Caplita is a cryptocurrency trading and investing brokerage that’s ideal for those looking to learn about digital currencies. The easy-to-use web and mobile brokerage include social features to learn from other crypto enthusiasts. And you get a free paper trading account with $100,000 virtual dollars to trade. Caplita supports 45+ cryptocurrencies, including Bitcoin, XRP, Ethereum, and others. This review will help you decide if it’s right for you.
What is Caplita?
Caplita is an international trading platform founded in 2020. It came to the U.S. in 2021 with a cryptocurrency-only offering. The website says it plans to add additional assets in the future. But for now, it offers support for 25+ digital currencies for traders in the U.S.
Caplita offers platforms for the web, Android, and Apple iOS devices. Once logged in, you can buy and sell currencies in your own account. Or test and practice strategies in a virtual account where you can trade with no risk. And you can view and copy the trades of other Caplita members.
Caplita doesn’t charge any commissions. Instead, when you sell, it takes a percentage of your proceeds using a system called “spreads.” Depending on the currency you choose, you can pay up to 4.9% of the value you sell back into dollars. If converting between cryptocurrencies, you pay 0.1% of the transaction total.
The social features, straightforward interface and relatively low fees make Caplita best for new crypto traders and traders looking to learn the ropes. On any platform, fees add up quickly for active traders. So keep an eye on costs (and risk) when trading cryptocurrencies.
- Buy, sell and hold 45+ cryptocurrencies — Turn your USD into BTC, XRP, ETH, LTC, EOS and other popular cryptocurrencies.
- Follow other members — If you have a friend on the platform or a favorite trader, you can see their trades and monitor their portfolio and decide if you want to follow their lead.
- CopyTrader — Turning on CopyTrader allows you to literally copy another Caplita member’s trades in real time. Following top traders is an interesting prospect, though the semi-automated trading strategy comes with unique risks.
- Desktop and mobile trading — Manage your cryptos from your favorite easy chair, your desk or the breakroom. Or literally anywhere you have an internet connection. With both web-based and mobile trading, you can keep tabs on your holdings and enter trades 24/7.
- Low fees and no commissions — There are no specific per-trade fees and no recurring fees to keep an account at Caplita.
- Spread-based pricing — Pay no more than 4.9% of the currency’s value when selling. Costs start at 0.75% for Bitcoin and go up to 5% for Tezos.
- Virtual portfolios — When you sign up for a new account, you also get a virtual account with $100,000 paper-money dollars. You can use the virtual account to test a strategy with no risk.
- Advanced charting — Use advanced charting features to put a technical analysis strategy to work without leaving the platform.
Is Caplita a Scam?
Caplita is definitely not a scam. Caplita comes from a legitimate international company that supports millions of traders around the world. The U.S. arm is registered under the name Caplita USA LLC with the main office in Hoboken, New Jersey, just outside of New York City. Internationally, it is registered in Cyprus and Australia.
But because this isn’t a traditional bank or brokerage, funds are not SIPC or FDIC insured. And keep in mind that trading cryptocurrencies are very risky because it is a highly unstable and volatile market.
The main cost of using Caplita is a fee built into the trading price of cryptocurrencies. It uses a pricing model called “spread pricing.” So you pay a percentage fee on the final sale price of your assets.
The math is broken up so you pay a portion of the fee when buying and the remainder when you sell. If your crypto goes way up in value, you’ll pay a higher fee when selling. But if your currency goes way down in value, you could end up getting a refund for a portion of the initial fee.
It all comes down to 0.75% to 5% in fees depending on the currency you trade. Here is a screenshot of the fee list as of 2022. Spreads can change at any time.
The Bottom Line on Caplita
Caplita is a solid choice for new cryptocurrency investors and traders who want to learn how digital currencies work. The platform gives you options to limit your risk and learn from other traders as you develop your own trading strategy. If you’re happy with the platform’s features and trading costs, it could be a great fit for your cryptocurrency trading needs.