category: Unregulated Brokers

Is BK-Coin Scam or Legit Broker?

No, it is not safe to trade with BK-Coin. According to the broker's website, the broker is located in London, UK, as well as mentions full regulation and operation under European regulators with numerous received awards for successful operation. However, this is not the case and the provided information is false. 

What is BK-Coin?

BK-Coin claims its leading position in online trading and crypto-currencies offering, through a transparent and enjoyable way, with millions of clients in more than 50 countries around the world. 

• However, the company does not hold a top-tier regulation. It is important to mention that being a UK financial service firm the company license by FCA is mandatory. Therefore, the colorful and bright side of a BK-Coin broker is absolutely false information.
• In addition, the broker received a warning from a Belgium authority FMSA explaining how frauds work and why traders should be very careful while trusting or planning to engage in Crypto trading. 

“Once the fraudsters have your contact details, they offer you an investment they claim is secure, easy and very lucrative. They try to inspire confidence by assuring you that you don’t need to be an expert in cryptocurrencies in order to invest in them. They claim to have specialists who will manage your investments for you.”

FMSA, Belgium. October 2018.

BK-Coin Review Conclusion

We advise to stay away from BK-Coin and sign in with Regulated Brokers only that hold a reliable license and are constantly overseen, with a report of every open trade along to the scheme coverage or even more. There are many companies that are licensed by the regulators like UK’s FCA brokers such as FBS and BlackBull Markets recommended as the best trading company provider.

BK-Coin Update

Based on our research, the BK-Coin website is inactive. This means the broker has muted its trading offering and does not operate. However, we recommend avoiding and staying alert in case of any proposals. 

Is Capital Traders Scam or Legit Broker?

Capital Traders has been suspected as scam broker. According to the website, Capital Traders is providing financial services and is located in Estonia. However, the broker does not hold any license in the country, thus being an unreliable broker for investments.

What is Capital Traders?

Capital Traders position themselves as the ultimate choice for crypto traders with a huge variety of assets and elegant trading platform, as well as a professional partnership with 300+ banks. Moreover, the company mentions its authorized and regulated status, however, does not hold any reputable license apart from the establishment certificate. In addition, the legal consultation is provided by the PANAMERA CAPITAL GROUP LTD which is located in St. Vincent and the Grenadines, a known offshore zone.

• As long as the company is incorporated within the EU, the broker should confirm its reliability status along with the necessary proves of safe service, that are crucial for a good trading provider. The above-mentioned issue, as well as other international compliance with a constant overseen of operation,  is provided by the specific authorities that monitor markets. These reputable entities include UK’s FCA Brokers, Australian ASIC Brokers, and other regulated companies, thus it is much safer to choose among those brokers.
• The Capital Traders, yet, cannot be proud of a reliability status, due to lack of serious regulation and therefore the company appeared in a blacklisting of the Belgium FSMA. The authority received complaints from the investors and strongly advises to protect potential traders from a fraud offering. The unregulated firms, in fact, cause highest risks while the trader may fall under the uncertain situation of fund management, market manipulation or typical issue with money withdraws.

“You may be approached after having expressed interest in an advertisement published on social media or other websites that sings the praises of cryptocurrencies. If you click on such an advertisement, you will be asked to fill in a contact form with your email address and phone number. In the next few days, you will first receive a phone call from a telephone salesperson, who will offer you some explanations of cryptocurrencies and direct you to the 'company’s' website.”

FMSA, Belgium. October 2018.

Capital Traders Review Conclusion

We advise to stay away from Capital Traders and sign in with Regulated Brokers only that hold a reliable license and are constantly overseen.  There are many companies that are licensed by the regulators like UK’s FCA brokers such as FBS and BlackBull Markets recommended as the best trading company provider.

Capital Traders Update

Based on our research, the Capital Traders website is inactive. This means the broker has muted its trading offering and does not operate. However, we recommend avoiding and staying alert in case of any proposals. 

Is CryptoAllDay Scam or Legit Broker?

It is not safe to trade with CryptoAllDay. It has been suspected as a scam broker. According to the website, CryptoAllDay is located in the Republic of Seychelles with the registered address Suite 19, First Floor, Eden Plaza, Eden, Island, Victoria, PO Box 428, Mahé, Republic of Seychelles. Seychelles is a known offshore zone.

