrade platform
MT430+ indicatorsAndroid and iOS
MT550+ indicatorsAndroid and iOS
cTrader40+ indicatorsAndroid and iOS

Americryptotrade does not provide information on the most important tool for forex trading, software. All features on the dashboard of the website are not available unless the account is verified by providing proof of identity. It goes without saying, but it is not a good idea to provide your personal information on a website that is itself anonymous.

But even Americryptotrade has some kind of trading software, that would not make this website credible. Fake brokers use rigged trading software to mislead their victims that their money is really being invested. But this trade is entirely sham.

If you use the services of a licensed broker, you will get the opportunity to use established software with advanced features and versions for all types of devices and operating systems. The most widely used trading platforms in the industry are MetaTrader 4 (MT4) and MetaTrader 5 (MT5).

These platforms have established themselves as industry standard because they offer a wide range of features, including a variety of options for customization, multiple account usage, designing and implementing custom scripts for automated trading and backtesting trade strategies.

Americryptotrade Trading instruments

CurrencyStocksIndicesCryptoCommodities
Americryptotrade
XMYesYesYesNoYes
FBSYesYesYesYesYes
FXTMYesYesYesYesYes

Americryptotrade advertises trading in forex, CFDs, indices, stocks, precious metals and cryptocurrencies. But as we have seen, this shady website lacks the legal authorization, and probably also the software, necessary to facilitate trading in financial instruments.

Americryptotrade Spreads and cost of trading

AmericryptotradeXMFBSFXTM
Spread EURUSD0.611.1
Spread GBPUSD1.31.21.4
Spread USDJPY1.31.21.4

Americryptotrade promises tight spreads but does not provide any specific information about the parameters of the trade it claims to offer. Genuine forex brokers provide detailed information about the trading conditions. Legitimate companies also offer different account types to suit clients with different experience, capital and investment intentions.

Americryptotrade Maximum leverage

ForexStocksCryptoGoldIndices
Americryptotrade
UK regulated brokers30:15:110:110:1
EU regulated brokers30:15:12:110:110:1
AU regulated brokers30:15:12:110:110:1
US regulated brokers50:1

High leverage creates the opportunity for more significant profit, but correspondingly increases the risk of sudden and excessive losses. All leading regulators therefore restrict leverage for retail traders.

Regulated brokers offer higher leverage only to professional clients who must meet very high standards for capital and experience and forgo the guarantees enjoyed by retail traders.

If you don’t qualify as a professional trader but are willing to take the risk of high-leverage trading, the most viable option is to use the services of an offshore affiliate of an established brand.

Americryptotrade Deposit and withdrawal methods

Deposit timeWithdrawal timePrice
Crypto24 hours24 hoursFee depends on crypto

Americryptotrade only uses cryptocurrencies, which is typical for financial scams of this type.

Cryptocurrencies are their payment method of choice because on the one hand they allow the scammer a degree of anonymity, and on the other hand they do not allow the scammed to ask for a refund.

While there are some legitimate brokers that accept digital currencies like Bitcoin, they do so alongside other transparent payment methods such as credit/debit card, bank transfer or popular e-wallets like PayPal, Neteller or Skrill.

Americryptotrade Minimum deposit

AmericryptotradeXMFBSFXTM
Minimum depositN/A$5$10$5

There is no need to take chances with blatant scams like Americryptotrade given that the leading global brokers offer novice investors starter trading accounts with a very low minimum deposit.

Americryptotrade Withdrawal requirements

Trading volumeFee/Tax on withdrawalMinimum withdrawal
AmericryptotradeNot specifiedNot specifiedNot specified
UK regulated brokersNoNoNo
EU regulated brokersNoNoNo
AU regulated brokersNoNoNo
US regulated brokersNoNoNo

The lack of a publicly available Terms and Conditions or Client Agreement means that scammers may have set many traps such as hidden fees and impossible-to-meet  withdrawal terms.

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