Why Maxitrade Sucks In 50 Words
Unfortunately, this broker is not transparent enough and That Sucks! They show the name of the company but there’s no address on the website and their About Us page simply states that “Maxitrade is an innovative cryptocurrency broker” and that it was founded by Day Dream Investments. Well, actually the previous owning company was Market Solutions Ltd., so Day Dream Investments couldn’t have founded Maxitrade unless Market Solutions changed its name to Day Dream Investments. So, what happened there? More transparency please because it’s confusing.
Why Maxitrade Doesn’t Suck In 50 Words
Hundreds of assets to trade, including a wide selection of cryptocurrencies, high leverage (up to 1:200), and MT4/MT5 web terminals. If this company would be regulated by a more prolific financial watchdog, I would consider it a relatively good choice but given their current regulation, I have a tough time doing that.
Is Maxitrade A Scam?
Usually, regulated brokers are not scams but there’s a grey area in this case because on one hand Maxitrade is registered with a financial watchdog but on the other hand, the said regulator is not known as a feared supervisory authority. In fact, this is a non-governmental organization and basically, anyone can get a certificate from them as long as they pay a fee and fulfil a few other requirements.
On top of that, the Certificate of Compliance is issued for “Maxitrade”, which is a trading name, not the actual name of the company (Day Dream Investments). Usually, on the certificate, we see the name of the company, not the name of the website or brand. Furthermore, ASIC has issued a warning against Day Dream Investments, so it’s safe to say that this is not the best-in-class broker but so far there haven’t been any clear signs of a scam.
Should I Open An Account With Maxitrade?
Maxitrade is an offshore FX, CFD and Crypto broker that offers a large asset basket composed of currencies, indices, commodities, stocks, and cryptocurrencies. The website is owned/operated by Day Dream Investments, which is a company registered in the Marshall Islands. Maxitrade is registered with the International Financial Market Relations Regulation Center (IFMRRC), with Certificate 0395 AA V0193.
At first glance, this looks like a broker with good trading conditions and some form of regulation but we must note that the first IFMRRC certification was received in January 2019 so we can assume this is a very new brokerage (they don’t specify a launch date). Of course, maybe they operated a few years without IFMRRC certification but we have no way of knowing that.
The trading platform is offered by XCritical (Quant ROI Ltd) and it’s a nice mix between user friendliness and functionality, with enough features to keep more advanced traders satisfied. Don’t expect to be a pro using it the first time, but it will be fairly easy to get used to. At the time of writing, they offer Autochartist signals right on the platform and I am sure this will appeal to many people. On top of the XCritical platform, Maxitrade also offers Meta Trader 4 and 5 (only the web-based versions), which are nice additions.
Accounts start at $250, which I consider a bit high because clients should be allowed to “test the waters” with lower amounts until they get the hang of it or until they are certain they want to commit a larger amount. Of course, they offer larger accounts – Silver, Gold, Platinum and VIP, which will require deposits of $3,000, $10,000, $50,000 and $100,000, respectively. However, the perks you will get for opening large accounts (trading plan, screen demonstration of real-time trading, account manager, etc.) are not worth it in our opinion and besides, this is a relatively new, offshore broker, with questionable regulation so we don’t recommend sending a big chunk of money.
Bottom line is that Maxitrade is not very bad and not very good, with pros and cons just like any broker but there are definitely better alternatives out there.
The broker can be contacted at email [email protected] and phone (UK) ++442037697595. There is no address listed on their website.
There are quite a lot of complaints online regarding Maxitrade. People had difficulties withdrawing money and some have said that Maxitrade representatives traded on their behalf and then asked for more money. This type of behavior is similar to what the old binary options brokers did back in the day and is definitely something to avoid.
Maxitrade Regulatory Warnings And Fines
ASIC warned against doing business with Day Dream Investments saying that it could be involved in a scam. See warning here. The warning was against uTrader, which was a broker operated by the said company. Keep in mind that the warning was not about Maxitrade but their parent company.
According to an advertisement seen on their trading platform, Maxitrade offers bonuses of up to 100% but there’s no information about how much you have to deposit to receive this bonus. Also, it’s not clear if you will receive any bonus for the minimum deposit.
According to the T&Cs, the client who received a bonus will not be able to withdraw profits or bonus until reaching a trading volume of $10,000,000 for every $1,000 received as a bonus. If the bonus received surpasses $10,000, the trading requirement will be higher: $20 million for each $1,000 bonus. If the bonus received is above $30,000, the trading requirement will be even higher: $30 million for each $1,000 bonus.
A withdrawal request will be processed within one business day but please don’t think that you will see your money within one day. There’s very little information about the methods for withdrawal, the approximate time it takes, and the minimum requirements. According to their Live Chat, the minimum withdrawal is $50 but when I asked for more information, she/he told me to look in their Terms and Conditions. Well, thanks for the help… I guess. As for the methods, I could see the logos of Visa, MasterCard, WebMoney, Qiwi and Bitcoin but no sign of wire transfers.
The huge selection of assets can be considered an extra, as well as the Autochartist signals available on the trading platform. Other than that, Maxitrade doesn’t have a lot of features that can be considered extras.
Maxitrade Overall Ratings
User Friendliness 12/20
The website is translated into 4 languages but it lacks a FAQ section, which means that finding information is difficult. The platforms are OK, in the sense that it will take a bit of getting used to but it won’t be too difficult. Mobile apps are available but Demo accounts are not. US citizens are not accepted.
Range Of Markets, Spreads And Leverage 15/20
The asset basket is huge and includes all the known categories (currencies, indices, commodities, stocks, and cryptocurrencies). The crypto range is fairly large compared to other CFD brokers and includes Bitcoin, BAT, Bitcoin Cash, Ethereum, Monero, EOS, Dash, IOTA, and more. Spreads are average, with 2 pips for EUR/USD at the time of writing. Leverage goes as high as 1:200 for fiat currencies but cryptocurrencies only have 1:50 maximum leverage.
Fees And Support 12/20
The fees are not specified, which is pretty troubling and we recommend you ask for a detailed fee schedule if you plan on using this broker. It’s very important to know if there are any inactivity fees and how much you will have to pay for a withdrawal but unfortunately, this information is not provided by Maxitrade. One bit of info that is provided is this: if you withdraw before making at least 5 trades, you will be charged a 5% fee. Not a good look in my opinion.
Live Chat support responded fairly fast but after answering only one question, they directed me to the Terms and Conditions for all my inquiries. On a more recent visit, when asking about the minimum withdrawal amount, I was told that my request will be forwarded to a specialist who will get back to me. Sorry but that’s not good support, especially considering that my question was extremely common and easy to answer.
Deposits And Withdrawals 12/20
The minimum deposit is $250 and can be made via credit cards, wire transfers (you will have to contact a representative if you want to wire them money), and a few online payment solutions such as Qiwi and WebMoney. There’s also an option to deposit using Bitcoin and other cryptocurrencies. Withdrawals can be made via the same methods and the minimum requirement is $50 according to a chat representative (and according to their T&Cs).
Maxitrade Extras 13/20
Signals right on the platform, lots of assets, and MT4/MT5 trading platforms. Nothing to write home about but better than other brokers in the same range of rating.