Though cryptocurrency brokers have spread across the internet with many of them boasting of the introduction of new financial instruments and lower spreads, most of them are not available to UK and EU traders. Acquiring license to operate a trading platform in the region is very difficult, and this has made most Europe and UK based cryptocurrency enthusiasts fall in the trap of fraudulent platforms that are not guided by any legal framework. In a bid to save traders from engaging in time-consuming research and background checks, this article will present and compare three cryptocurrency brokers available to UK and EU traders.
eToro – A popular UK and EU cryptocurrency broker
eToro is beyond doubt, one of the best cryptocurrency brokers in the market. It is famously known for its copy trading or social trading services provided on its platform. eToro is authorized and regulated by the Financial Conduct Authority (FCA), giving it the legal mandate to run investment services in the U.K. eToro UK and eToro Europe operates under the Market in Financial Instruments Directive (MiFID). Though there is no obvious statistics showing the number of UK traders using the platform, it has been estimated that there are over 4.5 million traders on eToro with most of them operating from the UK and the EU.
Markets
eToro basically focuses on five main markets namely: commodity market, indices market, stock market, currencies market and cryptocurrency market. Under the cryptocurrency market, they offer trade and exchanges for Bitcoin, Ethereum, Bitcoin Cash, Dash, EOS, NEO, Litecoin, Ripple and Stellar Lumen.
Etoro Deposits and Withdrawals
As at the time this article was being written, eToro had a minimum deposit of $200 to qualify a trader for having a real account. When making a deposit through bank transfer, eToro requires a minimum deposit of $500. Their maximum deposit is pegged at $10,000 a day depending on the payment amount used. Normal deposits take a maximum of 24 hours to be processed. Deposits made through bank transfers take between 3 to 5 business days to be processed. The Popular deposit and withdrawal methods eligible to be used on the platform are credit and debit cards, wire transfer, Skrill, Neteller, WebMoney, and PayPal.
Fees that Etoro charge
eToro charges no fee for trade or commission. However, they make profits through spreads. They do charge overnight fees and also demand an amount to be paid for assets kept over the weekend. eToro also charges withdrawal fees for assets including cryptocurrencies. The amount charged depends on the asset being withdrawn. According to a report, eToro charges $25 on almost all withdrawals, which is said to be a gap in its operation.
Plus500 – Another reliable regulated crypto broker
Plus500 is another reliable cryptocurrency broker which is quite popular for its favorable spread and wide selection of tradable assets. Just like eToro, Plus500 is fully regulated by the Financial Conduct Authority (FCA) (FRN 509909). Their operation is also authorized and regulated by the Cyprus Securities and Exchange Commission (License no: 250/14). This makes them one of the few cryptocurrency brokers available to UK and EU traders. It is currently available to over 50 countries and in about 30 languages. Plus500 prohibits U.S citizens or traders residing in the US due to local law reasons.
Over 2000 available assets
Currently, there are about 2000 financial instruments available on the website for trade. Plus500 basically focuses on five main markets which are: Stock market, Forex Market, Cryptocurrency market, Indices market and Option market. Under the cryptocurrency market, Plus500 operates the services of just nine of them including Bitcoin, Ethereum, Litecoin, Bitcoin Cash, Neo, Ripple and IOTA.
Plus500 Deposits and Withdrawals
Payments made on the website is always encrypted for safety reasons. Plus500 currently accept deposits and permit withdrawals through debit and credit cards (Visa and MasterCard), E-wallets (Skrill and PayPal), and bank transfers. Their minimum deposit is 100 unit of local currencies. Their maximum deposit is dependent on the deposit method. When using PayPal or Skrill, traders are eligible to withdrawal a minimum of $50. Bank transfers and credit card withdrawals are pegged at a minimum of $100.
Plus500 Fees
In terms of fees, Plus500 charges $10 for issuing a withdrawal amount less than the minimum withdrawal amount stated. Just like eToro, Plus500 have no hidden fee and have a zero commission on trades. However, they do make profit from spreads which is a bit lower than the spread of eToro. They charge overnight fees and $10 dollars or inactivity fees. According to them, they cover most of their processing fees. However, the processors charge some fees on rare occasions.
XM – Leading cryptocurrency broker in the global market
XM has been one of the leading cryptocurrency brokers in the global market. Their services are regulated by Australian authorities, the Financial Conduct Authority (FCA) and the Cyprus Securities and Exchange Commission, making them eligible to operate in the UK and EU. XM is registered in ten countries including France, Germany, Italy and Spain.
Available assets at XM.com
XM allows the trading of a wide range of assets as many as 700, giving a lot of options to traders and perfectly fulfilling the needs of everyone. They currently have seven markets available namely: Stock market, cryptocurrency market, forex market, commodities market, indices, precious metals and energies. Under the cryptocurrency category, they offer the services of Bitcoin, Ethereum, Litecoin, Dash, Ripple, and Stellar Lumen.
XM.com Deposits and Withdrawals
Just as the brokers stated above, XM allows traders to make deposits and withdrawals through debit and credit cards, E-wallets such as Skrill (limited to certain countries), and bank transfers. They have a minimum withdrawal amount of $200 and require a minimum deposit of $5. According to a source, the withdrawal amount must not exceed the amount deposited. This basically means transfers are better with bank transfers. Most withdrawals take about 3 days to be fully processed.
XM Fees
XM charges no fee for withdrawals. However, they do charge $15 for all withdrawals below the minimum withdrawal amount of $200. XM does not have any fee for commission. They have zero charges for trades. However, they do have a higher spread. In addition, they charge inactivity fee just as Plus500.
Conclusion – The Best Cryptocurrency Brokers for UK and EU Traders.
The three above-listed cryptocurrency brokers are available to UK and EU traders and more can be found at trustedbrokerz and elitetrading. All information and fees, as well as deposit and withdrawal amounts are subjected to change by their official websites. Hence, traders must cross-check all provided information before deciding to join a broker.