Founded back in 2005, LiteForex is a forex broker offering a wide range of currency pairs, and various CFDs (including on cryptocurrencies) on MetaTrader 4 and MetaTrader 5.
There are two companies behind the brand – LiteForex Investments Limited, which is registered offshore, and Liteforex (Europe) Ltd., which is based in Cyprus and licensed by CySEC. LiteForex, in fact, bought the Cypriot company that used to operate the Mayzus brand.
LiteForex is an old and well-established Forex broker. At the time of this review, LiteForex has been in the market for over 12 years.
Table of contents
Many traders shop for a broker to work with and find endless reviews on the web, and not all are genuine. There are lots of websites that specialize in broker reviews and lots of talk about brokers in various forums, social media channels, and groups. While some information comes from a real trading experience of people that have used brokers’ services, some have a hidden agenda of promoting the broker(s). Promoting a forex broker is a legitimate and normal practice, as long as it’s done in a transparent way.
As of today, there are very few websites with trusted brokers’ reviews. One of the most trusted is forexpiecearmy.com, due to its security level which filters fake reviews. Anyway, use your intuition when you read LiteForex reviews.
Liteforex’s overall rating on the largest portal for broker reviews is good. What do LiteForex’ disgruntled traders complain about?
Alleged spread manipulation is always an issue with online trading operations, as is the apparently unfounded denial of profits from traders. Some of the clients are not happy with the execution, complaining about widening spreads and execution with slippage. A more serious issue seems to be the cancelation of profitable trades and closed accounts for reasons like hedging and arbitrage.
Here are just 2 examples:
There seems to be a serious issue with canceled trades and closed accounts for “suspicious” trading. We hope “suspicious”, not profitable.
Is LiteForex reliable?
LiteForex is considered medium to high-risk. LiteForex is not publicly traded and does not operate a bank. LiteForex is authorized by zero tier-1 regulators (high trust), one tier-2 regulator (average trust), and zero tier-3 regulators (low trust). LiteForex is authorized by the following tier-2 regulator: The Cyprus Securities and Exchange Commission (CySEC).
For EU traders LiteForex is a safe broker, but outside the EU the Marshall Island registration does not provide any type of regulation or protection.
How popular and successful LiteForex is?
Liteforex is not popular in regulated regions like the EU, UK, or AU. Vietnam and Malaysia are the leading markets for LiteForex (source ahrefs.com) and the main source of business (60-70%).
LiteForex Trading Conditions
Accounts and Spreads
LiteForex provides 2 account types for its clients. For all account types: $50 is the minimum opening balance, 100,000 is the lot size and the minimum lot is 0.01. Social copy trade is also available for all account holders. Maximum forex leverage of 1:500 is obtainable for international clients while the European clients get a maximum of 1:30. The types of accounts are:
- ECN Account: The floating spread starts from 0.1 pips. The commission is from $5 per lot. Only the MT4 trading platform is available to account holders. An interest rate of 2.5% is paid on traders’ surplus funds.
- Classic Account: The floating spread starts from 1.8 pips. No commissions are charged and the broker charges are embedded in the spread. Both the MT4 and MT5 trading platforms are available to account holders. No interest is paid on traders’ surplus funds.
- Islamic Account: This account is designed for Muslim faithful who are prohibited from receiving interests by Sharia Law. This account is swap-free and also does not receive an interest in surplus funds.
- PAMM account: It combines all the advantages of both management and investing including transparency, safety, and convenience which provide wide earning opportunities to both investors and managers. The minimum deposit is $200 and the maximum leverage is 1:200. There is no commission.
LiteForex offers its services on two of the most popular platforms among traders – MetaTrader 4 and MetaTrader 5.
The MT4 is available as the desktop version, mobile apps a web-based version, called MetaTrader 4 Web terminal. This professional, fully-featured software provides traders with everything they need: fast order execution, a variety of technical indicators, linear instruments advanced charting packages, and the ability to develop and to use Expert Advisors (EA). The platforms give access to the MQL5 market where traders can buy or sell trading tools like forex EAs, forex signals, or the best MT4 and MT5 Indicators.
The MT5 was developed and marketed as an improvement on MT4 (see here our MT4 vs MT5 guide) and it is today the best forex trading platform in the world according to industry experts.
Learn how to use MT5 and how to use MT5 with step by step guidance and illustrations.
What is more, LiteForex has launched LiteForex Social Trading, a social platform for copy trading. The service is automated and is available for ECN account holders on the MT4 trading platform. Social Trading offers four different types of copy trading that are fully customizable: full-size copying, copying a fixed size of each trade predetermined in lots, copying a predefined percentage of each trade, or copying a fixed share of duplicator’s equity defined by the copy equity/provider’s equity ratio.
Deposits can be made using major credit cards and online payment programs including LiteForex Cards, Skrill, Neteller, Carte Bleue, Dankort, PostePay, Qiwi, and China Union Pay. Bank wires are also accepted.
Withdrawals are made using the same methods. An opportunity to us automatic withdrawals offers clients the possibility of 2 automatic withdrawals for the period of 24 hours for the maximum amount of $100 (or the equivalent in another currency).The 24-hour period is measured from the moment of funds deduction as a result of automatic withdrawal.
Bonuses and Promotions
LiteForex currently offers three forex bonuses to entice new account openings, deposits, and trading volume. A contest for video bloggers to create content using the LiteForex website and to promote it on YouTube has a prize pool of $1,000. The Best of the Best is a monthly demo contest worth $10,000 in real cash. In May, the LiteForex Dream Draw contest commenced, ending in May of 2021. A dream house, an SUV, and 18 gadgets comprise this $350,000 promotion. Terms and conditions apply, and traders should familiarize themselves with the rules before entering.
Video bloggers may earn $1,000 and a three-year contract to create content for LiteForex.
LiteForex also offers a $10 no deposit bonus forex, which is not really useful.
LiteForex is a reputable offshore broker (if we can say so), offering competitive conditions for trading in forex, CFDs, and Bitcoin on the MT4 and MT5 platforms. Its main disadvantage is the lack of regulation and the high number of complaints related to trade cancelation and accounts closed.
GET A FOREX PRO ON YOUR SIDETo trade forex and CFDs, you need a well-regulated broker, where your money is safe, one that features a user-friendly trading platform with ultra-light execution, tight spreads, and fees. Trading with a trusted forex broker is crucial for success in international currency markets.
Here’s the Overall rankings for the best online brokers who participated in our 2021 Broker Review, sorted by Overall ranking.
LiteForex is considered medium to high-risk. LiteForex is not publicly traded and does not operate a bank. LiteForex is authorized by zero tier-1 regulators (high trust), one tier-2 regulator (average trust), and zero tier-3 regulators (low trust).
While LiteForex remains unregulated, and numerous reports of issues exist, it is not a scam.
It is $50 to open an account, and then $10 except for bank wires, where it is $100.
The Marshall Islands entity remains unregulated. A CySEC-regulated entity caters to EEA traders with a significantly less competitive environment.