Deriv is a global leading online broker that offers various derivatives on forex, indices, commodities, cryptocurrencies, and synthetics. Derriv is very popular in South Africa with thousands of accounts.
Deriv’s goal is simple – to break the chain of high commissions and clunky, unfinished products that the competition offers. It aims to transform the traditional broker experience and introduce a world-class platform to digital traders.
Deriv is a rebrand of Binary.com. a company that’s been around for 22 years. Under its new name, Deriv introduced a plethora of fresh features and new products too, during which period it amassed over 2.5 million users. Its values are honesty, integrity, competence, and customer focus. You can read all the details in our Deriv Review South Africa.
Deriv is one of the top online brokers for 2023.
Of course, the competition never sleeps, so it’s up against some tough challengers.
One of them is Hotforex – a forex broker that’s been around for quite a while. Now rebranded as HFM, Hotforex has over 3,5 million individual accounts and institutional clients. Just like Deriv, Hotforex promises the best possible trading conditions to its clients, serving them with latest MetaTrader platforms also offering STP execution.
In this guide, we’ll take a look at both brokers and see who comes out the winner.
Deriv vs Hotforex Platforms
Deriv has five platforms for the South African market
- Web-based (DTrader),
- an automated trading system DBot,
- MT5 terminal (DMT5)
- And Binarybot for options automated trading.
All Deriv platforms are easy to use and feature-rich. The DMT5 terminal draws a lot of attention, presenting a great set of features that will come in handy for CFD traders of all types.
The list of trading pairs such as USD/ZAR is easy to read and navigate. It offers flexible leverage up to 1:1,000 in South Africa, with major, minor, and exotic pairs available for CFD trading on the DMT5 and Deriv X platforms.
When it comes to the DTrader platform, it’s more customizable and has over 50 tradeable assets. The DBot platform is fully automated, giving new traders a straightforward path for algorithmic investing.
Hotforex has two platforms – MT4 and MT5. They are single- and multi-threaded respectively, offering dozens of technical indicators and analytics tools that will come in handy for traders and investors. Being in the business for so long has established it as one of the best trading platforms, but due to the extra platform and the features and more assets, Deriv is the winner here.
Deriv vs Hotforex: Markets and Assets for South Africa
Deriv offers over 100 CFDs, including:
- Forex – more than 30 currency pairs, including minors such as USD/ZAR
- Synthetic indices – available 24/7, based on a secure RNG
- Stock indices – covers the largest US and European markets
- Commodities – gold, silver, oil, etc.
- Cryptocurrencies – BTC against USD
Hotforex mostly covers the same markets, but has more assets.
More than 1,000 securities
- Commodities such as oil, energy, metals, etc.
Deriv vs Hotforex Spreads and Fees
Deriv promises tight spreads. Major forex pairs such as EUR/USD have a 0.5 pips trade spread. The company charges no commission fees, and has no penalties.
Hotforex’s spreads are variable depending on your account. They start at 1 pips for a micro account. It also has some fees depending on the market, such as overnight fees depending on the asset and your account type.
Deriv vs Hotforex Deposit and Withdrawal
Deriv has an impressive width of deposit and withdrawal options. They include
- wire transfers,
- credit and debit cards, and
- e-wallets such as Skrill, Neteller, and WebMoney.
South African traders can deposit with Deriv by using ZingPay and Deriv P2P.
The latter allows you to deposit in your local currency (meaning ZAR), with a deposit limit of $500 and the same daily withdrawal limit.
If you use ZingPay, the min/max deposit limit is $10-$500, and $10 to $6,000 for withdrawals.
Minimum deposits go from $5, and all of the options are also available for withdrawals. Keep in mind that withdrawals are slower and begin from $10 up.
Hotforex’s minimum deposits range from $5 to $250 across the various account types. You can use a wide range of options that mirror Deriv’s, with a few additions interesting to South Africans such as PayRedeem, and FasaPay.
Deriv vs Hotforex: Customer Support
Whichever broker decide to use, they have a great customer support team ready and waiting to answer your questions. Deriv can be contacted 24/7 via email and live chat, and you should also check the Help center for answers.
When it comes to Hotforex, the broker’s support team is live between 07:00 and 23:59 Monday to Friday. It falls under time zone GMT+2, which suits South African traders.
Deriv vs Hotforex: Company Information
Deriv is owned by Deriv LTD, an online broker company formerly known for its Binary.com brand. It managed to retain most of the popular brand’s features while honing certain aspects of its platform for even better service. The rebrand didn’t just change the company’s logo. It came with enhanced user experience and an expanded product range.
Nearly all of Binary’s clients and portfolio have migrated to Deriv. The transition was gradual, and under the new umbrella, the popular broker company has grown. It now has over 2.5 million users with a $10+ billion trading turnover. The company has around 950 employees across 18 locations, making it one of the biggest in the business.
Hotforex was established in 2010 and is one of the oldest online broker companies. It has a far bigger reach than Deriv, being available in over 100 countries. It has all the necessary licenses to operate regularly, including one by the Financial Sector Conduct Authority (FCSA). It is further licensed in Dubai (DFSA), Seychelles (FSA), Kenya (CMA), FCA (United Kingdom), and St. Vincent & Grenadine (SV),
The company offers competitive spreads and low fees as well as trading on a number of assets including cryptocurrencies. It recently went through a rebrand just like Deriv, and is now known as HFM.
Deriv vs Hotforex Conclusion
- A rebrand of former successful platform Binary
- Allows trading on numerous assets, including commodities and cryptocurrencies
- Available in South Africa
- Three platforms to trade on
- Launched in 2010
- Covers trading on commodities, cryptocurrencies, securities, and forex pairs
- Licensed in South Africa
- MT4 and MT5 platforms
We pick Deriv as the winner in this duel because we think it better serves South African traders by offering more trading instruments. It has no fees and an abundance of trading assets. Hotforex is a great alternative, but if you’re looking for the best broker for South Africa, Deriv is the clear pick.
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