What Is Trading 212?
When Trading 212 was established in 2004, the founders’ goal was to make financial investing easier for the general public. To do this, they first offered CFDs (contracts for difference) for currency pairs, integrated stocks, indices and commodities. Growth was slow at first but exploded from 2016 when Trading 212 introduced commission-free stock trading.
It was the first broker to charge zero commissions for investing in stocks and ETFs in Europe, which made it a popular platform. The Trading 212 app has become the most downloaded trading app in the UK and Germany. The app has been downloaded over 14 million times.
Trading 212’s success comes from retail rather than institutional investors. The licenses granted by two leading regulators allow the company to solicit customers from almost every country in the world, which has led to more than 1.5 million customers registering to trade.
Let’s take a closer look with our 2024 Trading 212 review.
The History of Trading 212
Trading 212 began in 2004 within Bulgaria when Ivan Ashminov and Borislav Nedialkov made a leap to create “the” European broker. Little is known about the two co-founders, but what is known is that they created a solid product that stands the test of time.
At first, the exchange was called Avus Capital and served the Eastern European market. However, it continued to grow, offering its services throughout Europe under a Bulgarian license obtained in 2011. In fact, Borislav Nedialkov told Finance Magnates in 2014 that the United Kingdom, Germany, Poland and Italy were the company’s largest markets.
To meet its demand and build a solid reputation, Avus Capital UK was launched in the UK and authorized by the Financial Conduct Authority (FCA) in 2014. It was at this time that Avus Capital was rebranded as Trading 212.
Now when Brexit happened, the company then applied for a license from the Cyprus Securities and Exchange Commission (CySEC) in 2021. This is how investors from European countries, like France, can now join Trading 212 and trade cryptocurrencies and other financial assets.
What Trading 212 Offers
In its early days, Trading 212 was a currency broker, offering the ability to trade forex currency pairs through CFDs. It stayed true to its CFD roots but included other assets among commodities, stocks and stock indices. Only later did it start offering crypto CFDs.
Its CFDs are priced by a spread, but investors can buy stocks and ETFs without fees.
This is one of the main reasons why European investors have opted for Trading 212 rather than other brokers. Its offer was so attractive that the company now has around 3-billion pounds in customer assets among its 1.5 million registered accounts.
The Trading Ecosystem
Commission-free stocks and ETFs may be the most popular assets for investors with a long-term perspective, but that’s not all you get. Trading 212 provides instruments for traders in the form of CFDs for crypto, currency pairs, stocks, indices and commodities.
Cryptocurrencies Available At Trading 212
You have 15 cryptocurrencies available through Trading 212.
As you can see within the app, you can find major cryptocurrencies such as Bitcoin and Ethereum. As you scroll further, you’ll also find lesser-known cryptocurrencies such as Algorand, Uniswap, Chainlink, Bitcoin Cash and EOS.
One could say that there isn’t a wide selection available. After all, CoinMarketCap hosts almost 20,000 tokens. However, there is a wide enough selection for you to diversify your portfolio.
Crypto CFDs Explained …
A CFD is a derivative product, meaning you are not purchasing the actual product listed.
Instead, Trading 212 quotes prices based on the underlying asset from one or more exchanges. When you go to trade crypto, your order is recorded within Trading 212, but you won’t actually own the cryptocurrency and can’t, therefore, purchase goods or services.
Although you do not receive actual crypto from Trading 212, the benefits are:
- You can trade using leverage, which allows you to trade more than you have in capital.
- Ability to sell short, making profits when the crypto value falls.
Due to these advantages, investing and trading crypto CFDs on Trading 212 can improve your performance. You should, however, be aware that CFDs are risky products. Be wary of using leverage, for it can significantly increase your losses. Fortunately, you can practice on a demo account without risk to your capital, which is until you’re ready to put real capital on the line.
Non-Crypto Assets Via Trading 212
In addition to crypto CFDs, Trading 212 offers other instruments to diversify their portfolio beyond crypto. You can even invest in stocks and ETFs. There are over 10,000 stocks and ETFs at Trading 212, and they’re tradable without any fees.
If you want to take advantage of the benefits of CFDs, you can trade CFDs on stocks, indices, commodities and forex. In these markets, you’ll benefit from the same perks as with CFDs, meaning you can increase your performance without having to invest significant funds.
How to Trade Crypto On Trading 212
Trading 212 is an online brokerage with a registration process that’s easy to complete from your computer in just a few minutes. More so, you can trade your first crypto from day one.
FIRST—Create an Account On Trading 212
- Go to the Trading 212 website and click on Open an account.
- You will first be asked to specify your country of residence to determine which branch you’ll be redirected to. For French readers, this is Trading 212 Markets under CySEC license.
- Now, you need to choose whether to create an investment account or a CFD trading account. Unfortunately, French citizens are only allowed to create an investment account. eToro is a good alternative for trading crypto CFDs, and you can find more about that here.
- Enter your email address and password. These are used to log into your account later.
- Check your inbox to activate your account.
SECOND—Verify Your Account
Before you can go any further into your account, you’ll be asked to verify your account.
- Start by verifying your identity, uploading a photo of your passport, driving license or national ID card. You can do this using a webcam or cell phone.
- Verify your home address with an image of a recent utility bill or bank statement. The document must clearly show your current address as entered into your account.
THIRD—Deposit Funds for Trading
You can trade an “Invest” account with just one euro, which can be deposited in different ways. Bank transfers and credit/debit cards are optional, including e-wallets and the following:
- Apple Pay
- Google Pay
- Direct online banking
Some deposit methods may not be available on your account.
Fortunately, you can deposit in euros, which means you won’t be charged conversion fees and will avoid additional costs. Although deposits are generally free, you’ll be charged a 0.7% deposit fee if you deposit via credit/debit card or e-wallet.
FOURTH—Navigate the Trading Platform
Trading 212 has its own proprietary trading platform, being accessible via mobile applications on Android, iOS and your web browser. You won’t have to download apps to your computer. You will, however, need to adjust if you’re accustomed to other platforms like MetaTrader.
To search for crypto to trade, click on the search icon on the left side of the trading platform, and search for the crypto you want to trade.
FIFTH—Make Your First Trade
When using an investment account, crypto is only available in the form of ETFs. Some of them will even be quoted in euros. When you find a crypto you want to invest in, click the buy button, enter your order amount and submit the trade.
What Are the Trading Fees?
On Trading 212, the pricing scale is determined by your account type and the asset you trade.
|Type of account
|1 EUR, 1 USD
|10 EUR, 10 USD
|Minimum deposit (bank transfer)
|10 EUR, 10 USD
|10 EUR, 10 USD
|1 EUR, 1 USD
|10 EUR, 10 USD
|Free up to EUR 2,000, 0.7% for deposits above EUR 2,000
|Yes. For example, EUR/USD – 3 pips.
Trading 212 Regulations
Trading 212 is authorized by 3 regulators.
|Investor protection up to
|Securities and Exchange Commission (CySEC)
|United Kingdom (UK)
|Financial Conduct Authority (FCA)
|Financial Supervisory Commission
|20,000 EUR (up to 70,000 EUR in France)
Is Trading 212 Safe?
Yes. Not only has Trading 212 been around for almost two decades, but it’s received a lot of praise. Online reviews show that most of the exchange’s clients are satisfied with its services, and there are no complaints of unscrupulous behavior.
In both the App Store and Google Play, the app has been downloaded hundreds of thousands of times with ratings of 3.5 to 4.5 out of five.