Maximum Leverage: N/A
My Score: 1.2
KontoFX is forex along with CFD broker targeting the crypto marketplace. A lot of brokers were established with the growth of cryptocurrencies in investment stores.
Trading on cryptocurrencies, which have high volatility, which can possibly be profitable by these brokers. KontoFX is among those brokers within this framework.
It’s hard to obtain the info which you ‘re trying to find about KontoFX’s official site. As the info on the site isn’t enough. By way of instance, withdrawing and depositing techniques are an interest that should be clarified at length.
However, there are extremely limited details on this particular specific subject. The amount of monthly traffic to this state internet site is all but 110k. Their site, kontofx.com, and support are offered in English, German and Spanish.
Well, is KontoFX scam or a Dependable broker? Can Be Kontofx untrue? What’s Kontofx? What are the consideration types provided by Konto fx and its own trading requirements like spread, maximum bonuses and leverage? During this KontoFX review, there are all the important points relating to its broker.
If you’ve got an issue with KontoFX, then you could write to me personally at the comments section beneath this report. I am going to attempt to respond whenever possible.
KontoFx Regulation and Investor Protection
The problematic issue medially Forex traders along with recently created brokers is controlled. It’s quite tough for newly launched brokers to get licenses from respectable regulators. For that reason, they might need to choose relatively less trusted labs.
This circumstance is acceptable and clear. But a few brokers are wholly untrue. That is certainly not acceptable.
Who will be Kontofx? As stated by KontoFX’s official site, www.kontofx.com, the broker is currently possessed by Estonia-based NTMT Transformatic Markets OU Harju Maakondand worked byNorthside Business Centres in Hungaria.
However, no advice had been awarded by Contofx in regards to the permit. Under ordinary conditions, licensed brokers may certainly share their permit number or permit record on official sites.
Investors may subsequently make queries and watch their reality due for the permit number.
It is just a valid requirement of forex brokers in both Estonia and Hungary to become governed by local governments. As an instance; The brokers in Estonia are governed by Finantsinspektsioon, the community economic authority.
However, when I contested these labs, I uncovered no more advice that KontoFX had been regulated. I will certainly say thatKontoFX is an unregulated and unlicensed broker.
If you want to trade with a great quantity of funds, then I strongly recommend you trade brokers that are governed by reputable watchdogs such as ASIC, FCA, FSA or even CySEC. To trade having an authorised broker is insecure. I presume that you don’t need to end up losing your hard-earned money to scammers.
So, why’s your regulation essential for brokers? I am able to answer this question by describing the watchdogs’ requirements. For example;FCA regulated brokers must hold 730,000 sterling in their bank accounts as minimum net capital.
Besides, this account should be held separate from clients’ operational and funds accounts of the provider. In case the business goes bankrupt, then the customers ‘ funds are guaranteed by the Financial Services Compensation Scheme (FSCS) for up to 50.000.
Account Types Offered by KontoFX
Only one account type is offered by KontoFX: Standard Account. The minimum deposit for this account type is $250, which is higher than the average forex industry of $100. The minimum deposit required by unlicensed forex brokers is generally lower.
But in this case, the situation is the opposite.
It is also possible to find reputable regulators that require a low minimum deposit. For example; FxPro and XM reputable brokers and offer a low minimum deposit.
The leverage available for KontoFX trading accounts is up to 1:200. This leverage ratio applies to FX pairs. As I mentioned at the beginning, KontoFX aims to provide trading services in crypto stores. If you wondering about leverage more you can check out my What is leverage article.
The maximum leverage offered for cryptos is 1:20. I can say that this leverage level is a bit high and risky for cryptos. Because cryptos already have high volatility.
The minimum trade size that Konto fx accepts is 1 micro lot (0.01 lots). Unfortunately, we cannot find any information about the spreads. I tried to connect live chat but they did not answer.
Konto fx offers its customers the dynamic WebTrader platform. The broker says on its website: MT4 is behind this platform. You do not need to download and install any software on your devices. The platform does not require Flash, it is run almost every device.
Not having the MT4 platform is a big disadvantage. Because the platform is the best known among all brokers. Nevertheless, there are various trading platforms and I wrote them in this Best Forex Trading Platforms article.
Kontofx offers various cryptocurrencies such as Bitcoin, Ethereum, Ripple, Dashcoin, Monero, IOTA, Cardona, Stellar and others.
KontoFX offers in terms of deposit and withdrawal methods are very limited and insufficient. Only major credit cards are available as a payment method. You can use VISA, MasterCard or Maestro.
However, if you want to use a wire transfer, the minimum deposit and withdrawal amount is 300 EUR / GBP. Previously this amount was 3000 EUR but was reduced. However, I can say that it is high and it is useless.
No e-wallets accepted as payment method. Kontofx does not offer popular e-wallets such as Neteller, Skrill, and PayPal. It’s odd not to offer bitcoin as a payment method for a broker who aims to offer online trading services on the crypto marketplace.
Kontofx is an unregulated broker. Many of the traders commented negatively about the broker. So, this means clients satisfaction is not adequate. There is not enough information on their website about spreads and payment methods.
As I mentioned before many times, investing with unregulated brokers comes with a severe risk of losing your money to scammers.