Is Libramarkets a scam or is it a legit broker?

The world is increasingly migrating towards online resources and virtual production. This means that every company, be it heavy production or service provider, has to get in touch with their clients using an online platform.

Thanks to the proliferation of the internet, it’s incredibly easy to set up a small company and get a good website for it. Unfortunately, though, this process also attracts lots of scammers and fraudulent entities.

The same process is evident in Forex trading. Brokerages from all around the world are springing up like mushrooms in a recently-rained forest soil. And the danger of getting involved in some sort of a Ponzi scheme increases exponentially.

That’s why it’s of utmost importance to take your time and choose your broker as carefully as possible. And that’s why we have prepared this Libramarkets review to help you make a correct decision.

Libramarkets Review Sign up with XM Forex

Libramarkets is an investment management brokerage that offers its services to people around the world. The company is relatively new to the market. As with any new company, people want to know can Libramarkets be trusted or not. This happens rightfully so. A lot of people are wary of entrusting their money to companies that have yet to establish their reputation. In the digital era, the internet is saturated with people and companies looking to take advantage of people. In that environment, it becomes increasingly important to be able to differentiate between legitimate organizations and fraudsters. We’re here to help with that.

The Libramarkets broker provides its users with access to lots of different securities, including Forex pairs, stocks, and commodities. Trading happens on a proprietary WebTrader software. The platform gives you the opportunity to perform your trades without having to install any software. This makes for a fast and efficient trading experience for traders new and experienced. Yet there’s a hinge in the system that we’ll also cover in the upcoming chapters.

In-depth Libramarkets review

Libramarkets scam stories hit the internet. Moreover, these claims seem to turn into reality as soon as you look closer at the company. The second you log on to the website, you’re greeted with a large light-blue wallpaper that takes up the whole screen. Many people believe that this looks attractive to the visitors’ eyes, however, we think that the complex design sacrifices the ease to navigate through the website.

Yet the information provided on libramarkets.com contains everything valuable for trading. It’s a pity that the overcomplicated design doesn’t directly lead the visitors to that information.

Technical characteristics of the Libramarkets platform

The WebTrader platform gives you access to real-time trading on Forex and other global markets from the comfort of your home. And the broker’s interface makes your job that much easier and fun. You can execute trades with a single mouse click. Naturally, you only do that after you’ve made use of the multiple technical and fundamental analysis tools the website has at your disposal.

Fibonacci lines, equidistant channels and trend lines from 9 different time frames are only some of the tools that you’ll be able to use with Libramarkets. The broker boasts 30 technical analysis indicators and over 250 assets you can choose from the dedicated categories. The trading goes on 24 hours a day, 5 days a week. A familiar time-frame for an experienced trader.

Yet these advantages cannot hide the fact that there are also some downsides with the Libramarkets WebTrader platform. You see, other pieces of software such as MT4/MT5 or cTrader are constantly monitored by a large customer base. They always go in and out of the platform and have the ability to spot fraudulent activity from a mile.

However, the WebTrader platform doesn’t allow third-party observers to enter the system; only the users have access to it. This means that detecting a scam is less probable. Therefore, the broker has more means to involve clients in fraudulent activity.

Availability across various platforms

Another advantage we have to mention is the availability across various platforms. The services of the Libramarkets broker are available on multiple mediums. You can access their website on your smartphone regardless of its operating system and find that it operates perfectly on all of them.

Regardless, whether you want to trade from your Android, iPhone, personal computer or tablet, the experience will be equally easy for you. The same number of tools and services are available on all of these. This provides immeasurable comfort for the modern-day trader who is constantly on the move, making connections, traveling within the city or on his way to the airport for the fifth time this month. Being able to monitor your positions and control your trades at all times is crucial for your profits. Because of this, Libramarkets rating recovers a little bit from its previous drawbacks. Let’s continue with the account selection.

What types of accounts does Libramarkets offer?

Once you’ve made your decision to try trading with Libramarkets, you click on the “Sign Up” option on the screen and a registration form will pop up. We have to admit that the company is quite mindful of its clients’ data and asks only the most rudimentary data to complete the registration process.

Once you’ve registered as a customer, you get to choose between three different account types. Unlike a lot of other brokerages and businesses, the account types with Libramarkets aren’t differentiated mostly by access to the website’s features. Instead, the first, basic account already allows you to utilize the platform to a full degree. You will be able to use all the tools and features the company provides.

The difference is that with the basic account you will be solely responsible for all your trades. The second type of account, in contrast, will allow you to use the services of the company’s AI system designed to make perform your trades for you. If you don’t know how to use the vast capabilities of the platform’s tools, the AI will take care of your money and invest it appropriately.

