As a cryptocurrency trader, I have had the opportunity to test and use a variety of trading platforms in the market. Recently, I was introduced to Webull Crypto Trading and I must say, I was impressed by its offering. With its user-friendly interface, comprehensive market data, and robust security measures, Webull has quickly become a go-to platform for me. In this review, I will dive into the details of my experience with Webull Crypto Trading, examining its strengths and weaknesses, and provide my overall thoughts on the platform. Whether you’re a seasoned trader or just starting out, this review will give you a thorough understanding of what Webull has to offer and help you make an informed decision.
Key features
- Multiplatform accessibility: you can access the Webull app on both the mobile platform and desktop platform.
- Commission-free trading: you do not pay any exchange commission for trading.
- Zero minimum account fee – no minimum account fee for trading accounts.
- Around-the-clock availability: you can trade on Webull’s platform at any time. The only time you won’t trade is between 5:30 pm–6:30 pm Eastern Time which is allocated towards routine maintenance.
- Community interaction: you can interact with active traders and other Webull users through the Webull chat app.
- Real-time analytics: you can get real-time data for live analytics. This includes 8 custom charts and 50-plus technical indicators that enable you to make informed trading and investment choices.
- Low minimum deposit: You just need a $1 minimum deposit to get started
- Margin accounts: You need an account minimum of $2,000 to operationalize a margin account.
- Enhanced security: two-factor authentication plus other security measures safeguard your account against hacking and such other malfeasance.
Webull Fee structure
Webull’s fee structure is as follows:
- Minimum balance = $0
- Cost per stock = $0
- Cost per options trade = $0
- ETFs = $0
Pros and cons of Webull crypto trading
Pros:
- Fractional coins – you don’t have to overstretch yourself buying expensive coins. Instead, you can buy a fraction of a coin and be able to trade. Like fractional shares, this allows you to diversify your portfolio for as little as $1, a difficult undertaking if fractional coins weren’t possible.
- Fractional shares and ETFs – you don’t have to own an entire stock. You can simply buy a fraction of a share! This is an opportunity to diversify without burning your reserves.
- Easy start for new investors. Zero commission and zero account minimums make it easy for new investors to get started.
- Diversified opportunities: it is not just about trading crypto. You can also engage in trading stocks and ETF trading.
- Retirement accounts: While making money on Webull’s platform, you can also invest in your retirement.
- Hassle-free new account opening: the Webull app makes it easy to open a new account.
- Ease of use: new users will find Webull’s platform quite easy to navigate. For those working in offices, the desktop version makes it even easier to use.
- Instant settlement on cryptos – since cryptos are not real money and thus do not require clearing houses, settlement is done instantly on Webull.
- Powerful trading tools – some of these tools include stock screener, and charting tools, among others.
- Beginner-friendly learning resources – Webull provides free learning eBooks and lots of learning articles on its website. They are written in a language that is easy to understand and employ captivating visuals.
Cons:
- Restricted access to crypto assets: Even though Webull has over 44 cryptocurrencies to trade in, there are just about 7 major cryptocurrencies that one can trade and invest in without limitations. Major cryptos include Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH), and Litecoin (LTC). Others include Shiba Inu coins (SHIB), Cardano (ADA), and Dogecoin (DOGE). More coins are available but are restricted to certain jurisdictions. For example, New York residents can only trade in the following cryptos – BTC, ETH, LTC, BNT, SNX, AAVE, BAT, LINK, and BCH.
- Limited jurisdiction: Webull Financial LLC is based in the United States. Apart from the US, it officially operates in a few other jurisdictions including Brazil, Turkey, India, Philippines, Korea, Malaysia, China, and Japan.
- No crypto wallets: Webull doesn’t provide a crypto wallet facility. This makes cryptocurrency execution a bit of an inconvenience to those wanting to quickly trade cryptos. There is a beta wallet coming soon. Hopefully, a fully-functional crypto wallet will be unveiled by mid-2023.
- No access to fixed income options: fixed income facilities such as mutual funds, futures contracts, Contracts for Difference, bonds, warrants, and forex are not available on Webull.
- Only bank transfers are allowed: If you want to deposit or withdraw money from Webull, you can only do so via bank transfer. You need to have a bank account to enable a wire transfer facility when making deposits and withdrawals
- Unsatisfactory customer support: There have been many complaints about unsatisfactory customer support from Webull users. This is one key area that Webull has to work on if it desires to retain its position as one of the best online brokers.
