Best Offshore forex brokers for UK clients

Published :
Updated :
Written by
Ryan Hardy sitting before his forex trading desk
Fact Checked by
Richard Walz headshoot
Edited by

The UK is home to some of the largest forex brokers in the world. It is also one of the regions with the largest number of forex traders in the world. Its forex market is well regulated with the “Financial Conduct Authority” (FCA) in charge of licensing and supervising brokers.

The FCA is a top regulator that constantly warns UK citizens and residents to avoid unauthorized brokers. However, if you need a UK-friendly forex broker because you are limited by the regulatory provisions; then, you have come to the right place. In this article, we have prepared a list of the best offshore brokers for UK forex traders.

A list of Top Offshore forex brokers that accept UK Traders in 2024

    Here is the list of offshore forex brokers accepting UK clients

  •    Hugosway | Best broker for ECN trading
  •    KOT4X | Best broker for multiple accounts
  •    LMFX | Best broker for fixed spreads
  •    LQDFX | Best broker for beginner traders
  •    EagleFX | Best broker for STP executions
  •    ProsperityFX | Best broker for trading crypto CFDs.
  •    Hankotrade | Best broker for low trading fees

Top 7 Offshore Offshore Forex Brokers for 2024

Hugosway

Hugosway

  • Founded In:  2018
  • Minimum Deposit: $10
  • Maximum Leverage: 1:500
  • Regulations: None
  • Trading Platforms: MT4,WebTrader, Desktop Terminal
  • Trading Instruments: Forex, cryptos, commodities, indices and stocks CFDs
Kot4x

Kot4x

  • Founded In:  2019
  • Minimum Deposit: $10
  • Maximum Leverage: 1:500
  • Regulations: ASIC, 
  • Trading Platforms: TradeLocker
  • Trading Instruments: FX Pairs, Indices, Commodities, Metals, Stocks, Cryptos.
LMFX

LMFX

  • Founded In:  2015
  • Minimum Deposit: $50
  • Maximum Leverage: 1:1000
  • Regulations : None
  • Trading Platforms : MT4, WebTrader, Mobile Trader
  • Trading Instruments: Forex, Indices, Commodities, Metals, Energy, Shares 
LQDFX

LQDFX

  • Founded In:  2015
  • Minimum Deposit: $20
  • Maximum Leverage: 1:500
  • Regulations: MT4
  • Trading Platforms : MT4 
  • Trading Instruments: BTC, BCH, LTC, XRP, USDT, debit cards, PayRedeem, Confirmo
Hankotade

Hankotade

  • Founded In:  2018
  • Minimum Deposit: $10
  • Maximum Leverage: 1:500
  • Regulations: None 
  • Trading Platforms: MT4, MT5
  • Trading Instruments: Forex, Cryptos, CFDs (Gold, Silver, Stock Indexes, Oil) 
ProsperityFX

ProsperityFX

  • Founded In:  2020
  • Minimum Deposit: $10 via Bitcoin ( $25 to $50 via third-party platform) 
  • Maximum Leverage: 1:500
  • Regulations: None
  • Trading Platforms: MT4
  • Trading Instruments: Forex, Indices, Energies, Cryptos, stocks CFDs, and Metals.
Eaglefx

Eaglefx

  • Founded In:  2019
  • Minimum Deposit: $10 (Credit, Debit Card: $50) 
  • Maximum Leverage: 1:500
  • Regulations: None
  • Trading Platforms: MT4, Webtrader
  • Trading Instruments: forex, cryptos, commodities, indices and stocks CFDs

Hugosway

Hugosway was registered in 2017 in St. Vincent and the Grenadines (SVG) as an online broker that provides the MT4 platform for trading forex and CFDs. It is an ECN/STP that offers tight spreads aggregated from multiple liquidity providers. Hugosway executes clients’ orders at the best market rates while charging a commission for each lot traded. 

