Is eToro a Scam? Let me explain. eToro is one of the biggest social trading platforms when it comes to trading online which is why it has come under a lot of criticism regarding its overall legitimacy. Over 5 million people worldwide take to eToro to invest in stocks and try to make a profit. Unfortunately, though, not a lot are successful and sometimes lose a lot of money which they don’t think is fair. Those people often take to the internet to write negative reviews of the eToro platform, and some of them do feel cheated.
Regardless of if eToro website is a scam or not, the only way you can really tell is if you set up your own account and start trading with your own money. The problem is, who is going to do that when it has the markings of being on the negative side. This honest review is solely based on personal experiences on this trading platform that I personally think is not worth trying.
Why Do Members Think eToro is a Scam?
As stated above, a lot of the negative reviews come to light because people do not like losing money on trades. This review is not to encourage people to try and tell that eToro is a good platform in the trading world, as again, people better stay away from this investment scheme. This review is more of a way to warn people against this social trading platform, and not to invest on it.
One other reason why members are suspicious of the platform is that the previous history of investments is not so transparent. You can only view trades that go back a year, and you will not be able to download a longer history of any other investments. This is a good reason to be suspicious and a very valid one.
eToro operates with OpenBook capabilities which again makes potential new members suspicious of depositing money. The social trading feature wouldn’t be anything without the OpenBook feature as you will then not be able to follow any of the popular traders or their information on investments. This makes new users wary in the sense these popular traders might not be real people as there are no means to tell if they are real and not just made up by eToro themselves.
What Reasons are there to Prove eToro is Legit?
With the thousands of negative reviews that members have brought to the internet, you should remember that millions of users try to take advantage of the eToro platform. While you can find many negative reviews relating to their operation, the platform has few positive reviews from so called successful traders that use the platform. All businesses will have negative reviews regarding their practices no matter what industry they are serving, so sometimes you must take both negative and positive reviews with a pinch of salt.
Some reasons below could give you the opinion that eToro might be legit:
- eToro was founded in 2006 which means they have been established for more than ten years.
- eToro is a fully licensed company in Cyprus where the business is based. It is fully regulated by the Cyprus Securities Exchange Commission.
- The social trading platform has many negative reviews but has a few positive reviews.
- eToro claimed it has real members that can be followed socially both on and off the eToro platform. This means that prices aren’t necessarily inflated because the so-called real members are truly making money from the platform. So they claim.
While none of the above guarantees that eToro is legit, and there’s a lot more convincing needed to give you peace of mind to try the system. Remember that thousands of users slate eToro just because they have lost their own money and are not happy about the platform.
What Evidence is There That eToro is a Scam?
While eToro does have many negative reviews from members that have used the social trading platform, there has been substantial evidence presented to suggest the system has a flaw. Of course, eToro is in the business to make money, but they are making more than enough money from commission, so they have no reason to operate illegally.
There have been many members of the platform that have come up with their own conspiracies that suggest eToro is a complete scam. Seeing the unconfirmed claims hundreds of thousands of so-called legit traders that are supposed to be earning thousands from the platform because of their social trading knowledge – would suggest that eToro could not be as legit as any social trading platform comes.
Questions to Answer that Might Makeup Somebody’s Mind.
If you really want to know if eToro is a scam or not, you will need to answer the following questions:
- Have you tried out the eToro platform with your own money?
- What evidence have you found to suggest the platform is a scam?
The above questions are applicable only to those that have tried out the system and learned something from their experience. Those that haven’t tried it are better off not trying at all as it might give you the result that you do not want in the first place.
Conclusion
If you look at eToro reviews online, it’s easy enough to be put off from using their social trading services. In conclusion, it’s easy to be suspicious of any business operating in the social trading industry, let alone from some platform that has so many negative reviews.
There are so many reasons to avoid it, which is understandable, so I think it is safe for you just to research and try my recommendation which is online affiliate marketing. Get the necessary training to get the skill required, build your website and be an affiliate with large companies like Amazon. You can never go wrong. You just have to work for it to be successful.
Feel free to ask questions, post comments or subscribe to my email list to be the first to get the updates and offers. You may also visit me so I can answer your questions directly at Wealthy Affiliate (link to my profile page)
Hi Den,
There seems to be a lot of trading based scams online for a few years now and new ones keep popping up all the time.
Do you think eToro is definitely a scam then? I have seens lots of complains about eToro online from members saying their accounts were charge more than once and they could never withdraw etc.