Webull Benefits
The following are some of the benefits that make Webull one of the best online brokerage firms:
1. Free stocks
Webull provides free fractional shares, especially for first stock buyers on its platform. This is a promotional offer that depends on prevailing terms and conditions.
2. Free options trading
Yes, you pay zero fees for options trading.
3. Free stock trading
Zero fees are charged for stock trading.
4. Many great offers
Webull has many promotional offers, especially for new account holders. These offers vary according to timing, terms, and conditions.
How to get started with crypto on Webull
Getting started on Webull is quite easy. Just follow these few steps:
1. Choose your preferred platform
There are three main platforms:
- Web platform – ideal if you are frequently online. It is less secure than the other platforms.
- Mobile app platform – ideal while on the go. It is relatively secure compared to the web
- Desktop app platform – the best if you are an office person who is often behind a desk. It is the most secure of the three platforms.
2. Open a Webull account
To trade and invest, you need to have a Webull account.
How to open a Webull Account on the Web App:
- Go to http://www.webull.com/
- Click on ‘SIGN UP’
- Follow the prompts and fill in the required details
- Accept the Terms and Conditions
- Submit for approval (takes about an hour)
Opening Webull crypto trading account on the Mobile app:
- Install the Webull app
- Tap on the Webull logo in the middle bottom of the screen
- Select the “Assets” tab on the top
- Select “Detail”
- Tap on “Trading Access” at the page’s bottom
- Choose “Crypto Trading”
How to open a Webull crypto trading account on the Desktop app:
- Go to the left side of the screen and click on the “Account” tab
- Go to the bottom left corner of the screen and click on “Account Management”
- Select “Crypto Trading”
3. Review the various trading and investment opportunities available
There are several trading and investment opportunities availed by Webull. Review each of these opportunities and find those ideal for you as a trader or investor. For more information on these opportunities read ‘How to trade and invest on Webull’. In case of difficulties in the review process, you can get in touch with online freelance financial advisors who can help you with technical analysis.
4. Fund your account
Once you have established the kind of assets you want to trade or invest in, you can now proceed to make an account deposit. You can make a wire transfer. The better option is to use your prepaid debit card.
5. Start trading and investing
Now is the time to start trading and investing. For more details read ‘How to trade and invest on Webull’.
6. Take advantage of the freebies
Webull provides a lot of freebies for new account holders. Take advantage of them to expand your portfolio and gain more wealth.
How to trade and invest on Webull
You can choose to be a trader and/or an investor on Webull. Each option has lots of opportunities to earn money and grow your wealth.
Trading
Webull allows you to take the following two positions on stocks:
- Long position – this is a bullish position. You take a long position when you anticipate the stocks to rise in price over time. To long a stock, you buy your preferred stock and then sell it later. You need to have a Cash Account on Webull to take a long position
- Short position – this is a bearish position. You take a short position when you anticipate the stocks to fall in price very soon. To take a short position, you sell the stock first and then buy it later. You need to have a Margin Account on Webull to take a short position.
1. Short-Selling
Webull does not allow you to short crypto coins.
2. Trading Options
Webull provides two trading options – a call option and a put option. Unfortunately trading for options on crypto is not available.
How to take an option on Webull:
- Go to the ‘Markets’ tab
- Tap on ‘Explore’ to search for the ticker representing your option and select it.
- On the ‘Options Chain’ select ‘List View’ by tapping on the tiny hexagonal icon on the top-right part of the screen. A collapsible bar showing options and their expiration period comes forth
- Scroll down to find the current market price of the shares. Strike prices are indicated in the left column in white numbers. You can view more strike prices by tapping on the icon at the bottom right of the screen next to the funnel.
- Select the option that you want and tap on the ‘Trade’ button.
- Set the Limit Order and set the price
- Specify the number of contracts that you wish to buy. Each contract is worth $100
Investing
If you are not interested in trading, you can choose the investment option. Investors aim for long-term gains. They want to have a strong asset base.
Webull provides the following investment options:
1. Stocks
Stocks are by far the most traditional investment option on the securities exchange. An investor is generally bullish and wants to invest in stocks that have the potential to appreciate in value (either market value or fundamental value or both).
