KryptoHaus makes many big claims about its services. But are they worth your money? Youíll find out in my detailed KryptoHaus review:
Is KryptoHaus Regulated?
At the footer of their website, KryptoHaus provides a UK-based address. The financial regulator in the UK is the Financial Conduct Authority (FCA) and as a forex broker KryptoHaus must hold an FCA license.
So I checked FCAís register for KryptoHaus but I didnít get any results.†
This means KryptoHaus is an unregulated and unlicensed broker. Whatís worse is they claim to hold multiple licenses from different regulatory authorities in their ĎAbout Usí section.
They are lying to their potential clients and thereís a good chance that itís a scam.
What is an Unregulated Broker?
An unregulated broker is a broker that doesnít fall under the supervision of a financial regulator. The forex industry has expanded substantially in the past few years and so, various kinds of organizations entered this field, including the shady ones.
Offshore regions such as St. Vincent and the Grenadines donít have financial regulatory authorities. So if a forex broker registers there and starts offering their services to others, they donít have to follow any heavy restrictions or repercussions for acting against their clientsí interests.
Most of the unregulated brokers are scams so you should avoid trading with them.
Is it Safe to Trade with an Unregulated Broker?
You should avoid trading with an unregulated broker. Such brokers donít follow any rules or regulations and can do whatever they like with your funds and data. Unlike regulated brokers who must act in the interests of their clients, unregulated brokers donít have such restrictions.
Regulatory authorities such as CySEC (for the EU) or FCA (for the UK) impose various restrictions on their brokers to make sure they donít harm the interests of their clients.
For example, a licensed broker must have good capital. In the USA, a broker must have an initial capital of $20 million which is quite an astounding amount. This is a big reason there are very few US-based forex brokers and most of them are market leaders.
Brokers that have a license from CySEC or FCA must participate in compensation schemes and allocate some funds to them. This way, even if the broker goes bankrupt, the clients can get some compensation.
With an unregulated broker, you wouldnít get any of these benefits. If an unregulated broker vanishes one day with all of your funds, you wouldnít be able to do anything about it.
So, always avoid trading with an unregulated broker, Itís very dangerous for your data and funds.
Should You Trust KryptoHaus?
No, you canít trust KryptoHaus. This broker is lying to its clients by claiming to hold multiple licenses. They are based in the UK but donít hold the required license from the British regulator to offer their services.
KryptoHaus is an unlicensed broker. So, you should stay away from them and avoid their services.
How is the Website of KryptoHaus?
At first, KryptoHausí website seems quite impressive. The website is easy to use and provides links to various aspects of the broker. But thatís all an illusion.
Suspicious brokers usually fill their website with useless text and educational material to seem trustworthy. They try to create an illusion of offering a ton of information while in reality, they donít give any valuable information about themselves.
KryptoHaus has done the same with its website. They have stuffed their website with useless information that doesn’t tell you anything about the broker.
You see, a shady broker wouldnít want you to find out their reality. So they bury their shady terms and conditions and any other indications of them being a scam deep into the fine print.
Reliable brokers donít need to hide anything from their clients. So they keep things transparent and ensure that the user can access every section of their website easily.
Always keep this point in mind while determining the trustworthiness of a broker.
What are the Trading Conditions of KryptoHaus?
KryptoHaus Trading Platform
KryptoHaus offers a low-quality web-based trading platform to its users. The web-trader doesnít offer many features to its clients except a few basic functionalities. You get to choose the currency pair you want to trade, and the prices of the same. There arenít many things to say about their offered platform.
The offered leverage of this broker ranges from 1:100 to 1:1000. Yes, thatís not a typo, their offered leverage can go up to 1:1000! This is proof that KryptoHaus doesnít have a license because UK-based brokers canít offer more than 1:30 leverage to theri clients.
To give you an idea of how dangerous their offered leverage is, the maximum a US-based broker can offer is 1:50.
