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FxCryptoClub Review: a legit forex scam


General Information
Broker Name: FxCryptoClub
Broker Type: forex
Country: Marshall Islands
Operating since year: N/A
Regulation: N/A
Address: Ajetake island, MH96960
Broker status: Unregulated
Customer Service
Phone: +442080893079
Email: support@fxcryptoclub.cc
Languages: English
Availability: 24/7
Trading
Trading platforms: N/A
Trading platform Time zone: N/A
Demo account: yes
Mobile trading: yes
Web-based trading: yes
Bonuses: N/A
Other trading instruments: N/A
Account
Minimum deposit ($): $250
Maximal leverage: 1:400
Spread: N/A
Scalping allowed: N/A

 

The possibility of a scam looms over almost every trade in Forex. Especially if you are dealing with an unregulated broker company.   FxCryptoClub is one of them.

FxCryptoClub is an offshore forex and CFD broker

 

Its website looks very professional. Thus it has full potential to mislead many traders. We have some significant concerns regarding FxCryptoClub, which will be highlighted below.

FxCryptoClub Red Flags

 

FxCryptoClub Regulation: An offshore broker

Through the website of the brokerage, we discovered that the company behind it is registered under the name CapCorp Ltd. Moreover, it is governed by the laws of the Marshall Islands. We want to remind our traders that the Marshall Islands are an offshore zone.

FxCryptoClub RegulationUnfortunately,  due to its very liberal laws regarding the registering of companies, the Marshall Islands has become a top-destination for would-be scammers. FXCryptoClub, irrespective of its legitimacy, do not fall under any regulatory oversight whatsoever.

Generally speaking, forex and CFD brokers incorporated in such offshore zones are not regulated and are not to be trusted. In fact, most companies that choose to register on such sunny islands do that to cut legal corners and run investment scams.

Also, the broker was backlisted by the official Australian Financial Regulator FMA.

Nonexistent Trading Conditions

The required minimum deposit is double the standard of $250, which is relatively high, but there is supposedly a wide range of trading options. Furthermore, the leverage extended to traders is quite generous at 1:400, but the spread of 3 pips on EUR/USD is just about what we would consider favorable.

Also, the broker has only shared with the public the initial deposits required for each of the account types offered. Thus, potential clients of the broker are unaware of the spreads they’ll get, the leverage ratios, etc.

MetaTrader platform is unavailable

 

We always view the lack of the standard MetaTrader 4 trading platform as highly suspicious and very malicious. While Activ8 can be regarded as a substantial choice of a platform, the MT4 is the industry’s leader. Also, most of the traders prefer it. Meta Trader offers numerous features and options, with excellent charting and useful analysis tools.

 

FXCryptoCLub deposit and withdrawal methods

we stumbled upon worrisome provisions of the broker’s Deposit and Withdrawal policy documents uploaded on the website. It appears that FxCryptoClub charges pretty substantial withdrawal fees.

FXCryptoCLub deposit and withdrawal methodsIt appears that FxCryptoClub charges huge withdrawal fees, and also has set a relatively high minimum withdrawal amount. What is worse, there is a dormant account fee of 10 percent each month, as well as a withdrawal fee, minimum withdrawal amount, and a turnover requirement. 50.00 USD/GBP/EURO for wire transfers; 25 USD/EURO/GBP for credit cards plus a processing fee of 25.00 USD /EURO/GBP for ePayments.

Those clients who have not traded at least 200 lots will be charged an additional 10% of the withdrawal amount. This is unfavorable to traders, as it means undertaking additional risk.

Trading with an unregulated brokerage is quite risky, and this is why we always advise traders to put up only the required minimum deposit, instead of risking a more massive amount with no certainty. Afterward, they may also try to withdraw a small amount to check for any unexpected fees or delays. Such costs and delays are usually the signs of a scammer.

 

 

FxCryptoClub Review: Conclusion

 

FxCryptoClub is a typical offshore broker, waiting to steal your money and likely a total scam.

The broker is registered offshore; all of its activities are not transparent and trustworthy. The rules and details of the offers that the company makes are hidden from the trader. The Austrian financial regulator has blacklisted the broker.

As always, we recommend that you only deal with licensed forex brokers.

Here is a summary on all you need to know about forex broker FxCryptoClub:

  • An offshore broker
  • Not enough info on trading terms
  • MT4 unavailable
  • high spreads and initial deposit
  • Weird and confusing withdrawal fees and requirements
  • Blacklisted by Austrian FMA

Don’t put all your eggs in one basket.  Open trading accounts with at least two brokers. Do your own research and trust your guts.

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Comments Rating 1 (246 reviews)


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