BUX is a mobile-only social trading app, which takes a playful approach to the trading of stock-based CFDs. While some out there have proclaimed BUX a social trading app for stock trading, what you will be trading with these guys are Contracts for Difference (CFDs) using stocks as underlying assets.
So, by trading CFD’s with BUX, you won’t ever get to actually own real stock, and with it, a piece of an actual company. CFDs are derivatives, and through them, you are trading only and exclusively the difference between the entry and exit prices of your contracts.
Costs-wise, that is great news though: through CFDs, you’ll have circumvented certain costs associated with actual stock-trading, so the prices will be very attractive indeed.
Besides acting as a trading platform, BUX is also a social network. It allows traders to connect, to discuss the markets and to copy trading moves. As such, at least in theory, it makes it possible for a layman to become a profitable trader without putting in any sort of real effort. The BUX social network also rewards its members for inviting their friends into the fold.
The social activity sphere is rather impressive at BUX. Besides the above-discussed interaction, traders can engage in battles with their peers, for those ever-attractive bragging rights as well as to build up their reputation.
BUX’s main focus is on investor safety, and in this regard, it does indeed have quite a few safeguards in place. Is the operation itself trustworthy though?
The company behind BUX (which has raised millions of dollars through several rounds of financing) is “ayondo markets limited”. Registered in the UK and Wales, “ayondo” is indeed a well-known operator in the realm of online finance, licensed and authorized by the FCA. Its license number is 184333. Residents of the United States are not allowed to participate in the trading on BUX.
In this regard, BUX has taken an extremely simplistic path. Everyone is offered the same account-option. Upon registration, everyone becomes a play-money trader at the site, with 1,000 FunBux to their name. This is the currency of the platform, and indeed, additional FunBux packages can be bought for real money. FunBux can also be acquired by fulfilling certain requirements of the site, such as the proper completion of one’s profile.
Those who want to “become serious”, can indeed move on to real money trading. In this regard, it has to be noted that the risks assumed through the activity performed at BUX are rather daunting, and that one should never trade with real money he/she cannot afford to lose.
Opening a real money account requires the proper completion of one’s profile information, answering to a few questions (through which the app determines one’s level of trading expertise), a real money deposit and the setting of a pin code.
There are just 2 BUX trading platforms available: one for Android-based mobile devices and one for iOS. Interestingly, the user rating of the Android platform is much better than that of its iOS sister.
As far as functionality goes, the platforms are decent. They are cartoony and sort of blocky in regards to graphics, but they make every nook and cranny of the setup available at a single click. Everything is quite intuitive as well. It will only take a complete novice a minute or so to learn to navigate every section of the platform, though finding the real money account option may be a bit of a challenge for some (the creators are apparently not particularly keen on encouraging their traders to make this move).
Credit and debit cards are accepted (VISA and MasterCard) as well as bank wire.
The Markets section of the BUX platform offers access to impressive selections of local-, US- and European stocks, as well as indices, commodities, currencies, and futures. Bitcoin CFDs are available too.
BUX customer support can be contacted directly from the trading app, through email, Facebook, Twitter as well as live chat. The support section offers a FAQ section too.
We’ll have to say that given the regulatory status of the operation and the obvious concern for safety that permeates the whole platform/system, the safety rating of this one can only be “Excellent”.
BUX is a very impressive take on mobile social trading. It places impressive resources into the palms of the user, in regards to education, market access as well as the wisdom of the masses. It is regulated and it can be used as a play-money only app, for innocent fun.