OnnTrades Review – Is it a Good Option?

OnnTrades Review

Are you looking for an online broker? To start trading in the financial markets, you have to use the services of a brokerage because they are the ones who provide you with the platform and tools needed for trading. Even before trading shifted online, brokers had been an essential element of the process and it remains same to this day. The fact that finding a brokerage has become a challenge does not imply that there is a shortage of companies offering their services. It is simply because there are lots of options and some people find this overwhelming. Why? This is because not all companies and brokerages are what they advertise, as this OnnTrades review will tell you.

The online world has had more than its fair of fraudulent schemes and scams and there are plenty of impostors who have also invaded the trading space. After all, there is a great deal of money involved, so it is understood that criminals would want a piece of the pie. The easiest way for them to make money is to masquerade as legitimate brokerages, convince people to sign up with them and deposit their funds. Then, obviously, they take your money under some pretext because that is their primary goal and you are left high and dry.

This can be devastating for anyone who goes through it and you certainly want to avoid it all costs. To be able to do that, you have to find a good online brokerage and this means not just one that presents itself as one. It is important to note that even the fraudulent ones know how to put up a good show, but they are just hollow underneath. This seems to be the case with OnnTrades as well, which claims to be a forex brokerage offering you its trading services.

But, you will discover soon enough that OnnTrades is not what it seems to be and is only trying to get its hands on your money. What makes it obvious? Check out some of the problems below:

False claims about regulation

The first priority for any online trader is to find a brokerage that is regulated and licensed. This offers them the maximum security because these companies are monitored by regulatory bodies and have to maintain high standards of services, while complying with rules and regulations. There can also be accountability, which you cannot find in the case of their unregulated and unlicensed counterparts. When you first check out OnnTrades, you will be impressed because it claims to be registered in England.

This is one of the most regulated jurisdictions in the world and for a company to be based there is certainly impressive. But, you should bear in mind that for a brokerage to be based in England, they have to have a license from the Financial Conduct Authority (FCA). This is the regulatory body there and one of the world’s strictest regulators. However, when you check the FCA’s online register, you will find that OnnTrades is not listed anywhere. Moreover, since it is breaking the rules of the FCA in certain areas, you can already assume that it is not regulated.

All of this shows that OnnTrades is making false claims about its registration and you should not trust the brokerage.

Malicious bonus policy

The fact that OnnTrades is making false claims about its regulation is already a problem, but it gets worse when you look closer and find that it is also offering trading bonuses. Why is that a problem? Technically, trading bonuses should be seen favorably and for a time they were, but this is no longer the case. It is because these trading bonuses have been banned in multiple jurisdictions due to the fact that they came with strings attached that were designed to exploit the traders.

This becomes evident when you check the OnnTrades bonus policy because this is what it aims to do. The policy dictates that the bonuses are not eligible for withdrawals and neither are the profits you earn from them. The problem is that there is no way for anyone to distinguish what profits are made from your deposits and what from your bonus, which means the goal is to just block withdrawals.

Apart from that, it should also be noted that England is one of the jurisdictions where trading bonuses are banned and since OnnTrades claims to be registered there, it shouldn’t be offering them at all.

No CFD trading available

The reason you decide to take a close look at OnnTrades is because you are looking for a forex brokerage that can also offer you CFD trading services. Obviously, you would want to check out the trading platform that they provide for this purpose, but when you go to check it, you will be in for a surprise.

When you try to do so, you will discover that OnnTrades seems to be lying about its business model. This is because it does not have a platform that offers you CFD trading at all. Instead, you will find a platform that only allows you to buy and sell different crypto assets. By all appearances, this means that you are dealing with a crypto exchange instead of a brokerage. Since this is not what you are looking for, it creates a great deal of uncertainty.

Furthermore, since it does not offer you a trading platform, you cannot find any trading conditions available at OnnTrades either, such as leverage and spreads.

Payment methods not disclosed

Another problem you will discover about OnnTrades is the fact that they have not disclosed what payment methods you can use for making your deposits and withdrawals. You want to know the payment options because you want to be able to make a chargeback in case there is any issue down the road, but they have chosen not to disclose them, which means they are not likely to offer you any such reliable option.

Ending Thoughts

All of this shows that OnnTrades is definitely not a good brokerage and you should not choose it at all.