Unreliable Broker: XTB (X Trade Brokers)
People keep asking me what is my experience with a broker called XTB, which has been doing business in the Czech market for a long time. The broker’s offices are located (among other cities) in Prague, the company employs plenty of local staff and traders, before deciding for an investment, can even visit this broker. XTB is a broker founded in Poland in 2002 focused primarily on forex and CFD trading. Trading with binary options has begun recently. So these are the facts.
To be honest, I have never done any trading with XTB but because of your questions I made a test of trading binary options on the XTB platform. Let’s take a look at it together.
XTB’s platform for trading binary options
Even though XTB’s platform is less known, than any other platforms, it looks nice. But in terms of binary options, this is all. Traders are offered only a few assets to choose from. I did not count it precisely, but I think the total was around 30 assets. The number of types of options is not big either. All what you can trade is traditional binary options with expiry periods from 1 to 90 minutes. That’s all.
I like their per-trade profit, which is 80%, a figure nearly the same in all assets. For expiry periods longer than 30 minutes it’s even better: 90 %. Another nice thing is the buy me out function.
However, even though it’s a great feature, with XTB it’s useless. If a trade is OTM (even a single pip) you can’t sell the option. You can do it only for trades that are profit-making (ITM). However, the price of buyback is always lower than the value of the trade, so at the end of the day you will always lose money.
XTB’s customer support
Over the time of XTB’s doing business in the Czech market, the quality of customer support has reached a level of excellence. Everyone is friendly and professional. But I think that in terms of trading binary options this is the only benefit. I have never traded anything else with XTB, so I can’t say more.
Customer support will tell you that until you activate your account trading is impossible. OK, I can understand this, a lot of brokers do so. But this rule applies to a demo account, too. Which is a shame, since normally, they do offer demo accounts.
Money on account and withdrawal
Withdrawals of less than 135 USD are a total flop. I just wanted to test the broker for you, so I invested a few hundreds and made a few trades. I was about to withdraw my earnings. The fee for withdrawing 45 USD that popped up shocked me: 15 USD, which is 35%! On the other hand, withdrawals above 135 USD are toll-free, which is OK.
I assume that the higher the withdrawal, the lower (or at least not higher) the fee. With a refund of 20 000 USD, the above 17.5 USD fee would be negligible. But frankly, how many people do earn tens of thousands from trading?
My overall rating
Overall, I see XTB as a serious, but mediocre player. In my view, it should stick to its best, that being CFD trading, and do binary options as a mere complement. Other brokers with much more insight are surely a better choice.
The offer of 30 assets plus fees for both deposit and refund and, on top of that very limited trading with only one type of options is like a dish that you just taste but never eat. What is your opinion?
Naturally, you can choose from a variety of other brokers trading binary options If you want to see our recommended brokers, take a look at the following list of our tested and recommended brokers. Below, you will find a broker with the best rating at our web site.
|Broker||Bonus||Min Deposit||Payout||Review||Open Account|
||FREE DEMO ACCOUNT||$ 10||Up to 91 %*||Review||Trade Now!|
|*in case of correct prediction|
RISK WARNING: YOUR CAPITAL MIGHT BE AT RISK
|Headquarters||Prague, Warsaw, and more|
|Languages||English, Czech, Polish, and more|
|Trading Platform||Custom made|
|Minimum 1st Deposit||$ 1|
|Minimum Trade Amount||$ 20|
|Payout||Up to 90%*|
|Free Demo Account|
|US Traders Allowed|
|Overall Score||We don't recommend trading with this broker.|