A comprehensive review of 24Option
Security, trading fees, tradable assets and more
24Option is a notable online broker based in Limassol, Cyprus. Founded in 2010 as a binary options trader, it has since diversified its trading portfolio into offering CFD trading for assets such as forex, commodities, indexes, stocks and more recently cryptocurrencies, which have been offered since July 2017. The company is under the leadership and ownership of Rodeler Limited, and is regulated by the Cyprus Securities and Exchange Commission (CySEC). It also has an established partnership with Juventus FC that dates back to 2014.
Pros & Cons
Account Options & Regulation
|Forex Majors Spread||2.5 pips|
|Min. Trade Size||24|
|Free Demo Account||Yes|
|Day Trading Account||Yes|
|Payment Options||Bank Transfer, Credit/Debit Card|
|Crypto Coins||BTC, ETH, BCH, LTC, XMR, DASH, ETC|
What can I do with 24Option?
24option is a CFD (Contract for Difference) trading platform that supports cryptocurrency trading. CFDs allow you to trade against the value of an asset without ever actually owning it (with CFDs you never actually buy any cryptocurrency). These trades are leveraged so you can maximise on potential profits. In addition to cryptocurrencies, 24Option also allows for CFD trading in forex, stocks, commodities, and indexes.
Exactly what you can do on 24Option depends on the amount you put into the platform. There are various account types that offer access to different extra features. Here’s a summary of them:
- Basic account. This level requires a minimum deposit of £250. You will receive one free withdrawal request, free educational resources, and customer service round the clock. The basic account allows for trading under the MetaTrader4 in addition to their own proprietary mobile and web-based platform.
- Silver account. To unlock this account, you must make a minimum deposit of more than £2000. On top of the benefits of the basic account, you are entitled to a one on one tutorial on trading analysis, explanations on common trading strategies, and the removal of maintenance fees, and will be able to assist you on trades.
- Gold account. The Gold level offers the same benefits as the silver account but also includes: emails and SMS alerts through the trading center, one monthly free withdrawal, and a one on one MT4 (MetaTrader4) course. Your account will also be overseen by a senior manager. The minimum deposit needed for the Gold account is £25,000. Gold traders also benefit from an extra two percent return on each trade they make.
- Platinum account. In addition to all the above features, the platinum level offers you access to a special research website as well as live training sessions. Withdrawals also become completely free. To unlock this level, you need a minimum deposit of £50,000. You also benefit from an extra 4 percent return on every trade you make. You will also be offered more profitable rates on spreads.
- Diamond account. Diamond level trades are effectively Platinum users who have been personally selected to enjoy discretionary benefits from 24Option, such as complimentary tickets to football matches for Juventus FC games. This level does not have any specific minimum deposit and can only be achieved at the discretion of a senior manager.
Which cryptocurrencies can I trade?
24Option offers CFD trading for the following cryptocurrencies:
- Bitcoin (BTC)
- BitcoinCash (BCH)
- BitcoinGold (BTG)
- Ethereum (ETH)
- EthereumClassic (ETC)
- Dash (DASH)
- Litecoin (LTC)
- Monero (XMR)
Before you can deposit funds and start to trade on 24Option, you will need to show proof of residence and identification on 24Option. This will be covered in full below. 24Option allows for a wide range of payment methods, including:
You can fund your account through a simple bank or wire transfer. Funds can take up to 5 days before they show up in your account. Withdrawals usually occur within 7 days.
Deposits made using this method are typically instant, whereas withdrawals depend on the processing time of your bank, and can take up to 5 days. The credit or debit card you use must be registered to your name.
You can fund your 24Option account with Skrill, Neteller, Giropay, and Sofort. Deposits should arrive in your account instantly, and withdrawals can take up to 7 days. Note that 24Option does not support PayPal.
24Option charges withdrawal fees unless you are a Platinum or Diamond user. The exceptions to this are if you are using your free monthly withdrawal as a Gold user, or if you are withdrawing for the first time as a Basic account or Silver user. The fees are as follows:
- Credit cards. 3.5% fee
- Skrill. 2.0% fee
- Neteller. 3.5% fee
- Wire transfers. €25, £20 or ¥3,000 depending on the currency used
What devices can I use 24Option on?
