Shooting for the stars with StarTrader won’t really bring you wealth and glory like the broker claims. StarTrader LLC company is an unregulated offshore brokerage entity offering online financial services and products without a license.
Carefully designed scam revolves around good overall trading conditions, skillfully manipulated trading platform, and friendly customer support. At first glance, StarTrader may even pass as a decent brokerage agency. However, the reality is grim and not at all as shiny as the broker presents it.
The sole fact that StarTrader is located in an offshore zone, characterized by a lack of supervisory institutions, is a warning sign. Our StarTrader review uncovers the scam behind the optimistic name, so read on.
|Spread||From 1.3 pips|
StarTrader Regulation and Security
The first detail about StarTrader that immediately warns you to be careful is the location of the company. SVG is unfortunately notoriously known as a scammer haven. The reason for this circumstance is the fact that SVG financial authority doesn’t engage in licensing and controlling the brokerage activity in the area.
Without a jurisdictional regulator to constantly supervise their activity, brokers are allowed to engage in unscrupulous actions. That’s why many scammers prefer this location for setting up their scam business.
We were kind enough to give StarTrader another chance instead of immediately writing them off as a scam. So we went on checking the commercial registers that jurisdictional regulators keep. Databases of regulated brokers that FCA, BaFin, AMF, CONSOB, CNMV, ASIC, and CySEC keep don’t include StarTrader.
Legal documents on the site are shallow and half-understandable anyway. There is no mention of any kind of regulation existing. There’s no doubt about it – StarTrader is not regulated and overseen by any financial entity.
The broker is not providing security of funds through segregated bank accounts. Clients aren’t protected through mandatory transparency. On top of that, StarTrader isn’t limiting the leverage or implementing negative balance protection methods as risk-reducing measures. The conclusion is obvious: StarTrader is not a broker to trust your capital with!
Trading Software Used by StarTrader
Extreme caution is advised when dealing with a scammer with a convincing trading platform. StarTrader skillfully tries to deceive traders by linking the download to another MT4 server – IV Markets.
You won’t be trading on the StarTrader server either way. The manipulative use of the trading software consists of masterfully altering the parameters or market changes to make victims believe they’re winning or losing. Scammers can show you whatever is it that they want you to see at a particular moment to justify their behavior.
MT4 has been one of the best and most trusted trading terminals in the world for more than 15 years. It’s not unusual for it to be used for scamming purposes. Always be one step ahead of fraudsters and choose brokers who offer reliable trading software solutions.
StarTrader Account Types
With ultra-tight spreads and high leverage, you can supposedly trade on more than 170 products across forex, crypto, indices, metals, commodities, and shares. StarTrader is advertising two distinctive account types suitable for every trading style and experience level:
- STP account
- ECN account
Differences in accounts primarily concern spreads. The STP account has spreads starting from 1.3 pips, while the ECN account offers spreads from 0.0 pips. However, the broker doesn’t state the commissions that the ECN account includes.
Otherwise, both accounts are designed to provide hedging, 1-click trading, Expert Advisor, and a dedicated account manager. Accounts can be either live accounts or demos.
StarTrader Offers Bonuses and Promotions
Especially motivating for newly joined traders is the free money offered through bonuses and promotions. There are several of those constantly going on at startrader.com:
- Giveaways (free MacBook, phones, air pods, gift cards, and even gold bars)
- Gold Trading without swap fee
- StarTrader lucky draw (chance of winning football tickets to Qatar)
- 1% Switch allowance and up to $200 cashback
- 20% cumulative bonus up to $10 000
Pay attention to special conditions that apply with these bonuses. To be able to participate you have to make a deposit of at least $1000 or $3000, depending on the bonus.
The trading volume requirement also applies and it’s 20 x (deposit + bonus). In some cases, it’s even more, so it’s almost impossible to reach the conditions to win the bonus.
Deposit and Withdrawal Method
Options for transactions include wire transfers, credit/debit cards, crypto, and online wallets (Skrill, Neteller). The broker assures customers of a safe and secure funding process but this is hard to believe when it comes from a scammer. StarTrader doesn’t specify what amount is the minimum you can deposit.
Of course, clients are considered to be responsible for covering all the fees occurring during the transactions. The only certain fee mentioned is the one that the bank charges and it’s supposedly around $20.
Withdrawals are also said to be fast and secure. Processing time is not estimated to last more than several hours, depending on the time of the request.
How Does The Scam Work?
Let’s be honest, StarTrade sounds just too good to be true. The deal with these scammers is that when something looks overly attractive it is usually a lie. Nothing that good can be real because it just wouldn’t pay off.
That’s why scammers use any means available to convince traders to invest. Their promises range from huge profits overnight, not doing much at all yet winning and trading seeming too easy and insignificant.
Deception is on another level when it comes to these con artists. With the help of the carefully adjusted trading platform, they will show you that your funds are growing or are lost in a blink of an eye. It is how they justify their theft, after all.
Using all the methods to earn your trust only to steal your entire investment is what they’re experienced in. To protect yourself efficiently, be meticulous when checking if the broker is legitimate or fake.
Suggested Forex Brokers
Fraudulent brokers are a threat to the entire online trading community. The number of scams is increasing rapidly on a daily level. On the plus side, there are numerous great brokers who are operating legally.
We know how much trouble it is to check every single one in detail before you’re ready to invest. To spare you the trouble of running each one through a scan, we mustered a list of regulated brokers for you.
All of them provide slightly different opportunities and conditions. One thing is for sure: they’re overall excellent brokerage houses with multiple regulations.
|FXTM Broker||Cyprus, UK, Mauritius||4.5||$10||Forextime.Com|
|OctaFX Broker||Cyprus, SVG||4.4||$100||OctaFx.Com|
|FP Markets Broker||Australia, Cyprus||4.7||$100||FpMarkets.Com|
|XM Broker||Cyprus, Belize, Australia||4.7||$5||XM.Com|
|HFM HF Markets Broker||Cyprus, UK, South Africa, UAE, Kenya||4.3||$5||HFM.Com|
|FBS Broker||Cyprus, Belize, Marshall Islands||4.85||$100||FBS.Com|
This StarTrader review was written on the basis of carefully conducted research. That’s why we can confidently claim this broker’s certainly a fraud.
An offshore registered entity operating illegally is not worth your time, trust, and money. StarTrader is running its business under the radar of all jurisdictional authorities.
The scammer doesn’t comply with the regulatory standards and rules set by financial supervisory institutions. When the circumstances are such, you cannot put your trust in a company that doesn’t provide top security and safety of funds and clients’ info.
If you wouldn’t like to invest with some of the brokers we have suggested, it’s fine. You should choose a broker you feel the most comfortable with, that’s for sure.
However, pick your site carefully, as you never know what you’re getting yourself into if you aren’t sure about the broker’s legitimacy.
FAQs About StarTrader Broker
Is StarTrader Regulated?
No, StarTrader doesn’t own a license from any known jurisdictional regulator.
What Are The Funding Methods for StarTrader?
Funding methods at StarTrader are wire transfers, credit/debit cards, crypto, and several E-wallets.
What is the Minimum Deposit for StarTrader?
The site doesn’t state the minimum deposit required to invest in order to start trading.