Litebit Review – Why To Stick With Licensed Brokers

Litebit company is registered primarily in the Netherlands. Actually, the owner 2525 Ventures B.V. is with headquarters there. Besides the Netherlands, this company claims to be registered in Austria and France as well. With almost 30% of negative reviews on Trustpilot, they are quickly losing their reputation.

To see exactly why and maybe how to avoid being next, read our Litebit review carefully. To learn more about trading and what different companies offer, we encourage you to check our Finance Proof and Betafinance reviews.

Is Litebit a Legit Broker? Safety and Regulation

In general, crypto exchanges are still a grey area. Some claim they don’t need regulation some say that they do. We would always prefer regulated ones. However, you will see many US-based crypto exchanges having a license. Thus, Litebit company doesn’t have any. That’s exactly why they are earning so many negative reviews. You can find that topic even on Reddit.

Not even DNB, AFM, AMF, or FMA have issued licenses to this company. Therefore, traders remain completely unprotected here. Since this is not a standard trading platform, but an exchange they should comply with different rules. Yet, Litebit reviews say the complete opposite.

Supported Trading Platform at Litebit

Crypto exchange doesn’t offer a conventional trading platform. In general, you can just track crypto asset prices and place orders. Also, you have the option to do some technical analysis, but it’s mostly worthless. Instead, traders should opt for a licensed broker with trusted software. For instance, ones having Meta Trader or cTrader.

Moreover, traders are limited here only to crypto assets. While with other licensed brokers, you can trade way more assets and have more opportunities for profits. Unfortunately, some traders reported issues with this platform. Allegedly the company was freezing their accounts. Which is quite suspicious and we wouldn’t test it.

Litebit Account Available

Since this is a crypto exchange, they don’t motivate traders to deposit more money. Simply because for every transaction company charges some fees. Therefore, there are no traditional account types. Moreover, the company doesn’t provide any risk-free option to see the platform. Instead, you should make your first deposit and then see what are features available.

Considering bad Litebit reviews, we would stick to licensed brokers. Primarily, they provide much higher security standards. Secondly, they all have demo accounts but also micro-accounts. Also, some traders reported this exchange selling personal information which is violating all privacy policies.

Deposit and Withdrawal Options

Another key point of this company is its funding methods. Surprisingly, this company doesn’t accept debit or credit cards. Which are the easiest and safest payment methods? Also, those transactions are reversible in the first 540 days. Have that in mind if you need a chargeback one day.

Instead, the company accepts:

• Wire transfers
• Soford
• Ideal
• GiroPay
• Crypto transfers

Without a completely transparent withdrawal policy, it remains unknown how long it takes to process the withdrawal request. However, general terms and conditions reveal that for external wallet withdrawal, you need to prove your identity. 

How the Fraud Is Conducted

Brokers like Litebit mainly get new traders through recommendations and referral programs. It’s not rare also that they will try to find new victims on social media platforms. Once someone joins the platform, they are free to trade.

However, traders are reporting on different platforms many issues. From bad customer support, insanely high fees and freezing the accounts. That’s why regulation plays a crucial role in choosing a broker. At least you can file a complaint and get compensated. But with scam brokers like Litebit, you are left with empty pockets. Unless you talk to our experts.

Litebit Summary

Overall, the company doesn’t provide any security. Lately not even a bit of trust among traders. Litebit company is not licensed anywhere. Even their registration out of the Netherlands is questionable. Also, they only provide crypto assets with very high trading fees. After all, they don’t accept card purchases, which is suspicious.

Instead of having headaches and trying to figure out if you will lose everything, go back to the roots. Stick with licensed brokers and avoid the pain. However, if you already were a victim of this or any other trading company feel free to contact us. With our expert team knowledge and tools like CipherTrace, you can even track crypto transfers. Get in touch today and book your first consultation for free.

FAQs About Litebit Broker