24Option support both web-based and mobile trading. Its web-based trading allows for Windows, macOS, and Linux users to trade easily. The mobile trading apps are also optimized for iOS and Android. You can, therefore, trade with 24Option using:
- Mobile phones
How easy is it to use 24Option?
24Option offers quite a simple, user-friendly trading platform, which is easy to use if you have some prior trading experience. After signing up and providing the relevant information, you can immediately start to look at CFD trading for cryptocurrencies by selectively filtering your assets on the top left corner of the page.
Intermediate and advanced traders can also have the option of trading with MT4 (MetaTrader4) if they wish. As a first-time trader, looking at a trading platform could be quite a daunting experience, which is why 24Option provides a lot of educational tools and free advice, even on lower-tiered accounts. It is advised that users make the most of this before they attempt to trade and take advantage of the free demo offered by 24Option.
24Option supports all of the following countries:
- Czech Republic
- The Netherlands
- United Kingdom
24Option is owned by Rodeler Ltd, a Cyprus Investment Firm (CIF) that operates under the jurisdiction of the Cyprus Securities Exchange Commission (CySEC), authorized and licensed under the CIF license number 207/13. Rodeler limited offers its services to all countries within the European Economic Area, except for Switzerland, France, and Belgium.
Before you can fully operate a standard account at 24Option, you will be required to verify your account by providing the relevant documentation for proof of identity (POI) and proof of residence (POR). These include:
- A valid passport/national ID or a driver’s license. The relevant document and its contents must be fully and clearly shown on the photo you upload, including front and back sides if possible.
- Bank statement/Utility bill. This document must be dated within the last 6 months, and must clearly show your address in full.
- Credit/Debit card. Although 24Option requires that you must take photos of the entire card (front and back), you can still cover the first 12 digits of your card number, as well as the CVV code.
The customer support at 24 Options has been designed to cater for the global clientele and thus the website fully supports multiple languages, including English, Russian, German, French, Polish, Portuguese, and Spanish. You can find its support services 24/7 through the following means of communication:
- Live Chat
- Web Contact Form
24Option’s proprietary web-based trading platform has a sleek, simple, and intuitive design interface for traders. The platform provides a lot of educational content for first-time users who might struggle with understanding what they are looking at. You can look at all the available trading pairs right from the landing page, and their customer service is always one click away.
24Option also offers the MT4 (MetaTrader4) trading platform as an alternative option, which might be beneficial to more advanced trading users. However, looking away from the website, a slight cause of concern is the history of fines that 24Option has incurred from its regulator, CySec (Cyprus Securities and Exchange Commission), for breaches of conduct. These mostly date back to 2016, however.
What currency pairs can be traded?
All cryptocurrencies offered for CFD trading at 24Option can be paired with USD, EUR, and GBP, with the exception of Monero and BitcoinGold, which can be paired with USD. The full list of available pairs are listed below:
Are there fees for trading?
There are no direct trading fees at 24Option when you enter into a transaction, as 24Option takes its cut from spreads. The concept of spreads is explained directly below. However, 24Option does charge fixed withdrawal fees for some members.
If you are a Platinum or Diamond member, you will not have to pay withdrawal fees. If you are a Gold member, you are entitled to one free withdrawal on a monthly basis. If you are a Basic Account or Silver member, you will not be charged a fee for your first withdrawal. If none of these apply to you, the fees are:
- Credit cards. 3.5%
- Skrill. 2.0%
- Wire or Bank transfer. £35 / €35 / $35 / ¥4000
What is the minimum spread?
When trading assets on a CFD trading platform, the minimum spread is the difference between 24Option’s offered ask (selling) prices for a given asset, in comparison to the market bid (buying) price. 24Option doesn’t specify the level of its spreads, but they are clearly displayed when opening a trade.
Can I trade cryptocurrencies with leverage?
Yes, you can trade cryptocurrencies with leverage through 24Option’s CFD trading platform. The platform offers a leverage of up to 1:5 for major cryptocurrencies like Bitcoin and Ethereum. Other coins like XRP/Ripple have a leverage of 1:3. Considering how volatile the cryptocurrency market is, it is always advisable that you work with as little leverage as possible in order to minimize potential losses as they can be as big as potential wins.
