Lenz Capital – Are They Trustworthy?
Stop! It’s a Scam! Your money is not safe if you are trading with this unregulated, off-shore broker.
Lenz Capital - DO NOT TRADE WITH THIS PROVIDER
2.4/10
$100
Minimum Depositupdated 2023
The details for opening trading accounts are not indicated on the broker’s website. In order to register with this broker, you only need to go to their sign-up page where you’ll be asked to enter your name, email address, phone number, and password. You’ll also be asked to accept their Terms and Conditions and confirm that you’re over 18 years of age. After this, the trading platform will be made available for you and you can start trading using their demo account.
Try these regulated brokers if you want to start trading cryptocurrencies
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.
Website URL: https://lenzcapital.pro
Founded: 2023
Regulations: Not Licensed
Languages: English, Russian, Spanish, German, Hindi, French, Arabic, Japanese
Deposit Methods: Credit Cards, Cryptocurrencies
Minimum Deposit: $300
Free Demo Account: No
Number of Assets: Not Mentioned
Types of Assets: Forex, Commodities, Shares and Stocks, Indices
Trading Accounts and Conditions
Lenz Capital offers their clients the following types of trading accounts:
- Simple: The minimum investment amount is $300. You are given a 5% Welcome Bonus.
- Pre-Advanced: The minimum investment amount is $3,000. You are given a 10% Welcome Bonus.
- Advanced: The minimum investment amount is $15,000. You are given a 15% Welcome Bonus.
- Professional: The minimum investment amount is $25,000. You are given a 25% Welcome Bonus.
The broker states that all spreads are floating and that there are no commissions charged. However, there is no mention of the leverage ratios offered or any other trading conditions.
Lenz Capital – Advantages
We could not find anything positive about Lenz Capital. This broker is a scammer.
Lenz Capital – Disadvantages
Given below are all the reasons why Lenz Capital is a scammer:
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Unregulated Broker
The first sign of a broker’s dishonesty is their lack of regulation.
Legitimate brokers provide detailed information about who they are, where they are located and which financial regulator has authorized them to offer their financial services.
With Lenz Capital, most of that information is missing. The broker does not tell us who owns their brand. We also do not know where their company is located and there is no contact information provided. In fact, we have absolutely no information about this broker.
The fact that a broker hides their identity, location and basic contact information means that the broker is operating illegally. And that means that Lenz Capital is a scammer.
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.
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.
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Warning Issued by CNMV
We also found out while checking for this broker’s regulation status, that Lenz Capital has actually been blacklisted by the CNMV. The CNMV, the Comision Nacional Del Mercado De Valores, is the Spanish financial regulator. As part of the EU, this regulator implements some of the most stringent regulations in the industry. Therefore, to be red-flagged by this regulator means that a broker has to be a scam.
According to the public notice issued by the CNMV, Lenz Capital is operating without authorization in their jurisdiction, which makes this broker an illegal entity. And that means that this broker is a scammer.
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Poor Trading Software
The trading software that Lenz Capital offers is of the poorest quality. It is a very basic, web-based trading platform, one that does little more than allow you to buy and sell assets.
The trading platform is a broker’s only product offering. Therefore, legitimate brokers ensure that they offer their clients the best trading platforms. This means offering the MetaTrader 4 or 5 software. These two platforms are the top two trading platforms in the world. Both are easy to use and yet also have a plethora of tools to make trading intuitive.
It is scammers like Lenz Capital that offer such poor trading platforms. After all, their purpose is not to offer their clients a good trading experience. It is to scam them. Therefore, a barely functional trading platform is good enough for them!
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Issues with Trading Conditions
The lack of information that is typical of scammers can be seen in every aspect of this broker’s website. While the trading platform is the product, it is nothing without the trading conditions for that platform (the service, so to say).
The trading conditions are as important as the trading platform, and legitimate brokers ensure that they provide details of all the conditions for using their trading platform. This means specifying the cost of trade, the risk, the trading instruments available, and so on.
With Lenz Capital, we only know that the minimum deposit they ask for is $300. We do not know the spreads, the leverage ratios, or any other trading conditions. This lack of information is typical of scammers.
We only got a little information after we registered for an account and checked their live trading platform. Here, we found that the spreads for the EURUSD pair was at a whopping 3 pips. This is more than double the market average, which means that the cost of a trade with this broker would be exorbitantly high.
Added to that, the leverage was set at 1:100, which is also extremely high. And since this broker is targeting customers in the European Union, we can also say that this leverage ratio is illegally high. The EU, like the UK and Australia, only allows brokers to offer a maximum leverage of 1:30. Therefore, the leverage Lenz Capital offers is not only risky, it is also illegal.
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Issues with Payments
Lenz Capital only offers two payment options – credit cards and cryptocurrencies.
If you use credit cards to deposit funds into your account, then you will be able to do so immediately, but the broker states that it will take 24 hours to process your withdrawal request if you use a credit card. There is no withdrawal fee for a credit card withdrawal.
Similar rules apply for a crypto deposit, but there is a withdrawal fee depending on the crypto you use for your transaction.
Another condition that this broker has set in place is that if you wish to deposit more than $1,000, then you can only do so using cryptocurrencies. This, of course, is another red flag, since all crypto transactions are permanent and untraceable. So, this broker is looking at higher-end scams!
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Bonuses Offered
We also need to mention that this broker offers bonuses – the kinds that have been banned in most jurisdiction due to the very unfair withdrawal requirements they have. And Lenz Capital does have some provisos in place if you have used their bonuses – you have to meet an unspecified trading volume turnover before you will be allowed to withdraw your funds. A typical scam tactic.
Conclusion
Lenz Capital is a scammer. They cannot be trusted.
Lenz Capital
Pros
- Regulated Broker
- Wide Range of Trading Instruments Available for Trade
Cons
- Unregulated Broker
- Warning Issued by CNMV
- Poor Trading Software
- Issues with Trading Conditions
- Issues with Payments
Do not trade with unregulated brokers that will steal your funds - try these regulated brokers:
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.
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.
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