Deriv Broker Review 2024: Pros and Cons

This article provides a detailed Deriv review, covering its key features, pros and cons to help you evaluate whether it suits your trading style and goals.

Deriv is an online trading platform that offers a wide variety of financial instruments and services to traders worldwide. Known for its flexibility, innovative features, Deriv has become a popular choice among both beginners and experienced traders. Whether you’re trading forex, commodities, indices, or synthetic markets, this broker provides several tools and platforms to meet various trading needs. 

However, like any broker, Deriv has its pros and cons, which should be carefully considered before making an investment decision. This is exactly what this Deriv review seeks to expound.

Deriv Review: Overview of the Broker

Deriv is a rebranded version of Binary.com, a well-known trading platform that has been serving traders since 1999. In 2020, Binary.com transitioned to Deriv, offering a more innovative trading experience while retaining its core values and commitment to customer satisfaction.

With over two decades of experience in the financial trading industry, Deriv has established itself as a trusted broker for millions of traders worldwide. Deriv prides itself on providing multiple trading platforms, such as DTrader, DBot, and MetaTrader 5 (MT5), allowing traders to choose the platform that best suits their trading style and preferences.

Deriv Review: Pros 

1. Wide Range of Trading Instruments

One of the biggest advantages of Deriv is its broad range of trading instruments. The platform offers more than 100 financial instruments across different asset classes. The broker allows trading on major and minor currency pairs; commodities such as gold, silver and oil; cryptocurrencies including Bitcoin, Ethereum; stock indices such as the S&P 500, NASDAQ, and FTSE 100, etc. This variety allows traders to diversify their portfolios and explore different markets, depending on their risk appetite and trading strategies.

2.                 Multiple Trading Platforms

Deriv provides traders with a choice of several trading platforms, each designed to cater to different trading needs. They include:

• DTrader: This is Deriv’s user-friendly web-based platform that focuses on simplicity. It’s perfect for beginners and intermediate traders who want an intuitive interface and easy navigation.
• DBot: For traders who prefer automated trading, DBot allows users to build trading bots without any coding skills. You can set up your own automated strategies using a simple drag-and-drop interface.
• MetaTrader 5 (MT5): MT5 is a powerful platform known for its advanced technical analysis tools, market indicators, and charting options. It is ideal for more experienced traders who want greater control over their trades.

The flexibility to choose between these platforms makes Deriv appealing to a wide range of traders, from beginners to professionals.

3.                 Flexible Account Types

Deriv offers different account types to suit traders with different experience levels. New traders can start with a demo account to practice without risking any real money. They can switch to a real account to start trading live markets once they feel confident. Deriv also offers different types of real accounts depending on the market being traded. These include: the standard account, financial STP account, and synthetic account type.

4.                 Low Minimum Deposits

This broker is well known for its low minimum deposit requirements, allowing traders to start with as little as $5, depending on the account type and funding method. This feature makes the broker accessible to traders with smaller budgets who may not have the capital to invest large sums.

5.                 Educational Resources and Tools

Deriv offers a variety of educational materials, including tutorials, articles, and videos, designed to help traders enhance their skills and knowledge. The platform covers topics ranging from the basics of trading to more advanced strategies and market analysis. For new traders, the availability of these educational resources is crucial in understanding the fundamentals of trading, risk management, and technical analysis.

Deriv Review: Cons 

1. Fees on Withdrawals

While Deriv does not charge fees for deposits, certain withdrawal methods may incur fees. For example, withdrawals made via bank wire transfers or specific e-wallets may come with charges. This can be frustrating for traders who wish to minimize their trading costs.

It’s essential to carefully review the fee structure before selecting your preferred deposit and withdrawal method, especially if you plan on making frequent transactions.

2.                 Restricted Availability in Certain Countries

Due to regulatory restrictions, Deriv is not available in some countries, including the United States, Canada, Hong Kong, and some European nations. This can be a significant disadvantage for traders residing in these regions, as they will need to look for alternative brokers that comply with their local laws.

3.                   Limited Regulation 

One of the significant drawbacks of Deriv is its limited regulatory oversight. Although the platform operates in multiple jurisdictions, it is not regulated by top-tier financial authorities like the Financial Conduct Authority in the UK or the Securities and Exchange Commission in the USA. This lack of regulation from globally recognized bodies may raise concerns for traders who prioritize stringent regulatory protections. Although the broker is regulated by the Malta Financial Services Authority (MFSA) and the Vanuatu Financial Services Commission (VFSC), some traders may feel more comfortable with brokers that are overseen by more established regulatory bodies.

4.                 Limited Advanced Trading Tools for Professionals

Some advanced traders may find the DTrader and DBot platforms somewhat limited in terms of advanced charting tools and features. DTrader, for instance, is designed with simplicity in mind, which means it lacks some of the sophisticated technical analysis tools found in more complex platforms. For traders who rely heavily on advanced indicators, expert advisors (EAs), or customized trading algorithms, Deriv’s simpler platforms may not be the best fit.

Frequently Asked Questions

Is Deriv good for beginners? 

• On the basis of minimum deposit requirement, Deriv is good for beginners given its low deposit requirement which is $5.

What is the maximum leverage in Deriv?

• The maximum leverage offered by Deriv is 1:1000.

Does Deriv offer a demo account?

• Yes, it does offer a demo account.

Is Deriv suitable for scalping?

Yes, it is.