The last few years have seen an increase in the number of traders in the financial markets. Reasons, such as the popularity of cryptocurrencies, the need for supplementing existing income and the global coronavirus pandemic have all contributed to the higher numbers. This obviously means that demand for good and reliable brokerages has gone up, as they are vital to the trading process. It has provided an excellent opportunity to scammers for getting more victims and this is where MeteorTrade review comes in. When you have to choose a broker, doing so without any research can be a costly mistake.
With hundreds of companies offering their trading services in the financial markets, you cannot possibly check each of them to select one that offers you the most comprehensive package. But, this doesn’t mean that you should just choose any broker to start trading. Even if you are new to the financial markets, everyone is still aware of online scams and this space is no different. Cybercriminals have infiltrated the financial markets as well and portraying themselves as brokers is one of their best strategies.
After all, it provides them the opportunity to attract thousands of people and they can scam them easily through their policies. These scam brokers are not easy to identify, primarily because they are designed to be appealing. You will notice this in the case of MeteorTrade, which appears to have a sleek website that has kept itself up-to-date where the trends are concerned. Even though it comes off as convincing at first glance, you can learn the truth if you put in a little effort and check its offerings thoroughly. The following review can help you do so:
Regulation and Licensing
Your research into a broker should always begin with their regulation and licensing because this status will indicate whether you should trust them or not. Regulated and licensed brokerages follow laws and regulations and are monitored by third-party organizations that hold them accountable. No such thing is applicable in the case of unregulated platforms, so it obviously means that regulated ones are a better choice. Which category does MeteorTrade belong to?
When you go through their website, you will find that MeteorTrade claims to be owned and operated by a company named Incendiary Group LTD, which is based in the Commonwealth of Dominica. The problem is that Dominica is considered an offshore tax haven where anonymous international business companies (IBCs) can be registered and they are not required to disclose any financial details, or give access to their accounts. This means setting up a scam broker in Dominica is a piece of cake, as companies registered there don’t have to worry about any regulatory oversight.
Obviously, this should send up a red flag right away because you cannot rely on an unregulated broker. In addition, you should also note that the address MeteorTrade has listed on its website is the same one that has already been used by plenty of other brokers that all turned out to be scams. This is all the proof that’s needed to confirm that it is a shady and unreliable broker.
After learning about the problems with the licensing and regulation of MeteorTrade, you should already be on your guard and aware that it is not a legitimate platform. If you are still not convinced, there are plenty of other aspects of the company that can show you exactly what is wrong with it. Their bonus policy is an excellent example because it is downright ridiculous. The first thing you should know is that trading bonuses are no longer allowed in many regulated markets because they are not fair to the traders.
Therefore, most regulators have gone ahead and banned brokers from offering them to their clients. However, you will find that MeteorTrade offers these bonuses and also has strings attached with them, which make it impossible for people to withdraw their funds. There is a minimum trade volume requirement to be fulfilled and even the most professional traders will find it difficult to achieve it, thereby ensuring that withdrawals are cancelled and your funds remain with the brokerage.
A vital feature that every broker offers to its clients is the trading platform, which is the software used by people to execute their trades in the financial markets. As it plays a very important role in your trading journey, you want to have access to the top trading platform in the market i.e. MetaTrader. But, you will not find it at MeteorTrade because it offers an oversimplified and unreliable Webtrader, which is not even branded with their logo. This indicates just how shady the offering and the broker itself is and why you need to run in the opposite direction. Any broker worth their salt would offer either the MT4 or the MT5 because they are the reigning platforms in the market and offer everything you need for a smooth and profitable journey.
The spreads offered by a broker are relevant because they can affect your bottom line i.e. the profits you make at the end of the day. You should know exactly how much you will be left with and whether you can achieve your financial goals or not. When it comes to MeteorTrade, you will find that the broker is offering spreads as high as 3 pips for the EUR/USD pair. This is twice what most brokers usually offer, which means it is not competitive pricing at all and will not work in your favor.
Along with these issues, you will find that while the high leverage of 1:200 provided by MeteorTrade is attractive, it is equally risky. You don’t want to take such risks because they can cost you a lot in the long run. As for payment options, they appear to work with bank cards and wire transfers, but there is no way to confirm it. Due to its lack of regulation, high spreads and an unreliable trading platform, you will not find MeteorTrade to be a good broker at all.