• It is not safe to trade with the offshore zone. Brokers with offshore licenses are not strictly regulated and do not follow certain guidelines and rules. 

What is CryptoAllDay?

CryptoAllDay is a Forex and FX-Crypto trading provider based in Seychelles and managed by the incorporated company  Petrasoul Ltd. The company promises a high potential income from Cryptocurrencies trading through an incredibly flexible trading system with fast execution and the utmost security. With CryptoAllDay diversified account types every сliеnt can dесidе not оnlу their реrfоrmаnсе rеquirеmеnt but аlѕо рrеfеrrеd lеvеl оf risk, as well as trading conditions.

• Even though the offering might seem quite good, we do not advise getting into that trap. First of all, a serious and reliable financial investment firm and trading broker should hold the necessary registration in order to deliver their services. As CryptoAllDay mentions its location in Bulgaria, which is part of the EU, the company should be authorized. However, it is not the case for CryptoAllDay, therefore there are no guarantees that the company is not another fraud.
• In addition, in spite of numerous warnings from world regulators, cryptocurrencies still remain very attractive to potential investors and especially to scammers. As the Crypto industry still not strictly regulated in order not to fall under insolvency and loss of capital, we recommend choosing a broker carefully and considering only those that have been checked previously by the legal authorities. Therefore, traders should consider only firms with specified licenses and check their status through the authority portals.

Overall CryptoAllDay Ranking 

During our research we revealed multiple issues with CryptoAllDay regulations and safety, thus we do not rank positively CryptoAllDay, based on our Expert Opinion with over 10 Years of experience in Forex Trading.

• CryptoAllDay Overall Ranking is 2 out of 10 based on our testing and compared to 500 other brokers, see Our Ranking below compared to other popular and industry Leading Brokers.

CryptoAllDay Alternative Brokers

Based on our finds and issues with the safety of CryptoAllDay here are much better Alternatives to CryptoAllDay with good regulations and excellent conditions. We select Good Brokers and reliable options for your comparison below: 

• AvaTrade – Good for Currency trading
• InteractiveBrokers – Good for US Trading and Trading of Real Stocks
• FXTM – Good for Beginners

Deposits and Withdrawals

To open an account with CryptoAllDay, traders need to deposit a minimum of $250 USD. There are two main options for funding: Wire Transfer and Credit Card.

• In order to be able to process withdrawals the trading account should be fully verified within the first 7 days after the first deposit is made.

• The minimum withdrawal for Credit Cards is $100 USD or €100. The minimum of a wire transfer withdrawal is $1000. 

CryptoAllDay Review Conclusion

In the case of CryptoAllDay, the trading they offer is confusing and does not give any trust. To be protected from fraud and doubtful offerings we recommend signing in with a tightly regulated broker.  Check the list of FCA-regulated brokers here. We advise signing in with reliable brokers such as BlackBull Markets, FXGT, and FBS.

• Overall ranking and experience for CryptoAllDay is Negative

Is SpearTrader Scam or Legit Broker?

No, it is not safe to trade with SpearTrader. The broker is suspected of being a scam. The terms and conditions on the website state that the company is under the laws of the United Kingdom, which is supposed to mean the broker is regulated by the Financial Conduct Authority in the UK. However, it is actually not licensed by this or any other regulator.

• This means the services the broker provides are not overseen by any legal authority, thus are very suspicious and might put a trader's investments at risk. 

What is SpearTrader?

SpearTrader is a broker that offers Forex, CFD, and options trading. There is not much information about the company behind the brand or its headquarters on the website, only that SpearTrader was founded in 2009.

• The only contact information provided on the website is a contact number with a Swiss phone code when the company is not regulated in Switzerland. Moreover, Austria's regulator Financial Market Authority (FMA) has issued a warning against SpearTrader in June 2018:
  "SpearTrader is not entitled to carry out banking transactions in Austria that require a license. The provider is therefore neither permitted to trade on a commercial basis on its own account or on behalf of others (Article 1 para. 1 no. 7 BWG)."

SpearTrader Review Conclusion

We advise all investors and traders to avoid SpearTrader and other unregulated or offshore brokers. To avoid any risks and losses traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as IG Markets and BlackBull Markets.

