Trading App Scams – How to Recognize and Avoid Them

Online traders are aware of the endless possibilities when it comes to the vast choice of trading applications and software for investing online. Alas, not all of these technological solutions are licensed, reliable and properly equipped with needed tools.

There are always those promoted by shady websites that make trading seem easy as a breeze. It’s exactly those platforms that should be avoided at all costs. Earning online is no game, no matter how fraudsters attempt to make it sound. If you want your trading to prove lucrative, you need to be equipped with the best software solution you can find.

At that, we should not forget the importance of recognizing and avoiding trading app scams. That is exactly the subject of today’s article, so join us as we delve into the world of online trading apps, frauds, and how they operate.

What is a Trading App?

A legit trading app is a specialized software that is meant to help traders make educated decisions on the markets and make the most out of their investment. You can regard the trading software as a sort of a portal into the online trading world that allows investors to track prices and market events, look for lucrative opportunities and place trades.

Every properly equipped trading platform comprises an abundance of features that provide traders with deep insight into the world of price fluctuations, market changes and other important events.

This software also contains a variety of tools that facilitate the analysis of the crucial values, based on which traders can build their strategy, choose the instrument of their preference, and plan their investing.

Trading platforms are usually offered for free by brokerage institutions or other financial services providers so users can trade securities. To be eligible to use a platform, clients have to open an account with a company, which may be of various types, such as a margin account or retirement account.

How Do Legitimate Forex Trading Apps Look?

There are several crucial aspects that can help you differentiate between bogus software and a reliable online trading solution.

First of all, a legit forex trading platform is characterized by plenty of features. Every good platform has something useful in store for every trader.

Another key point you should pay attention to when deciding which platform to use is cost. Of course, low costs will always be one advantage of a certain app. However, if lower fees mean a lack of advanced features, you’re not gaining practically anything.

Some platforms may be more user-friendly and comprehensive to start with if you’re a beginner. Others offer complex tools for deeper analysis. In general, starting off with a demo account and exploring it is probably the wisest thing to do before embarking on a serious investment journey.

MetaTrader App

Launched in the early 2000s by MetaQuotes, MT apps are arguably the most widely used and loved by millions of traders worldwide for many reasons. Undoubtedly offering unparalleled service thanks to the range of built-in features, MT4 and MT5 are recognized for their complexity yet adjustability.

Wide range of customizable tools, advanced charting and even automated trading features, are just some of the main reasons to rely on these magnificent apps. Although some may argue that MT5 is the successor to the ultra-popular, classic MT4, it is an independent, stand-alone solution with an enriched tool offering.

cTrader

Probably the only worthy contender that can compare to the excellence of the MetaTrader apps is cTrader. Developed by cTrader Limited, this extravagant software has gained popularity for being especially compatible with ECN brokerage brands as one of the legitimate stock trading apps.

The platform is extremely time-efficient in the aspect of executing trades. That’s why it is preferred by traders who make quick transactions their top priority.

With the same precision and accuracy, it allows traders to gain significant insight into market events and price details, and it enables the function of automated trading.

Common Signs of a Fraudulent Trading App

Some bogus app creators are so well-versed in what they do that their fake investment app can faithfully mimic the real deal. However, there are always telltale signs that you can watch out for and manage to recognize a fraudulent app being sold as a reliable one:

Watch out for the lack of registration. Countless suspicious sites advertise scam trading apps that allegedly allow you to buy and sell futures, bonds, Forex, ETFs, and crypto. However, getting a proper license to offer all these products isn’t so easy. You should always check if the app provider is a properly registered and supervised entity.

App only available in the form of a web terminal. Simplistic web traders often lead you to believe trading is easy. Heavily manipulated and controlled by financial swindlers, a fake crypto trading app lacks progressive features and is of questionable functionality. Even if any download file is available, refrain from it unless it comes from verified online sources like big app stores.

No customer service or contact details provided. Shady service providers tend to keep their anonymity and remain under the radar to avoid legal consequences. That’s why you are usually not allowed to contact them or reach out any other way, including email, phone, or chat.

Poor grammar, broken buttons, inactive links. Fraud trading apps glitch out for no reason, keep loading endlessly, suggest nonsensical errors, or are simply full of broken links. Prestigious apps pride themselves on spotless functionality, while fraudulent apps are created by amateur developers from poor economies with a lack of knowledge of English.

Is There a Way to Protect Myself?

Knowledge has always been, without a doubt, the best way to combat unscrupulous attempts at robbing you. The more you explore various software and learn about the basic characteristics of advanced technological solutions in online trading, the more aware you become of fraud.

Building your knowledge and experience isn’t easy, but it demands time and dedication that not everyone has. As the online trading world is demanding and time-consuming, if you wish to become a professional investor and know your trading apps, you have to invest more than just money.

What Should I Do If I Was a Victim of Trading App Scams

In case of trading app fraud, there are always certain steps to follow if you want to bring criminals to justice and get your stolen funds back. First of all, we advise you to make a report to the local authorities and other government institutions that are specialized in combating this type of crime.

Furthermore, if you want to recover lost investments, you should consider starting a chargeback procedure. If you’re unsure about what it exactly means and what steps you need to take, our chargeback team of professional legal advisors and recovery agents is always at your service.