Is Capital.com Safe for Traders?

Capital.com is viewed as a secure platform for traders. It holds licenses and regulatory approvals across five international jurisdictions, maintains separate accounts for client funds, and adheres to rigorous data and platform security standards.

Keep reading to understand what makes Capital.com a safe choice, and then determine if this trading app suits your needs.

About Capital.com

Capital.com is recognised as one of Europe’s fastest-growing trading platforms, with international offices in London, Warsaw, Vilnius, Sofia, Limassol, Dubai, and Melbourne.

Headquartered in Cyprus, the company has delivered impressive revenue growth of 4,011% over the past four years. This earned the top spot as the fastest-growing tech enterprise in both Cyprus and the Middle East according to Deloitte’s Fast 50 programme for three consecutive years.

Currently trusted by over 640,000 clients worldwide, Capital.com holds an ‘Excellent’ score on Trustpilot. The platform was also honoured as Best in Class in both Education and Commissions & Fees categories at the 2024 ForexBrokers.com Awards.

This highlights its strong dedication to equipping traders with valuable insights and optimal trading conditions.

Capital.com’s leadership comprises industry veterans with extensive experience in derivatives trading, many of whom have previously held key roles at prominent brokerage firms globally. The broker has established a reputation for its user-friendly platform, comprehensive educational resources, competitive fee structure, and exceptional customer service, all designed to give traders the confidence and necessary tools to navigate financial markets effectively.

However, trust is fundamental to the strength of any broker, and maintaining stringent online safety protocols is essential to preserving that trust. Below, we delve deeper into Capital.com’s security practices, possible risks, and vital information on safeguarding your investments on this notable platform.

Regulatory compliance

Capital.com operates under regulatory oversight from the UK’s Financial Conduct Authority (FCA), the Bahamas’ Securities Commission (SCB), Australia’s Securities and Investments Commission (ASIC), the Cyprus Securities and Exchange Commission (CySEC), and the UAE’s Securities and Commodities Authority (SCA).

These regulatory licenses confirm that Capital.com complies with strict regulatory requirements, ensuring a reliable and secure trading atmosphere in every region of operation.

Segregated funds

Capital.com stores client money in segregated bank accounts as stipulated by its regulatory obligations regarding client finances. This means client assets are completely isolated from the company’s own resources, safeguarding them from potential financial challenges affecting Capital.com. The company has no legal claim over these assets, as they exclusively belong to its clients.

Client deposits are allocated among well-established banks, including Royal Bank of Scotland, Raffeissen, Eurobank, and Commonwealth Bank of Australia. These banks undergo frequent evaluations to confirm their compliance with Capital.com guidelines. As a result, client funds remain secure and unaffected by both governmental and corporate debt obligations.

Investor compensation warranties

For clients based in the UK, Capital.com participates in the Financial Services Compensation Scheme (FSCS), while Capital Com SV Investments Limited is part of the Investor Compensation Fund. Both schemes offer compensation to qualifying retail customers in the event that Capital.com defaults.

The compensation amount each client receives is determined based on the applicable legal and contractual agreements established between Capital.com and the client, factoring in the relevant set-off rules that apply when calculating claims.

Investor compensation warranties do not extend to clients residing in Australia; however, other compensation frameworks may be available.

Fraud protection

Capital.com employs several internal strategies to safeguard clients against fraud:

Strong authentication protocols: The platform mandates robust password standards and provides two-factor authentication (2FA) to strengthen account security.
Encryption and data protection: All sensitive client information is encrypted during transmission and storage, preventing unauthorized access.
Regular security audits: Capital.com performs security and vulnerability checks to proactively detect and resolve system weaknesses.
Employee training: employees receive ongoing education on current security practices and fraud prevention methods to ensure they remain vigilant and prepared.
Secure communication channels: Clients can securely report suspected fraudulent activities via protected communication methods such as encrypted email or specialized phone lines. Customer support teams are equipped to respond promptly and discreetly to such incidents.
Account freeze and investigation: Capital.com can temporarily suspend the implicated account when a fraud claim is reported to halt further unauthorized activity. The dedicated fraud investigation team subsequently conducts a detailed review to identify and neutralize the issue.
Collaboration with authorities: Capital.com actively cooperates with regulatory and law enforcement bodies to combat fraud effectively.

Platform security

Capital.com employs a combination of load balancers, firewalls, and virtual private networks (VPNs) to monitor and filter inbound and outbound network traffic, thereby defending against cyberattack threats. Its infrastructure is constantly monitored, and all data transmission is conducted via encrypted transport layer security (TLS).

In addition, the company employs a Strict-Transport-Security HTTP response system to detect potential cyber threats and enforces a DMARC policy to assess the authenticity of all email messages.

Capital.com’s security team is implementing an application security program to enhance the security of its code and expedite vulnerability detection.

The company initiated a bug bounty program to advance security through the exchange of best practices and novel concepts. This has allowed Capital.com to attract new perspectives on how to address emerging security threats.

Data security

Capital.com prioritizes its clients’ information security by staying current with global standards, regulations, and best practices. The company adheres to multiple international security standards to protect its users’ data.

The company has achieved ISO 27001 certification, demonstrating its commitment to information security and privacy risk management.

The ISO standard, recognized as the “gold standard” in information security, is a benchmark that ensures products meet the highest standards of security, reliability, and quality.

Furthermore, the company’s ongoing commitment to ensuring a secure environment for credit card information management has resulted in the acquisition of Payment Card Industry Data Security Standard (PCI DSS) certification.

The company is dedicated to safeguarding its customers’ personal information and will never share it without their consent. In the event that you become aware of a security issue with any of Capital.com’s products or features, please notify us immediately by emailing [email protected].

For additional information regarding the company’s security policy, please visit capital.com/security-measures.