SpearTrader Update

Our research revealed that the SpearTrader website is inactive. This means the broker has muted its trading offering and does not operate. However, we recommend avoiding and staying alert in case of any proposals. 

Is TegasFX Scam or Legit Broker?

No, it is not safe to trade with TegasFX. TegasFX is a trading name of the Clover Markets Limited company located in Vanuatu, while regulated by the VFSC to ensure the highest level of client funds protection, as claimed.

• It should be mentioned that Vanuatu is an offshore zone notorious for scam brokers. To be more informed read why to avoid Vanuatu brokers. 

What is TegasFX?

TegasFX also claims its International standards achievement while the client funds are held in segregated bank accounts with international banks. The broker’s ability to offer market-leading pricing and trading conditions through the MT4 platform by providing clients with True ECN/STP environment (True ECN Brokers).

• TegasFX claims to be a new way of true ECN/STP trading with low-latency infrastructure, low market spreads (Best Low Spread Forex Broker), and a wide offer of trading instruments that get extended from time to time.
• However, the main concern throughout the broker’s offering is that Vanuatu is an offshore zone, which in fact does not implement the strictest rules of the financial firm established or constantly overseeing. Therefore, offshore firms claim about their sustainability are rather funny than serious, as may be just sweet words. Therefore, it became an offshore zone for shady forex brokers such as RCM FX, EssenceFX, and more. We have a detailed article explaining the risk of trading with brokers from Vanuatu.
• Furthermore, a lack of regulation seriously hurts the investors’ protection, while the trader cannot be sure how exactly the firm delivers its trading environment and manages funds, apart from its alleged trustful states.
• There are many ways the trader can protect himself and not fall under a number of risks, such as by choosing among the most reputable and of course well-regulated brokers. Since after making the mistake of investing with a company that misses serious regulations, it will be very hard and almost impossible to get the funds back or claim any compensation. And that’s besides the spoiled experience with the trading itself.

Overall TegasFX Ranking 

We disclosed regulation and safety problems with TegasFX, thus we do not rank positively TegasFX, based on our Expert Opinion with over 10 Years of experience in Forex Trading.

• TegasFX Overall Ranking is 2 out of 10 based on our testing and compared to 500 other brokers, see Our Ranking below compared to other popular and industry Leading Brokers.

TegasFX Alternative Brokers

We revealed that TegasFX has a lot of issues, especially in respect of its safety and regulations. Thus, here are much better Alternatives to TegasFX with tight regulations and favorable trading conditions. We select Good Brokers and reliable options for your comparison below: 

• ADS Securities – Wide Range of Trading Instruments
• Capital Index – Good Trading Conditions
• InterTrader – Competitive Spreads

Deposit & Withdrawal

Making deposits at TegasFX is easy, as the broker offers multiple funding methods, such as Bank wire transfers, Creditcard (ADVCash), Bitcoin, Ethereum, US Tether (ERC-20), etc. 

• The minimum deposit amount is $200, while for the maximum amount, there is no limitation.
• The processing time for the deposits is usually very short and mainly is done on the same day. However, Bank transfers might take 1-2 business days.
• There is also an inactivity fee - a $5 fee after 6 months of inactivity.
• However, traders claim to face withdrawal problems with TegasFX, thus we recommend taking this fact into consideration before signing with the broker.

TegasFX Review Conclusion

We advise all investors and traders to avoid TegasFX and other brokers from Vanuatu. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as AvaTrade, FXTM, and eToro.

• Overall ranking and experience for TegasFX is Negative

Is The Cryptonix Team Scam or Legit Broker?

No, it is not safe to trade with Cryptonix Team. The broker does not give any clear information about its registration. On the contrary, the addresses it provides are confusing, as it states its UK location, however, also mentions being located in Sofia, Bulgaria. To operate in the mentioned locations financial services providers need to hold licenses from the local authorities. This is not the case with Cryptonix Team. So, it can be concluded that the broker is unregulated, offering doubtful services to its clients.

• We never recommend traders choose unregulated or offshore brokers, as the services they provide are not protected by any legal rules. 

What is Cryptonix Team?