The offered spreads of this broker are 0.2 pips which is lower than the industry average. A low spread ensures that you can make great profits.
But even if this broker offers such attractive spreads, the rest of its trading conditions arenít any attractive.
Their Minimum Deposit
The minimum deposit requirement of this broker is $250, which is too high.
If a broker has a very high minimum deposit requirement, you should stay away from them. Most of the reputed brokers keep their minimum deposit requirements at around $100 and some even go as low as $10. Thatís because they want to remain accessible. Apart from that, a low minimum deposit requirement lets the user try out the services of a broker without making any huge financial commitments.
On the other hand, a scammer would want you to deposit a huge amount to ensure they can steal a large sum from you. Shady brokers keep tricky withdrawal conditions as well to prevent you from getting your money back.
In most cases, a high minimum deposit requirement suggests that the broker is a scam.
What are the Account Types of KryptoHaus?
KryptoHaus offers the following account types to its clients:
Youíd need to deposit $250 to trade with this account. You get an Apprentice account management and access to their mini groups for social trading. The spreads for this account are fixed.
This account requires a minimum deposit of $5,000. Most of the benefits are the same as the Mini account except you get a Junior account management and access to their standard social trading group.
The minimum deposit requirement of this account is $25,000 and the rest of the benefits are the same.
Youíll need to deposit $50,000 to get this account. This account offers a senior account manager along with the benefits.
The Gold account requires a minimum deposit of $100,000 and offers 50% insurance along with the other benefits.
This account requires a minimum deposit of $250,000 and offers 60% insurance and an expert account management with 1:1000 leverage.
The minimum deposit requirement of this account is $500,000. You get access to their expert trainers and their Black copy trading group with this account. The rest of the advantages are the same as the Platinum account.
This is an invitation-only account and offers access to their VIP group for copy trading. Youíll receive 80% insurance on your deposit funds. The rest of the benefits are the same as the Black account.
What are the Payment Methods of KryptoHaus?
The available payment methods with this broker are credit card, American Express, ePayments, GumBallPay, and UPayCard.
You should only use credit or debit cards to fund your trading account. Thatís because they let you file a chargeback 540 days since the date of a transaction. So if the broker tries to steal your funds or something fishy happens, you can get your funds back instantly.
On the other hand, you should NEVER fund your trading account with a wire transfer or a cryptocurrency. Thatís because they are non-refundable and you canít file for a chargeback for a transaction. With those two options, you wouldnít be able to get your money back if the broker steals your trading account or freezes it for a random reason.
Thatís why many scammers promote using wire transfer or cryptocurrencies (such as bitcoin) as they donít need to worry about chargebacks with them.
What are the Fees of KryptoHaus?
This broker charges various kinds of fees. First, thereís the 10% monthly inactivity fee which youíd have to pay in case your account remains dormant for six months.
After that, they charge a $250 fee (or 10% of the withdrawal amount) if you apply for a withdrawal before you hae executed more than 200 in turnover.
The minimum amount you can withdraw through wire transfer is $250 while for other methods, it is $100.
KryptoHaus charges different fees for different withdrawal methods. It charges $50 for wire transfers and a $25 fee for credit cards. Along with these charges, KryptoHaus charges $10 as its withdrawal processing fee.
Does KryptoHaus Offer Bonuses?
Yes, KryptoHaus offers bonuses to its clients, which is another proof that itís an unlicensed broker. FCA-regulated brokers arenít allowed to offer bonuses to their clients because they complicate the withdrawal conditions for the clients.
KryptoHaus Review – Are They Worth It?
KryptoHaus is a lying and mischievous broker that doesnít have a license. Their offered leverage is one of the most outrageous leverage ratios I have ever seen. It wouldnít be safe to trade with them.
You should avoid trading with this broker.This review has been syndicated from The Skeptic Tank To read the full review, go to – www.skeptictank.org/kryptohaus/