WeltTrades – Is this Broker a Scammer?

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

Founded: 2019

Regulations: Unregulated

Languages: English, Italian, Spanish, German

Deposit Methods: MasterCard, Visa, Bank Wire

Minimum Deposit: $250

Free Demo Account: No

Number of Assets: N/A

Types of Assets: CFDs on Major Cryptos, Indices, Stocks, Metals and Currency Pairs

Trading Accounts and Conditions

WeltTrades offers its customers a selection of 4 account types with which to trade.

• Standard: You need to deposit a minimum of $250 to start trading on this account.
• Classic: You need a deposit of $2,500 to being trading on this account.
• Gold: You need a deposit of $20,000 to start your trading session on this account type.
• Premium: You can only start trading on this account after you make an initial deposit of $50,000

The broker offers a decently generous leverage ratio of 1:200, and its Standard account has a spread of 1.6 pips, which is slightly on the higher side when compared to the industry average.

WeltTrades – Advantages

While there are many serious issues with this broker, we did find two positives about WeltTrades:

• Trading Platform

WeltTrades offers its clients the MT4 trading platform for executing trades. The MetaTrader 4 is the industry leader when it comes to trading software. It is so easy to use that even novices can execute trades on this platform.

The MT4 platform comes fully loaded with excellent charting options, in-built market indicators, Expert Advisors for automated trading, back-testing environments, and so on.

Considering the plethora of benefits a trader gets from this platform, it is a definite plus that this broker offers this software to its clients.

• Decent Leverage

WeltTrades offers a decent leverage of 1:200, which is a ratio that is good enough to satisfy even the more risk-friendly traders.

Having said that, it should be noted that when leverages are too high, the risk factor also goes up. So, you should be careful about how high a leverage you want to take.

WeltTrades – Disadvantages

Besides the two advantages we have mentioned, there isn’t much else that we can say that will give you confidence in this broker. In fact, the list of disadvantages, besides being long, are also serious indicators that WeltTrades is not a trustworthy broker.

• Not Regulated

The broker claims to be owned and operated by a company by the name of Game Capital Ads Limited, which is an offshore company that is registered in St. Vincent and the Grenadines (SVG).

The problem with a Forex broker being registered in SVG is that the its government has clearly stated that it doesn’t have any regulatory oversight for Forex trading, binary options trading or brokerages. The government body also clearly states that it doesn’t have any regulatory oversight for international companies.

The only thing a company needs to do to be registered in SVG is pay a nominal registration fee with the country’s financial authority, the Financial Services Authority.

What this means for you as a trader is that WeltTrades is an unregulated broker and your money is at risk if you trade with this entity.

Plus500

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• CONSOB Warning

Commissione Nazionale per le Societa e la Borsa, or CONSOB, the regulatory body in Italy, has issued a warning against trading with WeltTrades. The agency has stated that this broker is not authorized to offer financial services in Italy and that its website is to be blocked from the country in order to protect consumers.

• Suspected Serial Scammer

We were seriously concerned when we discovered during our investigation that Game Capital Ads Limited owned and operated this brokerage. This is because this company has operated numerous brokerages such as ProCapitalFX, CapitalFXclub, FirstFXClub, FirstBTCFX, SmartBTCfx, and so on.

Most of these online brokers have been blacklisted by CONSOB as well as other European regulatory bodies for being scams.

When we visited the websites of some of these brokers, we found that the content was almost identical in nearly all them, and that the Terms and Conditions were also the same.

All of this information we unearthed leads us to believe that WeltTrades is part of a serial scamming machinery.

• Higher Than Average Spreads

WeltTrades offers its traders a spread of about 1.6 pips, which is more than the industry average. While not as serious an issue as the previous points we have made, it is still noteworthy that the broker is focused on getting money out of its clients in any way it can.

• Offering Bonus Promotions

Like many other shady brokers, WeltTrades offers its clients bonus promotions. Such bonuses have been banned by most regulated jurisdictions for a reason.

Unscrupulous brokers use bonuses to trap traders into investing money on their platforms. And then they put in place unfairly stringent provisos that basically mean that traders don’t get a chance to withdraw their funds.

In WeltTrades’ case, the broker has stated that a withdrawal condition is that for every $2 that a trader gets in bonus promotions, he or she has to attain a target trading volume of 1 lot. This is seriously excessive, since such a goal is unattainable.

• No Demo Account

WeltTrades does not have any demo account, so the only way a trader can verify the promised trading conditions is by creating a live account and investing real money on the broker’s platform.

Conclusion

We investigated WeltTrades and its parent company thoroughly for this review. And we say with confidence that this broker is a scammer. There are just too many things wrong with the broker, not just from a legal perspective, but also from a customer experience standpoint.

It is best to deal with brokers that are reputed and regulated, or you could end up losing your hard-earned money.

WeltTrades

2.2

User Experience

3.0/10

Payment Options

2.0/10

Security

2.2/10

Support

1.9/10

Reputation

2.1/10

Pros

• MT4 Trading Platform
• Decent Leverage Ratios

Cons

• Not Regulated
• CONSOB Warning Against this Broker
• Suspected Serial Scammer
• Higher Than Average Spreads
• Bonus Promotions