Beware! Tradercode 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.
Tradercode ‘s website invites us to get into forex and cryptocurrency trading through this supposedly trustworthy broker. But before you put your lot on the line you should always do a careful fact check. And in the case of Tradercode, the verification shows that this is not a credible financial services provider at all. In this review, we’ll look at the clues that Tradercode’s goal is to scam you, and offer you some truly trustworthy alternatives.
Tradercode Regulation and safety of funds
|Guaranteed Funds||Segregated Accounts||Negative balance protection|
|UK regulated brokers||£85 000||Yes||Yes|
|EU regulated brokers||€20 000||Yes||Yes|
|AU regulated brokers||No||Yes||Yes|
|US regulted brokers||Yes||Yes||No|
The first thing to look for in a forex broker’s website is which legal entity runs it, where it is based and what regulatory oversight it is subject to. Licensed companies are also required to provide a comprehensive set of legal documentation. The availability of such information does not guarantee that it is not false or misleading. But the absence of these elements is very indicative that in all likelihood you are dealing with scammers.
If you don’t know who you are dealing with and what the terms of the deal are it would be a definite mistake to put your money on the line.
Tradercode has come into the sight of the Belgian Financial Services and Markets Authority, which has blacklisted the shady website.
Before investing your money in financial instruments, it is imperative to make sure you do so through a licensed intermediary and not one of the many scammers lurking online.
You should only trust legitimate brokers operating in one of the established financial centres like the UK, EU, USA or Australia. There, the activities of brokers are controlled by powerful regulatory bodies such as UK’s Financial Conduct Authority (FCA), Cyprus Securities and Exchange Commission (CySEC), Commodity Futures Trading Commission (CFTC) in US or Australian Securities and Exchanges Commission (ASIC). Clients of these brokers receive protections such as negative balance protection and segregation of the client’s funds from the broker’s funds.
In the EU and the UK, brokers must also participate in guarantee schemes that cover a certain amount of the trader’s investment if the broker becomes insolvent. These guarantees amount to up to 20 000 EUR in the EU and 85 000 GBP in the UK. However, the likelihood of such a bankruptcy is low because regulators also have significant net capital requirements that companies must maintain – EUR 730 000 in UK and Cyprus, AUD 1000 000 in Australia and at least 20 million USD in the United States.
Tradercode Trading software
|Analytical tools||Auto trading||Custom indicators||Mobile apps|
|MT4||30+ indicators||✅||✅||Android and iOS|
|MT5||50+ indicators||✅||✅||Android and iOS|
|cTrader||40+ indicators||✅||✅||Android and iOS|
Tradercode promises an award-winning and advanced trading platform, but does not specify what software it offers. At the time of writing this review, there is only an option to log into an existing account, but not to register a new one. Because of this, we were unable to confirm whether Tradercode has any trading software available.
Such a lack of basic functionality is also a hallmark of financial fraud. Many scammers prefer to select their potential victims through social networks and online forums, which is why they do not allow free registration.
Legitimate brokers offer clients a wide selection of trading software, including desktop, mobile apps and web-based platforms. The most widely used 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.
Tradercode Trading instruments
Tradercode advertises trading in over 300 instruments, with forex and cryptocurrencies mentioned. But there is no specific information anywhere.
Tradercode Spreads and cost of trading
When you visit the website of a legitimate broker you will find proposals for different types of trading accounts suitable for investors with different preferences, as well as detailed descriptions of trading parameters – minimum deposit, order execution method, tradable financial instruments, leverage, spread, swap, commissions, etc.
Such information is completely missing from the Tradercode website. There we only see promises of deposit bonuses. This is also proof that Tradercode is not a licensed broker because most financial regulators prohibit brokers from offering bonuses, promotions and prize games.
Tradercode Maximum leverage
|UK regulated brokers||30:1||5:1||❌||10:1||10:1|
|EU regulated brokers||30:1||5:1||2:1||10:1||10:1|
|AU regulated brokers||30:1||5:1||2:1||10:1||10:1|
|US regulated brokers||50:1||❌||❌||❌||❌|
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.
Higher levels of leverage are only offered to professional clients who trade entirely at their own risk. 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.
Tradercode Deposit and withdrawal methods
Due to our inability to register an account, we were unable to ascertain what payment methods Tradercode uses. Experience has shown that fraudsters direct their potential victims to cryptocurrency transactions that do not allow refunds to be requested.
Tradercode Minimum deposit
There is no reason to take risks with such fish websites, given that the leading forex brokers in the world offer novice investors starter trading accounts with a nominal deposit.
Tradercode Withdrawal requirements
|Trading volume||Fee/Tax on withdrawal||Minimum withdrawal|
|Tradercode||Not specified||Not specified||Not specified|
|UK regulated brokers||No||No||No|
|EU regulated brokers||No||No||No|
|AU regulated brokers||No||No||No|
|US regulated brokers||No||No||No|
Since Tradercode does not provide proper legal documentation, it is unclear what traps the fraudsters may have set. Typically, fake brokers make withdrawing money impossible through huge fees and impossible-to-fulfil traded volume conditions.