What are the margins required?
The margin is the minimum amount of money you need to put in in order to open a specific leveraged trade. Because of the volatility of cryptocurrency assets, margins on 24Option are not fixed, so you will only be able to find what margins are required when you are looking at a specific trade.
Can I open long and short positions?
Yes. You can open long and short positions with 24Option, courtesy of the fact that this it is a CFD platform. Opening a short (selling) position is advisable when expectations are that a given asset will drop in price. Contrastingly, a long (buying) position should be opened when you project that prices are due to go up in the near future.
Are there withdrawal and deposit limits?
Yes, the withdrawal and deposit limits depend on the payment method used. For a credit or debit card, the minimum deposit is £250, €250, ¥50,000. Electronic wallets like Skrill and Neteller also require the same minimum deposit as a credit or debit card. For a bank wire transfer, minimum deposits are £1,000, €1,000, and ¥100,000. 24Option also have a set maximum daily withdrawal limit of €10,000.
Summary of 24Option CFD trading
If you are looking to trade cryptocurrency using CFDs, then 24Option is definitely a viable option, as they offer the ability to transact with a larger amount of cryptocurrency pairs than most rival CFD brokers. The level of leverage you can apply to trades is also one of the highest around when it comes to cryptocurrency, with some coins (such as Ethereum) allowing leverage of 1:5.
24Option also provide extensive educational resources as well as 24/7 customer support, something that is quite uncommon to other platforms. However, traders can only trade 24/5 due to the lack of ECN (Electronic Communication Network) trading support.
24Option accommodates traders with smartphones through their fully optimized Android and iOS mobile apps.
MetaTrader 4 platform compatibility
24Option allows for users to trade on the MT4 platform in addition to their own web-based platform. They also provide educational content on how to use it if you choose to become a Gold or Platinum member.
24Option provides a simple and intuitive trading platform that caters mostly to new and intermediate traders. Experienced traders can make use of the MT4 compatibility as well, and trade on the MetaTrader 4 platform instead. The website also provides an abundance of educational information, as well as a free demo for more inexperienced traders.
Regardless, first-time users who do not wish to deposit large sums of money may feel that they cannot make the most out of 24Option due to the lack of benefits for lower-tiered members. Alternatively, some users might feel more secure in making trades with 24Option due to all the additional support that members receive when depositing more, which goes far beyond what most CFD trading platforms provide their users. Ultimately, 24Options provides a large number of cryptocurrencies, with more currency trading pairs than most CFD platforms, making it a tempting option for traders.
The fees offered by 24Option are competitive, and they offer some of the highest leverage on crypto CFDs of any platform around. This, combined with the number of coins you can trade on the platform, means 24Option compares favourably to many other brokers out there.
Unfortunately, 24Option is not seen as a particularly transparent or professional CFD trading platform. The platform was fined for several breaches of regulation by CySec (Cyprus Securities and Exchange Commission) in 2016, with regard to their binary options trading services. This is not a good look for a trading platform, particularly when there are alternatives brokerages that carry cleaner records. Users should take heed of this information before they make their decision regarding which CFD platform they might want to trade with.
How to set up an account
Decided to sign up for 24Option? Great, here’s how it’s done:
- Go to 24Option’s official website and click on ‘sign up’ located on the top right section of the landing page.
- You will be directed to a new window where you can choose to sign up for either a demo or real account. The demo account is free, but f you want to head straight to creating a real account right away, you will need to deposit at least £250.
- Signing up for a demo account is straightforward, all you need is to fill in your full name, email, and phone number.
- If you want to move on from using your demo account, you can do so by clicking on ‘upgrade to real account’ on the top right corner of the trading page.
- To create a real account, you will need to submit specific verification documents to prove your identity and address, including:
- A government issued ID card, passport photo, or driver’s license
- Utility bill or bank statement dated within the last 6 months
- Copy of your credit card (including the back and front). You can choose to blank out the first 12 numbers of your credit card number, as well as the CVV code
- After gaining verification approval, you are now ready to start trading!