@Mila: What is the initial deposit for trading with an offshore broker like OctaFX?
The minimum initial deposit is $5 for a micro account and $50 for an ECN account.
And according to the masters, what is the review of this broker, is it recommended or not?
For beginners, it's still quite good to use because the deposit and withdrawal process is easy. However, for large funds, I personally do not recommend it due to its regulation originating from offshore countries like Cyprus.
You can read more OctaFX review as well as trader testimonials who have traded with this broker. Thank you
@Mawardi: Is it true that offshore brokers are always unsafe for large investments?
That's right, sir, it is strongly not recommended.
Why?
Regulations are not strict. Regulations from developed countries such as the United States, England, Europe, Australia, Singapore, etc. are stricter than regulations from offshore countries such as Cyprus, Vanuatu, British Virgin Island, Belize, etc. Regulators from developed countries include NFA (US), CFTC (US), FCA (UK), MiFID (Europe), FINMA (Switzerland), FSA (Japan), etc. (Read also: List of Forex Broker Regulators)
If a broker is proven to be fraudulent, where will you report it?
Of course, to the financial supervisory agency in that country. Regulators in developed countries strictly supervise forex brokers and impose severe sanctions when violations are proven. Whereas with offshore brokers, many brokers commit scams due to low supervision and lighter sanctions than brokers in developed countries.
Every trader definitely wants to protect their funds from fraud, especially from being embezzled by the broker. So, choosing a really good broker is very important if you trade with large capital.
Hopefully this can help, thank you.