2Mercados is a broker that targets Spanish-speakers and their website (2mercados.com) is only available in Spanish and English. The website of this broker is quite peculiar and I donít see such websites often.
Because of their unique interface and website, I started expecting better from these guys. I was wrong.
2Mercados is an offshore broker and I donít recommend trading with them. Read my 2Mercados review further to discover why I don’t suggest their services:
2Mercados License and Regulation
2Mercados has avoided the topic of licensing and regulation a lot. Moreover, the broker doesnít mention anything about its license in its terms and conditions or its legal documents.
Thereís no reason for a regulated broker to avoid sharing their licensing details so itís obvious that 2Mercados is an unlicensed broker.
Be wary of unlicensed and unregulated brokers. These brokers donít follow the stringent rules and regulations of popular authorities such as the FCA or CySEC. Such brokers can use shady techniques to steal your funds or data and get away scot-free because of their unregulated nature.
Regulatory authorities keep a close watch on licensed brokers so they donít act against their clientsí interests. In case a broker does act against their clientsí interests, the clients can get insurance compensation from their respective regulator. For example, CySEC offers Ä20,000 in case the broker files for insolvency. Regulators ensure that the broker keeps their operation funds separate from their clientsí trading funds as well.
Unregulated brokers donít provide such benefits and thatís why itís very risky to trade with them. If you want to keep your funds and data safe from fraudsters, itís best to avoid trading with unregulated brokers.
2Mercados doesnít share any information about its regulatory status or license on its legal documents and website which suggests itís an unregulated broker.†
2Mercados Trading Conditions
Checking the trading conditions of a broker can help you a lot in understanding its reliability. I always recommend checking the trading conditions of the broker before signing up with them. It ensures that you donít sign up with the wrong broker. Letís see if 2Mercadosís trading conditions are okay or not:
Signing up on 2Mercadosí website was quite easy and quick. However, the trading platform turned out to be a huge disappointment. In the homepage of their website, they mention MetaTrader 4 as one of their offered platforms:
However, when you sign up, you only get a generic web-trader to trade with. Metatrader 4 and 5 are among the most popular trading platforms in the forex industry because of the vast amount of benefits they offer. MT4 provides you with real-time and historical data, interactive charts, as well as, online quotes to help you make better trading decisions. You donít get such facilities with other trading platforms.
It seems to me that 2Mercados is trying to deceive traders into thinking they offer MT4 to their clients. In reality, they offer a generic and bland web-based trading solution which doesnít have any features worth considering. Such manipulation only cements my suspicions that 2Mercados is a scam.
The minimum deposit requirement for this broker is $250, which is quite high by industry standards. Regulated brokers keep their minimum deposit requirement at around $100 or below so this is another sign that 2Mercados is an unreliable broker.
You shouldnít trust brokers that have high minimum deposit requirements. Itís usually an indication that the broker is a fraudster. Because most regulated brokers keep their minimum deposit limit very low to make them accessible to a wider audience.
Shady brokers keep their minimum deposit limit high so they can steal a substantial sum of funds right away.
Leverage and Spreads
2Mercados doesnít give any information about the leverage it offers. This is quite bothersome because the leverage of a broker helps you determine whether you can trust them or not.
I suspect the offered leverage of this broker is quite high or unreasonable which would make it appear shady and thatís why they have kept it hidden.
Brokers that offer very high leverage ratios, such as the one I suspect 2Mercados offers, are usually scammers. FCA, the financial regulator in the UK, doesnít allow its brokers to offer more than 1:30 leverage to their customers. They have added this restriction to ensure that clients donít lose their funds because of recklessly high leverage ratios. A very high leverage ratio can cause you devastating losses.
Shady forex brokers keep their leverage ratios high so they can trap their clients in large piles of debt.
The offered spreads of 2Mercados are 3 pips, which is three times the industry norm (1 pip). A high spread makes it difficult to make profits and thatís why I donít recommend trading with such brokers.
2Mercados offers multiple account types to its clients:
The minimum deposit required for this account is $250. This account lets you access their trading platform and get an account advisor.
You would need to deposit $2,500 to access this account and would get all the benefits of the previous account.
This account requires a minimum deposit of $5,000 and offers the same benefits as the Basic account.
The minimum deposit of this account is $10,000 and offers access to their WhatsApp group along with the previous benefits.
This account requires a minimum deposit of $25,000 and lets you access their Telegram group along with the previous benefits.
The minimum deposit requirement for this account is $50,000 and lets you access their WhatsApp group as well.
The minimum deposit required for this account is $100,000 and offers faster withdrawals and access to their events.
This account requires a minimum deposit of $250,000 and offers the same benefits as the Expert account.
It seems to me that 2Mercados has kept so many account types on its platform only to appear like a big brokerage. The benefits of most of the account types are the same as their smaller counterparts, which seemed quite lazy.
2Mercados Payment Methods and Charges
2Mercados only offers you to add funds through credit cards. Thatís it.
They donít let you use any other payment method. It was quite surprising because unregulated and shady brokers like 2Mercados usually keep multiple payment methods on their website.
The withdrawal process of this broker is very sketchy. According to it, youíd have to send a request to the broker and mention the reason why you want a withdrawal and the amount. Then the broker would determine whether they would let you get your funds back or not.
This just shows that the broker wonít ever let you withdraw funds. Their withdrawal process is sufficient to know that itís a scam.
They donít mention any fee-related information on their website. However, as I mentioned before, they can just keep your funds and decline your withdrawal request. So they donít need to charge you any fees when they can simply keep all of your funds.
Is 2Mercados a Scam? Yes!
Itís clear by now that 2Mercados is a scam. The forex sector has many kinds of scammers. Usually, the scammers in this field focus on attracting new and inexperienced traders to their platforms through fake claims and bonus offers. They get the user to sign up on their platform and accept their fishy terms and conditions. Such brokers hide their unfair conditions in the fine print and people usually ignore them while signing up.
Then, they either use hidden fees or make excuses to take away the deposited funds from their userís trading accounts. Having a high minimum deposit ensures that they get a substantial amount to steal from every user.
The best way to combat such scams is to do thorough research before signing up on any new brokerís website. You should check the brokerís regulation, license, address, and its reputation online. Some brokers even spend money on fake reviews to create a fake positive reputation on the internet.
2Mercados Review: Conclusion
2Mercados doesnít have a license, and has the worst withdrawal process I have ever seen. They are obviously a forex scam and you should avoid trading with them.
Be sure to share this 2Mercados review with others. The more people know about this scam, the better.This review has been syndicated from The Skeptic Tank To read the full review, go to – www.skeptictank.org/2mercados/