FMA of Austria warned against Prestige Financial Markets and FX Crypto Club
The Austrian Financial Market Authority (FMA) warns the public against the activities of two forex brokers Prestige Financial Markets and FX Crypto Club. These companies have been offering investments without complying with Austrian financial legislation. According to the official statements, these brokers are not entitled to carry out banking transactions in Austria that require a licence.
The Austrian Financial Market Authority (FMA) is an independent, autonomous and integrated authority for the Austrian financial market. The Austrian FMA is responsible for: contributing to the stability of Austria as a financial market; reinforcing confidence in the ability of the Austrian financial market to function; protecting investors, creditors and consumers.
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Are these brokers legit?
FX Crypto Club is owned and operated by CapCorp Ltd, incorporated in the Marshall Islands. The Marshall Islands is notorious for its practically absent requirements and regulations. Due to the setup cost is low and it does not regulate forex trading. Therefore, it became an offshore zone for shady forex brokers such as GoldmanCFD, Obsbit and more.
Prestige Financial Markets claims to be a leading and regulated broker in the trading industry. However, we have some doubts about its regulation. The company is owned by AllProTech OÜ. AllProTech OÜ operates some other brokers that we have previously reviewed (AlphaCapital, 10Brokers and Prestige.FM) and has been blacklisted by several regulators in Europe. Obviously, all the brokers associated with the AllProTech OÜ should be avoided.
We advise all investors and traders to avoid unregulated offshore brokers. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as eToro and FXTM.
You can share your trading experience with Prestige Financial Markets and FX Crypto Club by commenting on this post.