How to Verify Trading Platforms
How to Verify Trading Platforms: Step-by-Step Guide (2025)
Introduction:
Verifying a trading platform before investing is critical. Many fraudulent platforms claim high returns but operate scams. This guide teaches you how to assess a platform’s legitimacy safely using practical checks and our proprietary Risk Score system.
Check Licensing and Regulation
Verify registration with recognized authorities (FCA, ASIC, CySEC, SEC, FINRA).
Confirm licenses on official regulatory websites.
Examine Ownership and Contact Info
Look for transparent company ownership.
Verify contact details and business addresses.
Beware platforms with vague or missing information.
Review Website Authenticity
Check SSL certification (HTTPS).
Inspect domain age and history (Wayback Machine).
Watch for poor design, broken links, or copied content.
Check User Feedback
Review forums, social media, and trusted review platforms.
Avoid platforms with excessive negative reports.
Use the Risk Score System
| Risk Factor | Score | Notes |
|---|---|---|
| Licensing & Regulation | 0–3 | Fully licensed = 0, partial = 1–2, none = 3 |
| User Feedback | 0–3 | Mostly positive = 0, mixed = 1–2, mostly negative = 3 |
| Website Transparency | 0–2 | Clear info = 0, partial = 1, none = 2 |
| Marketing Tactics | 0–2 | Honest = 0, minor hype = 1, aggressive/fake = 2 |
Total Risk Score: 0–10 → Low / Medium / High / Critical
