CentDesk – Can This Broker be Trusted?

Website URL: https://centdesk.com/

Founded: 2020

Regulations: Not Regulated

Languages: English

Deposit Methods: Bitcoin and Ethereum

Minimum Deposit: $100

Free Demo Account: No

Number of Assets: N/A

Types of Assets: Currency Pairs, Spot Indices, Futures, Shares, Spot Energies, Cryptocurrencies, Bonds

Trading Accounts and Conditions

CentDesk offers its customers the following trading accounts:

• Micro Account: The minimum deposit you are required to make to use this account is $100. The leverage ratio offered in 1:200.
• Plus Account: For the Plus Account, the minimum deposit requirement is $500, and the leverage level is 1:300.
• Premium Account: To start trading on this type of an account, you first need to deposit $1,000. The leverage you get for this account is 1:500.
• ECN Account: The minimum deposit requirement for this account type is $5,000, and the leverage you are offered is 1:1000

There is no mention of the spreads offered by this broker on its website. And since this broker does not offer a demo account, we were unable to verify the trading conditions for ourselves.

CentDesk – Advantages

Here are the advantages you would get by trading with CentDesk:

• Very High Leverage Offered

The maximum leverage offered by CentDesk is 1:1000, which is extremely high. This kind of a leverage means that traders of all types will be able to execute trades on this broker’s platform.

However, such high leverage also comes with extremely high risk, so this is an advantage that has to be used with great care.

Furthermore, it is wise to remember that major regulators around the world, such as in the US, the EU, Canada, and the UK have all banned the offering of high leverage levels in order to protect consumers from total losses.

CentDesk – Disadvantages

Here are all the reasons why trading with CentDesk would be dangerous for all traders:

• False Claims of Regulation

CentDesk is owned and operated by a company by the name of CentDesk Capital Limited. The broker also claims that its parent company is regulated by the Financial Conduct Authority (FCA) of the UK.

However, when we checked the FCA’s online registry that has all the regulated companies’ names listed, we did not CentDesk Capital Limited’s name anywhere there.

This simply means that this broker and its parent company have lied about their regulatory status and that they are operating outside the law, without being regulated in any way.

Plus500

$100

Minimum Deposit

Start Trading

Read Review

82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money

Plus500 is a FTSE 250 listed brokerage providing online trading services in CFDs, across 2,000+ securities and multiple asset classes.

 

AvaTrade

$100

Minimum Deposit

Start Trading

Read Review

The company was created as a combined effort of financial professionals and experts in web-commerce with the goal of perfecting the online experience for retail traders.

• Blacklisted by FCA

What we did find while checking for this broker’s regulatory status is that the FCA has actually issued a warning against CentDesk. According to the financial watchdog, this broker is a scammer and that anyone who trades with them is in danger of losing their investment.

Many brokers make tall claims on their websites, which is how they attract unwary traders to invest with them. Which is why it is best to do your own research before you invest your funds with any broker.

• Broker Offers to Manage Your Account

Another black mark against CentDesk is that this broker claims that you as a trader should trust your funds with their professional money managers, who will carry out trades on your behalf – along with their own funds.

The problem here is that CentDesk, like most other brokers, is a market maker. This brokerage will profit whenever you lose money while trading. So, if this broker offers to manage your money for you, what are the chances of you losing money? Very high, unfortunately.

Basically, when a broker offers to manage your money for you, it is called a conflict of interest. So, all of this broker’s claims of transparency and of keeping your best interests in mind are lies.

• No Terms and Conditions Available

The Terms and Conditions (Client Agreement) is a key legal document that all traders should go through before they contract with any broker.

This document lays out the contractual relationship between the broker and the trader.

This document is missing on CentDesk’s website, and despite the fact that this key legal contract was missing, we were still being asked to agree to their terms when we tried signing up for an account.

What this essentially means is that if you decide to contract with this broker, you will be agreeing to terms and conditions you have not seen, and will be giving them a free pass to do anything they want with your money.

• MetaTrader 5 Platform Not Available

Another lie that this broker has told is that offers its clients the use of the MetaTrader 5 (MT5) trading platform. However, when we attempted to download this platform, we couldn’t – despite having gone through the entire registration process.

This leads us to believe that CentDesk doesn’t actually have the software and is just using this as another way to trap traders into investing with them.

The MT5 trading platform is the latest version of the MetaTrader trading software, and it comes with all the features of the older MT4 version, plus additional features.

• Lack of a Demo Account

As we mentioned earlier, CentDesk does not offer its traders any demo account. This is another red flag, since it is a tactic that is commonly used by scammers to keep their trading conditions secret until a trader has already committed their funds to them.

Conclusion 

CentDesk is not a broker you should trust with your money. This broker is obviously a scammer, a fact that has been confirmed by the FCA in the UK. They have lied about their regulatory status as well as about offering support for the MT5 trading platform. Legal documents are also missing.

It would be best for all traders to avoid contracting with this broker.

CentDesk

2.5

User Experience

3.0/10

Payment Options

2.5/10

Security

2.4/10

Support

2.3/10

Reputation

2.2/10

Pros

• Very High Leverage Offered

Cons

• False Claims of Regulation
• Blacklisted by FCA
• Broker Offers to Manage Your Account
• No Terms and Conditions Available
• MetaTrader 5 Platform Not Available