Bithandel – Is It a Scam?

Website URL: https://www.bithandel.com/

Founded: 2016

Regulations: Unregulated

Languages: English, German

Deposit Methods: Bank Wire, MasterCard, Visa

Minimum Deposit: $250

Free Demo Account: Yes

Number of Assets: N/A

Types of Assets: Forex and CFDs on Stocks, Metals, Indices, Cryptocurrencies

Trading Accounts and Conditions

Bithandel is a Forex and CFD broker that offers its users the following account types with which to trade:

• Silver: You need to deposit a minimum of $250 to be able to use this account type.
• Gold: You need to deposit a minimum of $10,000 to use this account type.
• Platinum: You need a minimum deposit of $50,000 to use this account type.
• Diamond: You need a minimum deposit of $250,000 to use this account type.

The broker offers a spread of 0.9 pips to 1 pip on the benchmark currency pair, the EURUSD. However, we do not know the leverage levels offered by Bithandel.

Bithandel – Advantages

Here are the pros of trading with Bithandel:

• Good Spreads

Bithandel offers its customers a spread of 0.9 to 1 pip, which is very favorable for traders. The lower the spread, the more lucrative it is for traders. When a spread is too high, it benefits the brokers. So, this is definitely a point in Bithandel’s favor.

• Range of Assets

Another plus for Bithandel is the range of assets that it offers its users for trading. The broker has a portfolio of trading instruments that include currency pairs and CFDs on stocks, commodities, metals, indices and a wide variety of cryptocurrencies.

• Average Minimum Deposit Requirement for Silver Account

Bethandel requires you to make a minimum deposit of $250 to begin trading on its Silver account. The industry average for minimum deposits is between $100 and $250, so this broker’s requirement is reasonable by market standards.

We mark this as a positive as there are many brokers who have unreasonable minimum deposit requirements, which is how scammers divest traders of their money.

Bithandel – Disadvantages

Besides the two advantages that we have listed, there isn’t much more we can say that is good about Bithandel. Here is the long list of disadvantages that make us recommend that traders not do business with this broker:

• Not Regulated

Bithandel claims to be owned and operated by a company called CHP Holdings Ltd. This company seems to be registered in St. Vincent and the Grenadines (SVG).

The financial regulator in SVG has repeatedly and publicly stated that it does not offer regulatory oversight for forex trading, which means that if Bithandel’s parent company is registered in that territory, then it is not regulated.

Remember, trading with offshore brokers carries a lot of risk, since they are not bound by the laws that protect traders in regulated markets.

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• Very Little Information

A legitimate broker ensures that it provides all relevant trading information to its customers on its website. Questionable brokers, on the other hand, provide as little information as possible.

The fact that Bithandel has provided very little information about its trading conditions raises a red flag for us. There is no information about the leverage levels provided by this broker, or what the typical spreads in the various accounts look like, how much time it takes to execute trades and other transactions, and so on.

• No MetaTrader 4 Trading Platform

Bithandel offers its clients a web-based trading platform that is powered by TradingView. On the surface of it, it looks very professional, however, the fact that the broker has not made the effort to provide the MT4 trading platform is another red mark against it.

The MetaTrader 4 trading platform is the foremost interface in the trading world today, offering users ways to make trading easier such as multiple charting options, automated trading bots, and numerous other analytics tools.

• Skrill Payment Method Not Offered

Bethendel offers its clients three methods by which they can withdraw their funds – Visa, MasterCard and Bank Wire. The broker does not offer the popular e-wallet, Skrill.

This is a negative for a simple reason – Skrill updated its policies on fraud and scams, which means that questionable brokers cannot use the payment provider’s services. So, if Bethendel does not offer Skrill as a payment option, we would need to question why, especially considering all the other red flags we have uncovered about this broker.

• Unfair Terms and Conditions for Trading Bonuses

While going through Bethendel’s terms and conditions, we found some provisions that were startling.

The broker clearly states that anyone who has availed of its promotional bonus will not be allowed to withdraw their funds for various periods of time. So, a trader who has opted for the 100% bonus promotion is not allowed to withdraw his or her money for 12 whole months.

These terms are absolutely unfair, which is why most regulated forex markets have prohibited brokers from offering trading bonuses. The fact that Bethendal offers these bonuses is also another indication that this is one broker that you should not do business with.

• Excessively High Minimum Deposits

While the Silver Account requires a reasonable minimum deposit amount of $250, all the other accounts have excessively high initial deposit requirements.

You cannot use the Gold account unless you deposit $10,000 first, and the Platinum account requires you to deposit $50,000. The Diamond account requires a massive $250,000 initial deposit. These amounts are too excessive by any standards.

Conclusion 

We went through Bithandel’s website in great detail, and upon doing so, we have reached the conclusion that this is not a broker to be trusted and it would be in your best interests not to trade on this broker’s platform.

Bithandel

2.7

User Experience

2.9/10

Payment Options

3.1/10

Security

2.4/10

Support

2.8/10

Reputation

2.4/10

Pros

• Good Spreads
• Range of Assets
• Average Minimum Deposit Requirement for Silver Account

Cons

• Not Regulated
• Very Little Information on Trading Conditions
• MT4 Trading Platform Not Offered
• Skrill Payment Method Not Offered
• Excessively High Minimum Deposit Requirement for Gold, Platinum and Diamond Accounts