US Traders always look for trading with suitable brokers that suit their trading strategies and preferences. The country has strict regulations in forex trading. Consequently, most 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.
Kot4x 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 Kot4x accepts US clients, its Pros and cons, and why US traders choose brokers like Kot4x and more.
Does Kot4x Accept Clients?
Yes, Kot4x 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 Kot4x.
KOT4X Overview
- Founded In: 2019
- Trading Instruments: Around 200 trading instruments, including 55 currencies, 104 stocks, 31 cryptocurrencies, and 8 indices
- Minimum Deposit: $10 for BTC deposit, $25 to $50 for Debit/Credit card via Instacoins.
- Maximum Leverage: 1:500
- Regulations: None
- Min Lot size: 0.01
- Max Lot Size: 500 lot per ticket
- Trading platform: TradeLocker
- Trading Styles: Allows all trading Styles including scalping, News Trading, CFD trading, EA trading,
- Account Types: Standard Pairs, Pro Pairs, Var Pairs, Mini Pairs
- Payment Options: Bitcoin, Instacoins.
- US Traders: Accepted
Why Do US Citizens Use Offshore Brokers Like Kot4x?
Below are some of the reasons why a US trader will choose to trade with Kot4x:
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, Kot4x 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 Kot4x 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 Kot4x, 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 Kot4x 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 Kot4x makes it easier to pay reduced taxes especially if BTC is used to fund and withdraw from the trading account.
Pros and Cons of Kot4x for US Traders
Which countries are restricted on Kot4x
As Kot4x 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 Kot4x?
Established in 2019, KOT4X is a forex and CFD broker that offers online trading services globally. It is an unregulated offshore broker that provides access to over 250 trading instruments, including forex, stocks, cryptocurrencies, and indices. The broker offers leverage of up to 1:500.
KOT4X is known for its fast execution, tight spreads, and low commissions, which may appeal to scalpers and high-frequency traders. The broker supports multiple cryptocurrency deposits with no extra fees. Traders can open multiple positions, hedge trades, and use strategies such as news trading and expert advisors. However, KOT4X does not offer the MetaTrader platform (MT4/MT5). Instead, it uses TradeLocker as its trading platform.
Is Kot4x Regulated in the USA?
No. Kot4x is not regulated in the USA. It is an unauthorized offshore forex broker.
Does Kot4x have any office in the USA?
No, Kot4x does not have an office in the USA. As per their website, the broker is located in St Vincent and the Grenadines
Can Americans use Kot4x?
Yes, American traders can use Kot4x. However, traders should take care while trading with unregulated forex broker
Final Thoughts :
Kot4x 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 Currencies, stocks, indices, and Cryptos. The broker allows almost all trading styles including scalping, hedging, copy trading, and news trading.
Kot4x allows US clients to enjoy forex trading services on their own terms. If you like high leverage, Kot4x 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, Kot4x offers CFD trading. However, the broker currently does not have Metatrader (MT4, MT5) trading platforms. It uses the TradeLocker 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