The broker enjoys patronage by traders spread across the world, including USA and Canada. Every trading style or strategy is accepted, including hedging, scalping, and algorithmic trading. Bitcoin (BTC) is the major method used for deposits and withdrawals.

Pros

  • The minimum capital required to open a trading account is as low as $10.
  • The maximum leverage is high; up to 1:500
  • More than 150 instruments can be traded including forex, commodities, crypto CFDs, indices, and stocks CFDs.
  • Anonymous deposits via Bitcoin, PayRedeem eCards, or BTC via Instacoins.
  • The customer support desk can be reached on a 24/7 basis.

Cons

  • No regular Forex account that charges fees based on spread mark-ups.
  • No educational resources to help beginners. 
  • There are no trader tools or expert analyses.
  • Traders have no other platform choice except the MT4. 

KOT4X

KOT4X sums up its brokerage services by describing itself as the “kings of transparency”. Founded in SVG in 2017, KOT4X is an ECN/STP brokerage that offers about 250 tradable assets on its MT4 platforms. It has no dealing desk which means that there are no manipulations and no requotes.

Traders can choose from different account types depending on trading capital, trading instruments, spreads, and method of paying trading fees, either marked-up spreads or commissions. There are no hidden fees, and you are free to deploy your trading strategies.

Pros

  • You can start the opening position with a deposit of just $10.
  • Though only the MT4 is available, there are multiple account types.
  • Multiple Cryptocurrencies are accepted for deposits.
  • Spreads are tight; starting from 0.4 pips while max leverage is 1:500
  • PAMM accounts are available for investors or account managers.

Cons

  • There is no training academy to help beginner traders.
  • No other choice platform except the MT4.
  • Inactivity fees are charged. 

LMFX

LMFX is an experienced offshore forex/CFD broker that has been operating since 2015 from the Republic of North Macedonia. The broker is known for high leverage and low trading fees. Client funds are held in segregated accounts while standard security procedures have been implemented.

LMFX provides a ‘fixed account’ for traders who prefer to trade fixed spreads. It also has ‘premium accounts’ which have variable spreads and ‘zero accounts’ which feature tight spreads and low commissions per lot traded. Newbies are provided training articles; they can also open demo accounts and participate in the monthly demo contest.

Pros

  • The maximum leverage is 1:1000 which is high when compared to competitors.
  • Trading tools like the Economic Calendar, trading calculators, and free VPS are available.
  • Traders can win up to $1,000 in the monthly demo account content tagged “Learn and earn” contest.
  • Accounts can be funded using Cryptos, debit/credit cards, bank transfers, PayRedeem eCards, and e-wallets like Skrill and Neteller.
  • New traders are welcomed with a 100% deposit match bonus.

Cons

  •  No social trading platforms or managed accounts for investors.
  • MT4 is the only platform provided for all traders.
  • Assets are limited; you cannot trade bonds, ETFs, and crypto CFDs.

LQDFX

This award-winning forex and CFD broker was founded in 2015 in SVG. It is an STP execution broker that forwards all orders to its liquidity providers for fast executions. Though unregulated, it ensures digital security and maintains clients’ deposits in segregated accounts.

LQDFX offers up to 5 account types to suit different kinds of traders. For example, $20 is required to open a micro account while you need $25,000 to open a VIP account. Beginner traders are provided a robust training package in the form of video lessons and an eBook.

Pros

  • The minimum deposit required to start live trading is $20.
  • More than 30 video lessons are provided to train beginner traders.
  • A 100% deposit bonus is given to traders who deposit from $250 to $20,000.
  • Accept multiple deposit methods such as debit/credit cards, cryptos, bank transfers, and PayRedeem eCards.
  • An Economic Calendar, trading calculators, and chart analysis are some of the trading tools provided by the broker.

Cons

  • MT4 is the only platform available for traders.
  • VIP accounts have a very high opening deposit.
  • No daily market news and analysis. 

