Archives: Brokers

Is Dubai FXM Scam or Legit Broker?

No, it is not safe to trade with Dubai FXM. Dubai FXM is owned by Dubai FXM Limited, an offshore company registered in Vanuatu.

Vanuatu is notorious for its practically absent requirements and regulations. The setup cost is low and it does not regulate forex trading. Therefore, it became an offshore zone for shady forex brokers such as LiteFinTech, Emporio Trading, and more. We have a detailed article explaining the risk of trading with brokers from Vanuatu.

What is Dubai FXM?

Dubai FXM was launched in 2012.  The broker offers a wide range of products, including CFDs in crypto and forex. Dubai FXM states its authorized status and compliance with the international financial standards of service by the authorization from The Financial Commission. In fact, this organization is self-regulated and does not strictly regulate or oversee the companies. From our source, it costs €24,000 per year to become a member. However, there is no handbook or guidelines for brokers to run their businesses. Therefore, there is zero protection for traders.

• In addition, the latest list of Italian watchdog CONSOB included Dubai FXM on their warning list, since the firm is not licensed and permitted to offer their services within Italy or the EU.

  “The National Commission for Companies and the Stock Exchange has implemented a precautionary suspension, on the following company Dubai Fxm Ltd. As the company is not authorized to provide investment services and activities in Italy by any means”

  CONSOB, Italy. November 2018.

Dubai FXM Review Conclusion

We advise all investors and traders to avoid Dubai FXM and other brokers from Vanuatu. We strongly advise opening a trading account only with brokers that are regulated by respected world authorities and comply with the required set of rules,  such as UK brokers or Brokers in Australia and reliable brokers such as FP Markets and BlackBull Markets, as financial safety in forex trading is essential.

Dubai FXM Update

We found that Dubai FXM is no longer active. The broker’s website is unavailable to reach. Besides, there is no evidence of whether the broker operates or not. We recommend avoiding any offshore-based brokers due to their instability and lack of serious regulations.  

Is BrighterTrade Scam or Legit Broker?

It is not safe to trade with BrighterTrade, because it is an unregulated broker. In addition, the company has been suspected to be a fraud. While we checked the company there is no authorization or registration of the address, therefore the company seems to be highly suspicious and might operate its services from an absolutely different location.

What is BrighterTrade?

BrighterTrade is a Forex and CFD and cryptocurrency broker. The website is owned and operated by the Brightertrade™ corporate group. The group includes LOGAMET LTD, a St. Vincent & Grenadines company, owner of the website, and INGOTEN OU, an Estonian company, that operates the clearing and settlement for the group.

• There is no information about the company's regulation and it seems like it is not regulated by any authority. Moreover, one of the companies behind the brand is based offshore, which doesn't make BrighterTrade look more reliable.
• In addition, New Zealand's regulator FMA has issued a warning against the broker:
  "WEBSITE: www.brightertrade.com; REASON FOR WARNING: BrighterTrade could be involved in a scam. We note a recent warning published by the Australian Securities and Investments Commission (ASIC) about Igoten OU also known as BrighterTrade."
• This follows another warning from the Australian Securities and Investments Commission against INGOTEN OU:
  "ASIC advises this company could be involved in a scam. Do not deal with this business as it is unlicensed in Australia. The business listed below has made unsolicited calls or sent emails about investing, financial advice, credit, or loans and does not hold a current Australian Financial Services (AFS) license or an Australian Credit license from ASIC."

BrighterTrade Review Conclusion

As regulation is one of the most important things while choosing a broker, we recommend checking those regulated by reputable financial authorities such as ASIC in Australia, FCA in the UK, or CySec in Cyprus. Check the list of ASIC-regulated brokers. To avoid any risks and losses traders should trade with well-regulated brokers such as IG Markets and BlackBull Markets.

The brighterTrade Update

Our research revealed that the BrighterTrade 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 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 CF Group Scam or Legit Broker?

CF Group is not a safe broker. As to the CF GROUP LIMITED, it is actually regulated by the FMA in New Zealand, although the regulated entity has nothing to do with CF Group broker. Seems like CF Group is using the regulatory information of the authorized companies to get clients' trust. 

What is CF Group?

CF Group is a Forex and CFD broker that according to the website is headquartered in London. It owns two subsidiaries: CF GLOBAL UK LIMITED in the UK and CF GROUP LIMITED in New Zealand. Also, the firm claims that CF GLOBAL UK LIMITED is regulated by UK's Financial Conduct Authority and CF GROUP LIMITED is regulated by New Zealand's Financial Markets Authority. The truth is CF GLOBAL UK LIMITED used to be regulated by the FCA, but the regulator's register informs that
"CF GLOBAL UK LIMITED is an appointed representative (AR) that is no longer an agent of an authorized firm. Do not start to do 'REGULATED' business with an AR that is no longer registered."

• Moreover, Financial Markets Authority has issued a warning against CF Group:

"We recommend exercising caution before dealing with CF Group, and the app it has published on the Google Play Store. This app claims to be associated with a New Zealand-registered financial service provider. This app is not associated with the New Zealand registered financial service provider CF Group Limited."

CF Group Review Conclusion

We strongly advise traders to avoid unregulated brokers such as CF Group, 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. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as FP Markets and eToro.

CF Group Update

Recently the CF Group website remains inactive, meaning the broker has muted its trading offering and does not propose account openings. However, we still advise the traders to be alert and careful, in case they receive trading 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 Markets Xchange Scam or Legit Broker?

It is not safe to trade with Markets Xchange. This is an offshore broker and does not hold any serious license from a top-tier authority. 

• The broker is registered in the Marshall Islands which is an offshore zone, however, the broker pretends it is located and licensed in Ireland, which already gives a firm ground for doubts. 

What is Markets Xchange?

Markets Xchange is a Forex and CFDs broker. The website states that the Company Marshall Islands provides online trading services via its brand “Markets Xchange” and its European billing agent and marketsxchange.com website and the domain registrar. It is clear from the owner company's name that the broker is registered in the Marshall Islands, however, it claims to be located and authorized in Ireland (they don't provide the address, but provide multiple British and Irish contact phone numbers). Markets Xchange is not regulated by Ireland's regulator The Central Bank of Ireland or any other authority.

• Moreover, The Central Bank of Ireland has issued a warning against the broker:
  "Markets Xchange/Company Marshall Islands is not authorized by the Central Bank as an investment firm, or to provide investment advice. Markets Xchange/Company Marshall Islands has cloned the Central Bank authorization number of a legitimately authorized entity (of a different name) that has no connection whatsoever to this unauthorized firm."

Markets Xchange Review Conclusion

As we usually warn, offshore-regulated companies are not the best options to trade with, because of the high risk of losing invested funds. They don't guarantee and/or provide any protection for their customers. The UK's FCA, on the contrary, provides the Financial Services Compensation Scheme (FSCS), which guarantees account protection in case the broker goes bankrupt. Check the list of FCA-regulated brokers here. Traders should trade with well-regulated brokers such as FBS and BlackBull Markets.

Markets Xchange Update

Based on our findings, the Markets Xchange website is inactive. This means the broker has muted its trading offering and does not operate. Anyway, we recommend avoiding and staying alert in case of any proposals. 

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.