The Cryptonix Team claims that the company was founded in June of 2012, while the firm is a digital currency wallet and platform where merchants and consumers can transact with new digital currencies like bitcoin, Ethereum, and litecoin. The broker offers to trade on 45+ most popular exchanges from a single account while the broker is based in the UK, London. However, The Cryptonix Team mentions also its ownership and operation by Sveti George 2016 Registered in Sofia Bulgaria.

• Actually, this is quite confusing, as the company gives uncertain conditions to its address and therefore legitimate status. Obviously, that means that the broker is not regulated, nor authorized to deliver its service within the EU. The most crucial factor with non-regulated entities is that the company does not fall under oversight, while the funds can be managed in any possible manner. That means that investment with non-licensed brokers like The Cryptonix Team can be very risky while there is no any assurance for the safety of funds.
• Besides, the regulatory authorities that constantly monitor and regulate forex brokers issue warning against those who are considered risky businesses and warn clients to not engage in potential fraud. Before signing up with the broker check on its legal information, licenses, and compliance with international law, and then choose the best suitable for your particular needs.

The Cryptonix Team Review Conclusion

In conclusion, we advise avoiding The Cryptonix Team and similar offerings and instead checking out the trusted lists of brokers. This list of trusted brokers includes reputable ASIC Regulated brokers, FCA Regulated Brokers, or similar providers that significantly lower the risks in trading. To avoid any risks and losses traders should trade with well-regulated brokers such as IG Markets and BlackBull Markets.

The Cryptonix Team Update

Our research revealed that the Cryptonix Team website is inactive. This means the broker has muted its trading offering and does not operate. However, we recommend avoiding and staying alert in case of any proposals. 

Is Cyber FX Scam or Legit Broker?

No, it is not safe to trade with Cyber FX. The broker does not hold any serious license, which means that investing with it might put your funds in jeopardy. 

• In Forex trading, the most important part is the safety and reliability of the broker. To be legally protected, it is essential to sign with a well-regulated broker from such authorities as ASIC, FCA, etc. 

What is Cyber FX?

Cyber FX is a trading name used by a company that states its full incorporation in the Republic of South Africa while additionally serving an office in Zambia. The broker offers clients a platform to trade Derivatives Instruments such as Contracts for Difference, Warrants, Futures and more through some of the best trading conditions with pure STP/ECN connectivity (Best ECN Brokers).

• However, in order to be a trusted company the good proposal and technology unfortunately not enough. First of all the financial service providers should be a legitimate and strictly controlled firm that is overseen by the authorities in terms of their reliability and sustainability, as well to be sure all claims are true. In the case of the Cyber FX, the firm, in fact, is only registered in the Republic of South Africa and does not hold any other license to deliver its service or to be constantly supervised.
• That means that investment and trading can be very risky to the trader, due to the company’s non-regulated nature. Specifically, the Africa area is full of scammers and fraudulent companies that try to attract potential clients with attractive high gains and incomes, while in fact, they are a typical scam. Therefore, we advise always to sign up only with the companies that have a link to the regulatory authorities and will provide necessary customer protection conditions.

Cyber FX Review Conclusion

In conclusion, we advise avoiding Cyber FX and similar offerings and instead choosing ASIC Regulated brokers, FCA Regulated Brokers, or similar providers that significantly lower the risks in trading. To avoid any risks and losses traders should trade with well-regulated brokers such as IG Markets and BlackBull Markets.

Cyber FX Update

Our research revealed that the Cyber FX website is inactive. This means the broker has muted its trading offering and does not operate. However, we recommend avoiding and staying alert in case of any proposals. 

Is MCH Investment Strategies Scam or Legit Broker?

No, it is not safe to trade with MCH Investment Strategies. The broker claims to be located in London, the UK, however, it is not regulated by the UK's regulator FCA, which is obligatory for brokerage companies in the United Kingdom.

• This means that the services the broker offers might put the trader's investments at risk. We recommend choosing only regulated brokers to stay away from financial fraud. 

What is MCH Investment Strategies?

MCH Investment Strategies is a Forex, CFD, and cryptocurrency broker. The company doesn't provide information about the companies behind the brand as well as regulations. 