2. Index ETFs
This is a less volatile and cheapest diversification option for stocks. An investor holds a fraction of stocks listed in a given index (e.g., NASDAQ, S&P 500, etc.). Returns generated are almost equal to the change in the price of the quoted index. Just like stocks, investors can also earn dividends.
3. ADRs & ADS
American Depository Receipts (ADRs) and American Depository Shares (ADS) are two great ways for Americans to invest in overseas companies. These are Over-the-Counter (OTC) instruments issued by American banks representing shares of non-US entities.
4. Recurring investments
This is the most ideal strategy for those who are committed to making regular periodic investments. For example, you can decide that a certain percentage of your monthly salary goes towards recurring investments. You can do this through a Standing Order or other means provided by the platform. Webull has a recurring investment schedule which is an automated investment mechanism where orders are placed automatically based on a schedule. You can invest in stocks, options, ETFs, and cryptos.
5. Retirements
Webull enables you to start planning early for your retirement. It has three main Individual Retirement Accounts in which you can start investing in. You can use your IRA account to invest in stocks, options, and ETFs.
Account types
There are three major account types on Webull’s platform. These are:
1. Margin Account
This is a special brokerage account opened for purposes of margin trading.
2. Cash Account
This is an ordinary trading account opened for trading in crypto. It differs from a margin account in the sense that it doesn’t provide a lending facility.
3. Individual Retirement Account
Individual Retirement Account (IRA) has three options:
- Traditional IRA – pre-tax contributions.
- Roth IRA – post-tax contributions
- Roll-Over IRA – for rolling over IRA from your former employer.
IRA accounts on Webull cannot invest in cryptocurrencies
Webull ecosystem
Webull ecosystem refers to the entire network of supportive systems and entities that make Webull work the way it does. These include ownership entities, security entities, and the legal framework.
Organizational ecosystem (subsidiaries, partners, and affiliates)
Webull Corp has various types of associations with several entities which ensures that it is able to operate efficiently and effectively. These entities include:
- Webull Financial LLC – This is a registered broker-dealer entity for Webull. It is a member of SIPC, FINRA, NASDAQ, and NYSE. It is a fully-owned subsidiary of Webull Corporation.
- Webull Crypto LLC – This is a subsidiary of Webull Corp that runs cryptocurrency trading. It is one of the leading crypto exchanges in the US and continues to grab a significant share of the US crypto market.
- Apex Clearing Corp – this is a subsidiary of Webull Financial LLC that carry out clearing services.
- Apex Crypto LLC – This Webull affiliate provides cryptocurrency execution and related custody services on behalf of Webull Crypto LLC.
Security & Regulatory ecosystem
Webull has undertaken various security measures to guarantee investor protection and investor confidence in its financial products. These measures include belonging to various regulatory authorities who ensure that Webull’s transactions are of high integrity. These entities include:
- Financial Industry Regulatory Authority (FINRA) – makes sure that Webull achieves industry-level standards of compliance. This is a boost to investor confidence in the platform.
- Securities Investor Protection Corporation (SIPC) – Webull is an active member of the Securities Investor Protection Corporation. This ensures that investor funds are well protected.
Jurisdictional ecosystem
Webull operates in several jurisdictions across the globe. Its products and offerings are customized to the requirements and needs of each jurisdiction. For example, there are those jurisdictions in which only a few crypto assets are available for trading while in some other jurisdictions, crypto trades are not allowed at all.
As we’ve mentioned earlier, Webull is available in the US, Brazil, Turkey, India, Philippines, Korea, Malaysia, China, and Japan. All these combined forms its jurisdictional ecosystem.
Summing up
In conclusion, Webull Crypto Trading is a feature-rich and user-friendly platform that offers a secure and data-rich environment for cryptocurrency traders. The platform provides real-time market data and a variety of educational resources to help users make informed trading decisions. One of the strengths of Webull Crypto Trading is its user-friendly interface, which is well-designed and easy to navigate. Additionally, the platform has robust security measures in place to protect users’ assets and offers attractive 0 fees.
However, the platform also has some limitations. The selection of cryptocurrencies available for trading is limited compared to other platforms in the market. Additionally, customer support can be improved, and the platform’s educational resources may be overwhelming for new traders
Overall, Webull Crypto Trading is a solid platform that provides a secure and user-friendly environment for cryptocurrency traders. While it does have its limitations, the platform’s strengths make it a good choice for both beginner and experienced traders.