CapitalFunds Review

CapitalFunds is a web-based brokerage introduced in 2005. The platform’s service caters to trading currency pairs, cryptocurrencies, stocks, commodities, and indices.

If you stumble upon this broker, keep in mind that it is an unregulated broker whose webpage bears many similarities with 10CryptoMarket.com, another online broker that is on the of the Swiss Financial Market Supervisory Authority’s (FINMA) warning list.

Is CapitalFunds Legit?

Considering what we have seen on the website, there is a high possibility that this is just another scam.

Aside from the fact that it is an unlicensed broker, the similarities between CapitalFunds and 10CryptoMarket is perhaps one the major red flags that we have found.

As we’ve said before, CapitalFunds largely resembles 10CryptoMarket. This is noticeable on both of their About Us page. From the company’s history, to awards, Capital Funds’ About Us page is the same as 10CryptoMarket’s.

The founding year of the two brokers is the same as well, although data from domain register, namecheap.com, showed that CapitalFunds’ page was launched in December 2019 and was not established in 2005. This makes the startup broker not even a year old in the industry.

CapitalFunds also practice anonymity, meaning that it can disappear on the internet without notifying its clients. We were unable to identify the company operating the page or its location. A phone number and email address are not provided anywhere on the platform.

Such lack of transparency is risky for traders working with CapitalFunds, because it is unclear whether it is protecting clients’ funds and private information from being accessed and used by unauthorized users.

Should I Register with CapitalFunds?

CapitalFunds offer eight account types on the platform; Basic, Bronze, Silver, Gold, VIP, Diamond, Elite, and Business.

Clients are required to make a minimum deposit of €500 to register for the Basic account, which is only a trial package, while an initial funding of €5,000 to €50,000 is required if you’re looking to register for the lifetime packages, i.e., the Bronze, Silver, Gold, and VIP account.

A three-figure deposit of €100,000 to €500,000 or more is required for the Diamond, Elite, and Business account.

Take note that there are several brokerages, legit ones, that allow traders to test their service and products for free, and only requires a minimum deposit of $100 or in some cases $1.

Moreover, an important detail to remember about unregulated brokers is that you will not be compensated if the broker goes bankrupt.

Therefore, it might be best for you to look the other way if you’re thinking about signing up with CapitalFunds, as your odds of you growing your investments and making money with this broker are low.

CapitalFunds: Deposit and Withdrawal

CapitalFunds’ similarities with 10CryptoMarket is not limited to its About Us page. Its way of charging fees is the same as well.

Both brokers share the same conditions in terms of the withdrawal process. CapitalFunds’ withdrawal policy also stated that withdrawals will be charge a levy of 10% of the withdrawal amount if the trader has not executed more than 200 in turnover.

As we’ve mentioned in our 10CryptoMarket review, this condition seemed excessive and appeared to be a deliberate move to prevent clients from receiving their money.

Again, licensed brokerage firms will not deny your rights to withdraw your own funds whenever you want by implementing such trading volume requirements.

A 10% monthly fee will also be charged to traders who have not logged in and performed trades from their accounts.

Bottom Line – Is CapitalFunds Legit or Scam?

Taking the information collected into account, it is highly likely that CapitalFunds is just another broker that you should avoid.

Knowing that it is unregulated is already one good reason to stay away from this broker, while its lack of transparency and huge resemblance with 10CryptoMarket further supports the idea.

The website’s similarity with 10CryptoMarket is not a factor to be ignored, as this is a major sign that CapitalFunds could be affiliated with 10CryptoMarket or is being run by the same group behind 10CryptoMarket.