ZonggangCaifu Review

Is ZonggangCaifu Scam or Legit Broker?

ZonggangCaifu is not a secure Forex broker since it does not hold a license from any worldwide serious Forex authority. Meaning the broker is suspected of being a fraud company since it was not checked for its compliance before establishment, was never monitored in terms of its safety, and simply may operate the business in any way it wishes.

What is ZonggangCaifu?

ZonggangCaifu is a Forex and CFDs broker. The company is owned and operated by Zongangguoxin Group Limited and claims to have offices in Hong Kong, the UK, and the USA.

• According to the broker's website, it is regulated by multiple authorities in different countries: Australian Securities & Investment Commission (ASIC), the Securities and Futures Commission of Hong Kong (SFC), China Banking Regulatory Commission (CBRC) and New Zealand's Financial Markets Authority (FMA). However, we have checked the information about all these licenses and it turned out ZonggangCaifu is not regulated by any regulator.
• Moreover, New Zealand's FMA has issued a warning against ZonggangCaifu:
  "ZonggangCaifu is not registered, licensed, or regulated in New Zealand as claimed on its websites. The financial service provider registration numbers FSP1782, FSP1762, FSP488226, and FSP536586 displayed on ZonggangCaifu’s websites belong to the KVB Kunlun group of companies. KVB Kunlun is NOT affiliated with ZonggangCaifu and its websites. ZonggangCaifu could be involved in a scam."
  Also, there is a warning from the Securities and Futures Commission of Hong Kong:
  "The above Hong Kong address belongs to a secretarial company. Suspicious website operators often use names similar to legitimate companies to confuse investors."

ZonggangCaifu Review Conclusion

To sum up, ZonggangCaifu is an unregulated forex broker and it is the biggest concern as the lack of license adds additional risk to forex trading ( Check top 10 forex brokers in the world). On the other hand, those brokers regulated by reputable authorities have to follow a lot of rules that are made to protect clients.

Here are some reliable regulators: UK’s FCA, the Cyprus Securities and Exchange Commission (CySEC), and the Australian Securities and Investments Commission (ASIC). Always make your own research before signing with a broker, and pick a tightly regulated broker such as FXTM and XM. 

ZonggangCaifu Update

Based on our research, the ZonggangCaifu 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.