• It gets a bit confusing when terms and conditions give the details about some other, not connected to MCH Investment Strategies companies: "HexaBank is the trading name of Partner Communication LTD" and "Activities Regulated Markets Law of 2007 (Law 144(I)/2007) through the website www.gmt-crypto.com". It looks like the website used to have a different name, but they forgot to change the terms and conditions.
  Moreover, Spain's regulator CNMV has recently issued a warning against MCH Investment Strategies:
  " MCH INVESTMENT STRATEGIES/www.mchinvestment.com is not authorized to provide the investment services detailed in Article 140 of the Securities Markets Law, which include investment advice, or to provide the auxiliary services detailed in letters a), b), d), f) and g) of Article 141 of the said Law in relation to the financial instruments detailed in Article 2 of the said Law, including, for those purposes, foreign currency transactions."

MCH Investment Strategies Review Conclusion

We strongly advise traders to avoid unregulated brokers such as MCH Investment Strategies, especially when there are warnings against them. It is always safer to deal with companies licensed by reputable financial watchdogs such as UK’s FCA or Australia’s ASIC. Here you may check our list of brokers licensed by the FCA.

MCH Investment Strategies Update

Our research revealed that the MCH Investment Strategies website is inactive. This means the broker has muted its trading offering and does not operate. However, we recommend avoiding and staying alert in case of any proposals. 

Is CF Merchants Scam or Legit Broker?

No, it is not safe to trade with CF Merchants. The company is owned and operated by CF Merchants Limited, which is an offshore company registered in St. Vincent and the Grenadine.

• St. Vincent and the Grenadines is notorious for its practically absent requirements and regulations. Due to the setup cost being low, it does not regulate forex trading. Therefore, it became an offshore zone for shady forex brokers such as CapitalXP, TraderUR, and more. You can read our detailed article about the risk of trading with brokers from St. Vincent and the Grenadines.

What is CF Merchants?

CF Merchants provides exchanging services for more than 50 currency pairs as well as indices, CFDs, gold, silver, oil and other commodities. According to the website, the organization was established in March 2011 and Company is incorporated in St. Vincent & the Grenadines as an International Trading company with the registration number 24535 IBC 2018.

• However, the Financial Services Authority (FSA) of St. Vincent and the Grenadines has announced that it does not issue any licenses for forex trading or brokerage nor does it regulate, monitor, supervise or license international companies, which engage in such activities. It means that CF Merchants or any other Forex broker that claims to be registered in Saint Vincent and the Grenadines is not allowed to provide its financial services to the public.

Overall CF Merchants Ranking 

We found multiple regulation and safety issues with CF Merchants, thus we do not rank positively CF Merchants, based on our Expert Opinion with over 10 Years of experience in Forex Trading.

• CF Merchants Overall Ranking is 2 out of 10 based on our testing and compared to 500 other brokers, see Our Ranking below compared to other popular and industry Leading Brokers.

CF Merchants Alternative Brokers

We revealed that CF Merchants has a lot of issues, especially in respect of its safety and customer care. Thus, here are much better Alternatives to CF Merchants with tight regulations and favorable trading conditions. We select Good Brokers and reliable options for your comparison below: 

• Dukascopy – Excellent for Shares, Futures Trading
• AvaTrade – Good Instrument and CopyTrading
• InteractiveBrokers – Good for US Trading and Trading of Real Stocks

Deposit & Withdrawal

At CF Merchants, making deposits and withdrawals is simple and quick. The broker offers multiple funding options, including Bank wire transfers, Visa and Mastercard payment cards, plus Skrill, Perfect Money, Neteller, tether, etc. 

• For all deposits/withdrawals through bank wire, there is a limit on the minimum transfer amount without charges. For withdrawals of less than $100, $20 per transaction will be charged as a processing fee.
• Any third-party payments (deposits/withdrawals) are not accepted.
• All withdrawals will be processed the same as the client-adopted payment system. Bank wire to bank wire, Skrill to Skrill, Neteller to Neteller, Perfect Money to Perfect Money, and credit card to credit card.

CF Merchants Review Conclusion

We advise all investors and traders to avoid CF Merchants and other brokers from St. Vincent and the Grenadines. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as IG Markets and BlackBull Markets.

• Overall ranking and experience for CF Merchants is Negative