Plus500 Review – Are They Safe or a Scam?
Check Our Ratings and Reviews for 2022
Plus 500 are one of the oldest, trusted, and most popular brokers in the world. Renowned as a forex and stock brokerage platform, Plus500 offers cryptocurrency trading in the form of CFD trading rather than actual cryptocurrency ownership.
So, is Plus500 reliable? There is no better way to find out than to read all about this cryptocurrency trading platform from our experts at Crypto Parrot. We at Crypto Parrot have done the leg work to provide you with an in-depth and insightful Plus500 review.
New users will find the sign-up process to be quick and pain-free. A KYC procedure is required and only requires some basic information and documentation like your passport, proof of address, and a bank account. You will have access to a plethora of stock, forex, and commodity options that are all traded as CFDs – that is, they are not bought, rather their value is speculatively traded on.
Our Plus500 reviews revealed only eight cryptocurrency pairs available for CFD trading, and it appears several previously available cryptocurrencies have been dropped from the platform, such as Ripple and TRON. This does mean that users do not have to concern themselves with any crypto wallets, but they will not be able to own any cryptocurrency tokens.
Despite many tools typically reserved to experienced traders, the Plus500 trading platform is still incredibly easy to use. Users can very quickly and easily create personal crypto watchlists, analyse charts, and monitor trading performance. There are over 100 different indicators for technical analysis and this can overwhelm some new traders. However, such expansive features and tools add to the overall functionality and allow users to create a fully customizable platform – tailor made to your unique trading style!
Plus500 is first and foremost a traditional financial instrument broker, and as such, the cryptocurrency markets are fairly restricted when compared to several major competitors. Currently, there are only eight cryptocurrency pairs that you can trade, and you cannot buy any of those cryptocurrencies – this is strictly CFD cryptocurrency trading. If you want to own cryptocurrency or wish to trade in more altcoins, you will need to open a second account with a more expansive operator.
Plus500 offer one real money account called the Retail account and a Demo Mode account for risk free trading practice. Retail account holders who feel like they are ready to step up to the big leagues can upgrade their account to professional status. Traders who wish to use the professional account will need to meet a strict criteria:
- Sufficient trading volume over the past 12 months
- Must have a portfolio of financial instruments valued at over €500,000
- You will need to have provable financial services experience in a relevant sector
Professional account holders are offered higher leverage and extra features such as cash rebates and the best execution for orders.
The Plus500 demo account is perfect for brand-new traders who want to experiment with the trading platforms features, and to make cryptocurrency trades without any real money risk. Worth noting that you do not need to open a retail account to use the demo account – it is entirely separate.
The demo account simulates real market conditions and features loads of tutorials to educate new users on using the trading platform. You can access the demo account within the browser too, so users who really aren’t ready to commit do not have to download any applications.
The Plus 500 experience and rating online is that of a stock trading platform that is feature packed for experienced traders. Plus500 is well-known for offering complex charts, but also targets beginner traders by offering a free demo trading platform. This is perfect for inexperienced traders who can simply play around with charts, features and make speculative investments with no risk – and of course no reward.
Besides a Windows 10 downloadable application, Plus500 also offers apps for both iOS and Android devices, and a highly optimized web-based trading platform. The web trading platform is very clean, and well-designed but doesn’t feature too much customization. We recommend you turn dark-mode on for an even cleaner looking interface, and a more modern appearance.
One of the greatest things for new traders within the trading platforms is the search function. If you’re a little lost on where your chosen currency is, simply search for it! We really liked that this platform allows for alerts and notifications – you can set them up for email, SMS and to be pushed to your mobile device. You can even set up notifications to alert you about trader volume within the total Plus500 user base.
Our Plus500 reviews revealed an amazing lack of fees at this cryptocurrency broker. Whether trading stock, forex or cryptocurrency CFDs, Plus500 users will not incur any fees on deposits, real-time quotes, opening and closing trades, for using dynamic graphs and charts.
Better still, Plus500 users benefit from zero withdrawal fees – the only exception being in some instances of international credit/debit card transactions or if you happen to use a currency that is unsupported. We also confirmed through rigorous Plus500 reviews, that there are no hidden charges at this crypto CFD broker.
There are several ways to make a deposit at Plus500. You’ll be given a choice of either a bank transfer, Visa and Mastercard payments, and e-wallet payments through either Skrill or PayPal. We found deposits were very easy to make – from the mobile app, users simply needed to locate Funds management from the menu button, whilst for web users it was easily accessible from the dashboard.
Plus500 will request your bank details for your first deposit and our Plus500 review saw our cash-out requests processed within 1 – 3 business days.
Of course when issues arise or you just need a little help, you want to be able to reach the broker. Our Plus500 review revealed a 24/7 customer support department that can only be reached via live chat and email. Like many other cryptocurrency exchanges and brokers, Plus500 offers a detailed and expansive FAQs section to try and reduce the number of incoming support queries it receives.
Sending an email query involves filling in a simple contact webform that allows users to attach a single file as well – for example a screenshot of an error or perhaps a document. During our Plus500 review we did receive responses from our email queries within an hour or so, and on one occasion within a few minutes.
The live chat function very much feels like a chat bot but the software was very good at detecting the commonly asked questions we posed. We either received a short answer or were promptly linked to an appropriate FAQ resource. We also found that getting through to an actual real agent was quite efficient. Since Plus500 is offered to over 50 different countries around the world, customer support is provided in 32 different languages including English, Chinese, Arabic, and Portuguese.
The common question we saw online was, is Plus500 safe? Based on our Plus500 review, we have to say, yes, it certainly is. Plus500 is a reliable broker with a long standing and proven history. One major tick in the favour of Plus500 is that it is regulated by the UK Financial Conduct Authority – arguably the strictest financial regulator in the world.
Furthermore, Plus500 is regulated by several other major regulators including the Israeli Securities Authority, the Australian Securities and Investments Commission, and the Monetary Authority of Singapore. This level of regulation is a fantastic sign of a fair, legitimate and safe cryptocurrency trading platform. This broker also provides an investor compensation fund and all client funds are held in a segregated bank account, ensuring user funds are safe from business failure.
There is no additional deposit insurance offered by Plus500 but client money is safeguarded in the event of a brokerage default and in that instance, shortfall funds of up to £85,000 may be compensated in accordance with the Financial Services Compensation Scheme.
Among the many features at Plus500 is negative balance protection. This means that users cannot lose more than they have put into their Plus500 account. Plus500 have also incorporated the added security feature of biometric authentication for the mobile application and both the web-based and mobile applications use a timer that will log users out if the platform is not being used.
As a well established broker, Plus500 offers more than just cryptocurrencies. You can also trade stock, forex and commodity CFDs within both the applications and web-browser version. As a traditional broker too, Plus500 offers an economic calendar and insights into the global markets.
Plus500 is more than just a cryptocurrency trading platform, it is a total financial trading website and application that also offers stocks, equities, forex and much more. This broker only offers CFD trading, so you cannot buy and own any cryptocurrency on this platform. You can only make speculative trades on 8 different currency pairs, including Bitcoin.
Plus500 users benefit from nearly no trading and withdrawal fees. Unlike many cryptocurrency exchanges, Plus500 offer a highly respected demo account trading platform. New traders can practice cryptocurrency CFD trading in a safe environment, risk free, and with no real money.
While light on the number of coins available to trade with, Plus500 is the perfect tool for trading major cryptocurrencies without the need for a wallet or worrying about issues of custody.