EagleFX

This broker started its operations in 2019 from the Commonwealth of Dominica. On its MT4 platforms, you can speculate on the prices of over 150 forex and CFD assets. The broker offers only a real account and a demo account. Commissions are charged per lot traded from real accounts.

Accounts can only be funded through wire transfer or Bitcoin, if you do not have Bitcoin, you can be directed to buy it through Instacoins. Withdrawals are processed swiftly without charges.

Pros

  • You can choose your leverage starting from 1:20 up to 1:500
  • A minimum of $10 is required to open a live account and commence trading.
  • No restrictions on trading styles, strategies, or trading systems.
  • Clients are not charged for deposits or withdrawals.
  • 24/7 client support desk can be reached through email, web chat, or phone calls.

Cons

  • Limited payment options. 
  • No social trading or PAMM accounts.
  • No training resources for newbies, the education resources on the website are for affiliate marketers.  
  • No designation of account types to meet the needs of various types of traders.

ProsperityFX

ProsperityFX is a relatively new forex and CFD broker given that it was registered in 2020 in SVG. The broker accepts clients from all over the world who can trade about 200 assets on its MT4 trading platforms.

ProsperityFX offers multiple account types to meet the needs of different traders. Swap-free accounts are also available. You can fund your account with BTC and several altcoins but withdrawals are only in BTC.

Pros

  • You can trade with a maximum leverage of 1:500
  • A ProsperityFX account can be funded with either BTC or popular altcoins.
  • Proficient traders who are willing to prove their competency on a demo account can win up to $200,000 in trading capital for a real account while the reward is 80% profits.
  • Investors and managers can open PAMM accounts which can be rewarding to both parties.
  • You can contact the client support desk anytime 24/7.

Cons

  • There are no training resources for beginner traders.
  • No trading tools like market news and analysis to support traders.
  • MT4 is the only platform available for trading. 

Hankotrade

This broker was registered in SVG in 2019 and has been enabling its clients to trade forex and CFDs on its MT4 and MT5 trading platforms. The broker guarantees tight spreads starting from 0.0 pips and lightning-fast executions powered by its premium liquidity providers.

Hankotrade is a true ECN broker that offers very competitive trading fees and no charges on deposits and withdrawals. Its ECN plus account holders pay just $2 per round lot traded. Its STP account spreads start from 0.7 pips and no commissions are charged.

Pros

  • Traders can choose from two powerful and popular platforms; MT4 and MT5.
  • Leverage is capped at 1:500
  • Multiple account types including Islamic, STP, ECN, and ECN Plus accounts.
  • PAMM/MAM accounts are available for interested investors and fund managers.
  • A 100% bonus is available to traders who deposit from $100 up to a max of $25,000.
  • Tools like the Economic Calendar, trading calculators, and VPS are provided.

Cons

  • No research tools like market news, expert analysis, or trading signals.
  • No provision for training of new traders.
  • The assets index is limited. 

Can a trader from the UK trade with an offshore forex broker?

Yes! A UK forex trader can choose to trade forex with an offshore forex broker. However, the FCA warns against this because it comes with greater risks. They assert that the services rendered by Offshore brokers are generally unsupervised and they provide little or no customer protection.

Notwithstanding, a UK trader is at liberty to trade with an offshore broker if he wishes.

Why Do UK traders choose offshore forex brokers?

Higher Leverage

UK retail forex traders can only trade with a maximum leverage of 1:30. This means that you need a deposit of over £3,000 to trade just 1 lot of EURUSD. But, with an offshore broker, you can trade a lot of EURUSD with a deposit of £50 on a leverage of 1:3000. Though leverage increases the risk, sometimes, it is easier to risk little money than risking with large sums of money; courtesy of low leverage.

Lower taxes

Taxes are generally high in the UK and many people will be glad to reduce their tax burden. Offshore regulators mostly operate in locations where taxes are free or minimal. So, forex traders can keep a significant portion, if not all of their profits.