The third account type additionally gives you the possibility to employ the services of some of the leading traders of the industry. You will be allowed to copy their trades and benefit from the years of money-making experience those people possess. This might be an attractive option for people who are either unprepared to do due research and analysis on their own or just want to doublecheck their decisions with other professionals.

However, in our opinion, these differences aren’t enough to entice traders to spend extra cash on alternative accounts. Interestingly, the account types that are supposed to be focused on the beginner traders have higher minimum deposit requirements than the standard one. And the inexperienced traders usually want to minimize their expenses as much as possible, which cannot happen on Libramarkets.

What if I forget my password?

If you happen to not remember the password you use to sign in, just click on the “forgot password” link and you’ll be redirected to a page that will allow you to recover it within seconds.

However, one has to keep in mind that this is a pretty standard feature to have in this day and age. Almost every full-fledged website offers this feature and there’s nothing to be amazed by. However, it’s still a nice feature to have.

What if I need further assistance?

If you need any sort of help within the platform, Libramarkets has set up a customer service department that, according to the broker, employs the professionals in this business. This is an incredibly important feature and one that you might not find even among some of the more established players on the market. The company offers a live chat app. It also lists two separate phone numbers you can call and an email address for less urgent issues.

But we also need to mention that when it came to actually use the service, the customer service department took a long time to answer our phone calls or email letters. Out of three communication mechanisms, the live chat app was the most responsive of all, yet we think that the slow response time for the email and phone is still unforgivable.

Libramarkets promotions

Next up, let’s review the trading terms and conditions and check out how they stack up against the average offerings. We’ll begin by the leverage. The average leverage ratio on the Forex market is around 1:200, yet Libramarkets offers a staggering 1:500 maximum leverage to its customers.

In order to fully understand the implications of this feature, let’s see how it works: traders use the leverage in order to increase their funds and control larger trading positions. This way, the prospective payouts increase as well. However, along with profits, losses increase in size too, making this feature very dangerous to use in real life.

That’s why the credible brokers are trying to stay within the reasonable margins and offer much lower leverage ratios. However, Libramarkets promotions certainly do not consider this fact and go full-on with 1:500 leverage.

And then there’s a 0% stop out level. Forex brokers initiate a stop out in order to save their clients from going into a negative account balance. When the losses occur continuously and a trader doesn’t close their positions manually, their available equity starts to decline quite drastically. At some point, their losses will increase to the point where they’ll actually need to pay for them from their own wallet.

Using stop out, brokers close the positions automatically. Usually, the stop out level begins at a 50% margin level. However, Libramarkets apparently doesn’t care about its clients’ negative balance and initiates stop out at a 0% margin level. This way, only when the traders plunge into the negative account balance will the broker incorporate the emergency measures.

How will I fund my account?

You can deposit a minimum of 250 Euro or GBP to the website. You can do so by employing two different methods: Either transfer the money using a credit card from a bank of your choice or using Wire Transfer. VISA, MasterCard or Maestro credit card are accepted. You will indicate your preferred currency when you sign up for the broker’s services. Make sure to carefully consider this step, as you won’t be able to change it in the future.

The restriction on payment platforms is one of the biggest downsides of the broker. Since credit cards and bank wire have been the main form of payment for a very long time, the hacker community has gotten pretty handy in stealing people’s money using cyber-attacks. In short, the above-mentioned platforms are quite dangerous in terms of security and reliability.

As for the Libramarkets withdrawals, the application process is also obsolete in its essence. Traders need to fill out a request to get their funds and usually need to wait several days before this process completes.

It would’ve been so much better if the broker used more alternative financial platforms like PayPal or cryptocurrencies. These mediums are far more complex and convenient, allowing their users to make more secure and almost instantaneous transactions.

Summary of our Libramarkets review

After so much discussion we need to finalize our answer. Can Libramarkets be trusted? Is it a worthy company to make a deposit? No, not really. It most definitely is not what people are looking for in terms of security and stability.

Why? Because despite our positive tone about the broker’s trading features in the review, we kept the most important feature for last. The regulatory license. Unfortunately, Libramarkets does not posess any of the desired licenses in the EU market, or other markets for that matter. Therefore, any suspicious financial activity can go unnoticed, let alone without countermeasures, which means the traders are in a harms way when choosing this broker as their main trading partner.

Simply based on this fact, we cannot guarantee that the broker is trustworthy. Yet there are also other features that reveal darker secrets hidden in the depths of the Libramarkets platform. 1:500 leverage, 0% stop out level, undiversified payment platforms, and other shortcomings further prove our Libramarkets scam suspicions.

For this reason, we can’t recommend this company at all.