Is CP Markets scam or legit broker? Read the review to know
If you are searching for a Forex broker to trade with you, would come across a lot of scam brokers. Some of them look very good from the outside and manage to lure customers with a nice looking website, and various claims that they are the best, have the lowest spread, high bonuses and etc. However, some broker fails to seem legit and good. CP Markets Forex broker is a good example of this. The brokerage offers standard and ECN accounts and offers its financial services to the worldwide audience with some exceptions. Mostly it targets Asian and English speaking, more precisely European traders. In order to open an account with the broker trader needs to deposit a minimum of 100 USD, with that, he or she can trade with 1:200 leverage and choose from over 150 trading instruments. The broker offers multiple payment methods and MetaTrader 4 trading platform. Once you spend some time on the CP Markets website you will be able to see that the offerings are not that nice, and in fact, some of them will make you think that CP Markets scam is possible. So let’s delve deeper into our Cooper Markets review to see all the details that you should be aware of.
Is CP Markets scam possible?
To see how legit the broker first thing to check is the regulations of the broker and the background of the company that operates it. CP Markets is the brand name of the company CP Markets Limited. The company is registered in Vincent and the Grenadines and probably has some kind of office there as the contact phone number is from the offshore country as well. The registration number can be seen on the website, it dates back to 2018, meaning that the brokerage was registered last year. As for the license number, it is not indicated on the website at all, seemingly the broker does not have a license from the local financial regulator. As the broker is registered offshore it is not reliable for the traders anywhere in the world. Is CP Market legit since it does not have a license? Obviously not. The broker is not authorized to provide trading services to the residents of any country. As for the company background, there is not much information available about it, meaning that the company is really newly established.
At first, the website of the broker might seem okay, however, the more you look at it the worse it gets. Okay, let set the design aside, the website does not serve its purpose. The broker’s website should provide all the information a person might need to know, such as the list of the trading asset, the real picture of how spread look like with the broker, information about deposit and withdrawal, information about commissions and etc. Unfortunately while preparing Coopermarkets.com review we were unable to find out any of this information since the broker does not display details of it. Usually, the lack of information is for one simple reason, the broker is fully aware that the service it is offering is either bad, or it has not thought about these part yet. Either way, it is a very bad sign.
Another thing that should ring bells in your mind is that there is no FAQ section on the website. I could understand it if everything was explained in details on the website, but there is no information given there as well. So it is truly a matter of concern. The website is available in two languages only, English and Chinese, that once again proves that Asian and European traders are the target of the brokerage.
Social media pages of the broker might be indicating that the CP Market scam is real. While the broker can be found on almost all social media channels such as Facebook, Instagram, LinkedIn, Twitter, Telegram, YouTube, and Pinterest. However, the broker is not active, it does not have any posts or followers. More importantly, the broker claims that it was opened in 2016, but all the accounts were created in 2018. As mentioned above, the broker’s registration number also shows the 2018 year. So can CP Markets be trusted when it is lying about the year of its establishment?
CP Markets account types
There are two accounts available with CP Markets. One is a standard account for Forex and CFDs trading, and the other is an Electronic Communication Network (ECN) account. There are not many features that come with the accounts. Both of them have market execution, leverage up to 1:200, and the possibility of using mobile for trading. These are all the features which really lowers CP Markets rating, as brokers usually have a dedicated account manager, access to the educational materials and many more additional and valuable features.
The minimum deposit for a standard account is 100 USD, it is higher than the average, as many brokers offer lower minimum deposit to make trading accessible for the low budget traders. The minimum deposit for the ECN account is even higher, anyone who wants to open the ECN account needs to deposit as much as 3000 USD.
As for the spreads, they are also very high. For example, the lowest spread showcased for the standard account is 2.6 pip. Considering that the broker offers exotic currencies the real spreads must be much higher. Lowest spread for the ECN account is also high and is 0.8 pip. Usually, ECN accounts have spread from 0 pip.
CP Markets withdrawal and fees
As mentioned there is no information about CP Markets withdrawal. The website does not even mention withdrawal. The information is available in attached documents such as terms and conditions, but this document does not state anything about the time that is needed for withdrawal or if there are any fees related to it. There must be information about commissions for ECN account, as these accounts are always charged with a small commission, but there are no details about it either.
CP Markets opinion
As we can see from our CP Markets review, our opinion on CP Markets is very negative. The broker does not even try to look legit. CP Markets is an offshore broker and the customers of it are not protected from the scam and wrongdoing. It lies about the year the company was founded. As it seems like the broker is not actively advertising its service yet, or it is easy to understand that the broker is a scam, as there are no CP Market reviews made by the customers, and social media pages do not have any followers. The brokerage does not care to provide sufficient information about the service it is providing and traders cannot learn the important features of it until they register with CP Markets. To sum up, it is not the broker one can trust, hence, instead of falling into the scam and losing your time and money, it is better to find a legit and good international broker and open an account with it.