Low fees

Traders pay a commission or spread fees per trade; so, keeping it low is key to many traders. Many offshore brokers charge lower fees when compared to the FCA-regulated brokers.

Anonymity

Many part-time traders want to keep their passion for trading away from everyone. Offshore brokers can help with that. Many of them offer crypto deposits and withdrawals; which are largely untraceable.

Frequently Asked Questions (FAQs)

What is an offshore forex broker?

An offshore forex broker is a fintech firm or dealer located outside the trader’s home country jurisdiction. These brokers typically operate in countries with less strict regulatory requirements compared to major regulators like ASIC, FCA, SEC, and CySEC. Offshore forex brokers may offer services to clients globally, including traders from countries where forex trading is heavily regulated or restricted.

Can UK Citizens Trade CFDs on Offshore Forex Brokers?

Yes, CFD (Contract for Difference) trading is permitted in the UK. UK citizens have the flexibility to trade CFDs on both UK-regulated and offshore forex brokers. Some popular offshore forex brokers that offer CFD trading include Hugosway, Hankotrade, and LMFX.

You may also Like : Best Offshore Forex Brokers for CFD Trading.

Can UK Traders Trade Indices CFDs on Offshore Forex Brokers?

Yes, UK traders can trade Indices CFDs on offshore forex brokers. Indices CFD trading allows traders to speculate on the price movements of stock market indices without owning the underlying assets. Offshore brokers offer access to various global indices, providing UK traders with opportunities to diversify their trading portfolios.

Can a UK Client Trade Crypto CFDs on Offshore Forex Brokers?

Yes, UK clients can trade crypto CFDs on offshore forex brokers. Crypto CFDs enable traders to speculate on the price movements of cryptocurrencies such as Bitcoin, Ethereum, and others without owning the actual coins. Offshore brokers offer crypto CFDs alongside other financial instruments, allowing UK clients to participate in cryptocurrency markets with ease.

Conclusion

The FCA insists that UK forex traders should only patronize forex brokers licensed and supervised by them. They warn of the high risks associated with unauthorized brokers. However, some UK forex traders choose offshore-regulated brokers or even unregulated brokers for various reasons such as lower taxes, high leverage, low fees, etc.

The best offshore brokers for UK forex traders are Hugosway, LQDFX, KOT4X, Hankotrade, ProsperityFX and so on.

Our research and vast trading experience show that these brokers maintain excellent services favorable to UK traders. However, we agree with the FCA that trading with offshore-regulated brokers comes with high risks to your trading capital.

Written by

Jason Paine is a forex trader, researcher, and tech enthusiast. He is passionate about financial markets and cutting-edge technology. With a dynamic 16-year trading career, he's on a mission to guide fellow traders. Having navigated diverse forex brokers, Jason shares his insights at Brokersway to bridge the gap between traders and the right brokerage.

Fact Checked by
Ryan Hardy is a Content Writer, Researcher, and Fact Checker at Brokersway. Specializing in forex trading, he focuses on ensuring accuracy in information related to broker regulations, scams, and safety measures. With a commitment to transparency, Ryan plays a vital role in providing traders with reliable insights into the world  of forex brokers
Edited by

Richard Walz, a seasoned content writer and broker’s research specialist, is your go-to authority for decoding online forex brokers and trading platforms. As an editor, he ensures precision and clarity, offering traders valuable insights on Brokersway, a trusted resource for informed decision-making in the dynamic world of currency trading. Richard's role as an editor ensures that the information presented is not only accurate but also presented in a manner that resonates with traders seeking clarity in making better decision.

DisclosureAt Brokersway we're committed to delivering unbiased information. our opinions are our own and are not influenced by the payment we receive from our advertising partners. While we adhere to strict editorial integrity, this post may contain references to products from our partners. Here's an explanation of how we make money.

Leave a Comment