Thanks for the review!
Hi Simon,
Scam or no scam, this platform should be avoided as the red flags are already showing. It is very risky to invest here and there are other options to make money online legitimately.
Thanks for the comments,
Den
A lot of people all over the world is looking to earn som quick and easy money and it is probably tempting for a lot of people to get into online trading of stocks and/or currencies.
The problem with this kind of trading is that it is high risk and it is very easy to loose money fast. It really is a lot like gambling, you can win a lot but also loose a lot very quickly. To be successful in the stock market you need to have a lot of knowledge and be prepared to take risks. I think your suggestion of turning to affiliate marketing as a way of earning revenue is a better choice.
Thanks for a good review.
Hi Jojo,
Platforms like this are best to be avoided. You will never go wrong with online affiliate marketing. More so today when more people shop online.
Thanks for the comments,
Den
Hi Den!
I’m very interested in the concept of making money online, but after quite some years of searching, i have seen a lot of scams. Luckily, there are reviews like yours out there that are warning us to avoid such platforms! Thank you for your article! It was very informative and useful!
Hi Antonis,
I will always be on the lookout for those platforms that people should avoid and offer recommendations which ones are good.
Thanks for the comments,
Den
I have recently been looking for (just a little bit) a trading platform because in the future I would like to invest some money. I have seen eToro as recommended platform so I was surprised to find out that it might even be a scam.
Another suspicious one is Marketsbroker. com They continue to call me and ask me to let them show what can they to for me! Are you familiar with markets Broker? I would like to hear what you think of it.
Thank you!
Maria
Hi Maria,
It is best to avoid sites like this as there other ways to make money online. Markets Broker is another one I would not recommend. I am planning to write a post about this platform.
Thanks for the comments,
Den.
Boy am I glad I followed my intuitions. I wanted to sign for an account and deposit, but something kept holding me back. An inner voice told me to look it up first.
A friend of mine had told me it was quite profitable and I should just join and start earning. And based on how I trust him, I was to go for it. I can see now how things really are. I think I should reconsider my friends’ list again!
Hi Dave,
It is better to avoid websites with negative feedback from members themselves. There are online investment options that offer real value.
Thanks for the comments,
Den
Hi Den,
thank you for your good review on eToro. With this information, I am warned to stay away from this trading site. It may be interesting for people who are experts in the trading branch, but not for beginners I guess. May I ask what you invested on this platform, although I would not recommend doing this. Or do you know someone, who has experiences with this platform?
Hi Tobias,
I know a lot of people who have invested in this platform. They share the same story. I do not have to try it as a lot of the red flags are in place.
Thanks for the comments,
Den
Hello
Nice article on etoro and if it is a scam or not. I do not use those types of websites so I have no idea how to even go about operating on that website. Could it be people are not experienced enough and that is why they feel it is a scam when they lose money? I suppose you have to be open to losing money, it is always a risk.
Hi Jeffrey,
I do not recommend people investing their hard earned money on this type of investment scheme. If members themselves are complaining then there is no good reason to even try it. There are other good investment opportunities online like affiliate marketing.
Thanks for the comments,
Den
Very good review you made some very good points that one should pay attention too. The thing that also comes to mind though is unless you try the system you don ‘t know if it is right for you or not. But you have given enough information to give one pause. I know I do look for reviews before I make a big purchase or an important purchase. Thanks for the info
Hi,
People should avoid investing on sites like this. There are other better ways to make money online. Online affiliate marketing is the best. You just have to join a good platform that will give the best training and community support.
Thanks for the comments,
Den
Some good information here Den. I am not familiar with this platform, but will do some research on it now. Seems like the company should do some kind of advertising to the more successful people to get them to comment. Being in retail, I know that people that are unhappy will do a comment, but the larger percentage of people that are happy don’t think about offering a comment…but they should.
Hi,
Companies like this should be avoided. This kind of trading is already shady and on top of that the negative reviews especially from unhappy members will surely raise the risk factor. I do not recommend this website at all.
Thanks for the comments,
Den
Hi. Nice page and website. As regards this particular post, I think it is convincing to the reader not to try to invest in eToro. There are no reasons why someone will try eToro, as I have read that there are a lot of negative reviews about it. This article clearly elaborates why eToro is considered a scam.
Hi Marissa,
eToro in my honest opinion is not a good place to put your hard earned money. With all the negative reviews, it is an investment scheme people should avoid.
Thanks for the comments,
Den