Forex Traders always look for trading with a broker that suits their trading strategies and preferences. The United States has strict regulations in forex trading. As a result, the majority of online forex brokers do not accept US clients because they can not meet the regulatory requirements of the US authorities. High leverage and CFD trading are restricted in the USA. However, many forex traders still opt for trading CFDs with high leverage. That is why many traders settle for offshore forex brokers.
Hugosway is an online offshore forex broker that is not authorized or regulated by any authority anywhere; so it is not under any obligation to abide by the rules guiding US-regulated brokers. In this blog post, we will explore if Hugosway accepts US clients, its Pros and cons, and why US traders choose brokers like Hugosway and more.
Does Hugosway Accept Clients?
Yes, Hugosway accepts US Clients. Being an unregulated online forex broker, the broker has the flexibility to onboard clients from various locations worldwide, including the USA. Therefore, US traders are able to register for an account and trade forex and CFD trading with Hugosway.
Hugosway Overview
- Founded In: 2017
- Trading Instruments: 200+ trading Instruments including Forex, CFDs, Crypto CFDs, Futures, Indices, Metals, Stocks
- Minimum Deposit: $10 for Bitcoin, $100 for Instacoins
- Maximum Leverage: 1:500
- Regulations: None
- Trading platform: Pro4
- Account Types: Live account, Demo Account
- Payment Options: BTC, Instacoins, Wire Transfer via Instacoins
- Trading Styles: Allows all trading styles including scalping, Copy Trading, EA Trading
- US Traders: Accepted
Why Do US Citizens Use Offshore Brokers Like Hugosway?
Below are some of the reasons why a US trader will choose to trade with Hugosway:
CFD trading:
Contracts for differences (CFDs) are financial contracts between a broker and a trader which allows the trader to take positions on the broker’s platform and speculate on the price direction of underlying financial assets without ownership. For example, with CFDs, a trader can make money by predicting the price direction of stock market shares of a company without owning the company shares.
Unfortunately, US traders are officially prohibited from trading CFDs by the regulators. However, Hugosway gives US traders opportunities to trade CFDs from stocks, indices, and commodities.
High leverage:
Leverage is a tool that multiplies a trader’s market exposure in relation to his deposit. US traders are mandated to restrict forex leverage to 1:50 but Hugosway offers up to 1: 500. This means that with a deposit of $500; you can open positions worth $250000. With higher leverage, there is a higher chance of making more profits provided that the market moves in favor of your position.
Low trading capital:
With Hugosway, US traders can start trading with $10 but US-regulated brokers demand a higher minimum deposit. Also, the trading fees and commissions are much lower with Hugosway than with the US-regulated brokers. Perhaps, because obtaining and maintaining a US forex broker license is very expensive.
Tax:
The United States has stringent tax laws which are almost impossible to evade. Forex traders are required to pay taxes on their profits. Trading with unregulated brokers like Hugosway makes it easier to pay reduced taxes especially if BTC is used to fund and withdraw from the trading account.
Pros and Cons of Hugosway for US Traders
Pros :
- Low Minimum Deposit – Starting from $10
- Allow Crypto CFD Trading
- Demo Accounts are Available
- Higher Leverage for US, and EU clients.
- Allow Scalping, EA Trading, and News Trading
- Hugosway Accepts Crypto Deposits
Pros:
- Offshore Broker with very limited information
- Limited Deposit and Withdrawal Option
- Spread sometimes widens during market volatility
- Unregulated Forex broker
- No Managed Account Options
Which countries are restricted on Hugosway
As Hugosway is an unregulated offshore forex broker. It can onboard clients from anywhere in the world. Currently, the broker does not have any restricted county list on its website. so it accepts clients from all over the world.
Frequently Asked Questions (FAQs)
What is Hugosway?
Founded in 2018, Hugosway is an online forex and CFD broker. It is an offshore forex broker that offers Forex, cryptos, commodities, indices, and stocks CFDs services to traders worldwide. The broker allows all trading styles including scalping, hedging, news trading, etc. The maximum leverage of Hugosway is as high as 1:500.
Is Hugosway Regulated in the USA?
No. Hugosway is not regulated in the USA. It is an unauthorized offshore forex broker.
Does Hugosway have an office in the USA?
No, Hugosway does not have any office in the USA. As per their website, the broker is located in St Vincent and the Grenadines
Can Americans use Hugosway?
Yes, American traders can use Hugosway. However, traders should take care while trading with unregulated forex brokers.
Final Thoughts :
Hugosway is a forex broker that offers online forex and CFD trading services. The broker gives access to trade with a wide range of trading instruments including Forex, Forex, cryptos, commodities, indices, and stocks CFDs. The broker allows almost all trading styles including scalping, hedging, copy trading, and news trading.
Hugosway allows US clients to enjoy forex trading services on their own terms. If you like high leverage, Hugosway offers leverage up to 1:500. Traders are allowed to use any strategies including scalping, hedging, news trading, and so on. Unlike US-regulated brokers, Hugosway offers CFD trading. However, the broker currently does not have Metatrader (MT4, MT5) trading platforms. It uses the PRO4 trading platform.
Disclaimer: Trading forex and CFDs comes with the risk of losing your trading capital. Moreover, trading with offshore forex brokers puts your funds at higher risks
