Beware! ProBtcTrade is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
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ProBtcTrade is a CFD brokerage based in Saint Vincent and the Grenadines. It provides the MetaTrader4 trading platform and a spread of 1.5 pips on EUR/USD which is just about the industry average. There is a wide range of trading options and the required minimum deposit is $250 which is standard for the industry and nothing out of the ordinary.
ProBtcTrade regulation & safety of funds
According to the website the company behind the brokerage is registered in Saint Vincent and the Grenadines by the name Game Capital Ads Limited. This means the brokerage is registered offshore and is not authorized by any relevant body as a legitimate financial services provider since Saint Vincent and the Grenadines do not recognize Forex trading in their regulatory framework. Furthermore, the company has become notorious for being the owner of a number of identical Forex brokerages with close to identical trading conditions, all of which are blacklisted by the Italian financial watchdog CONSOB (including this one). Among the other brokerages that are operated by the same company are SmartProfx, ProCapitalFX, CryptoClubFX and many more proven scammers.
Such irregularities and clear-cut signs of trouble are the usual “tell” of a scammer. But with ProBtcTrade we are basically talking about the same brokerage, however, split up into multiple websites in order to evade being exposed by regulatory agencies and reviewers. Nonetheless, in order to be impartial we must say that the brokerage does in fact provide the MetaTrader 4 platform which is the foremost trading terminal at the moment. There is also a test-drive available and we could see a spread of 1.5 pips with a leverage of 1:200. However, there is again a caveat – the platform is actually provided by a third party – West Media Group. This isn’t something out of the ordinary, having in mind its status with the authorities, however, it isn’t advantageous either. Readers should have in mind and always view it as a warning sign.
Furthermore, being blacklisted in Forex trading is a major warning sign and we must state that potential clients of the brokerage may be open to substantial risk.
We urge traders to exclude such risk in trading by only associating with brokers regulated by prestigious regulatory agencies, such as the FCA and CySec, which require compliance with a number of strict rules that give significant assurance for the security of the clients funds.
The segregation of accounts is among the rules which are especially important in the trading world, because it drastically lowers the risk of possible commingling.
Another is the participation in a compensatory scheme by which the client’s losses will be covered in the unlikely case the broker goes bankrupt or attempts to swindle traders.
ProBtcTrade deposit/withdrawal methods and fees
Potential clients of the brokerage may deposit or withdraw only via the standard Visa and MasterCard, as well as bank wire, Neteller and AstroPay. he brokerage openly states on its website that it does not charge any withdrawal fees, however, we should highlight that many scammers choose not to disclose such information to would-be clients. Without proper information on the website we cannot be certain whether clients won’t be charged with any unexpected withdrawal or deposit fees once they invest.
Having in mind all that was stated above, we advise traders to always put up only the required minimum deposit, instead of risking a bigger amount with no certainty. Afterwards, they may also try to withdraw a small amount in order to check for any unexpected fees or delays. Such fees and delays are usually the signs of a scammer.
How does the scam work?
Even though the forex trading world is extremely large and encompasses millions of people around the globe, the most common scamming is pretty simple and straightforward and as such – it’s not particularly daring to avoid. Here is a quick overview of how it is done:
Through clicking an ad with promises for fast money, you will be redirected to a website such as Bitcoin Evolution or Cashless PayGroup where registration will require you to give your address, email and phone number. After sharing your personal information, you will being receiving calls from brokers, compelling you to invest with them and win big. After a few minutes hearing their pitches, you decide to deposit some $200-250. And just like that – the scammers take a fat commission from this initial deposit.
After they are done with you, senior scammers begin working you into putting even more money. They say it’s the only way to profit from trading even more. After making the mistake of investing even further, you’ll begin wanting to get out of this and withdraw what you have left.
Unfortunately, the con-artists have no such thing in mind. They will now begin persuading you to wait it out and not withdraw right now. The angle here is pretty blunt – traders have a limited time period for filing a chargeback with their bank and get their money back. The “recovery department” will simply want to mislead you into missing thе crucial period and, along the way, losing any chance you might have of getting the money back.
It is important here to take notice that both Visa and MasterCard are taking measures to combat unregulated forex brokerages by classifying all forex transactions as high risk. And with the case WigMarkets – they are correct in doing so. Furthermore, supporting their intention with clear actions – MasterCard has increased the previous time period of six months for filing a chargeback to a year and a half. Visa is expected to do the same in December.
What to do when scammed?
As was mentioned above, scamming is quite the common in the trading world and, sadly, even you might suffer from it. In such an unfortunate case there still may be some available options for you.
You may contact your bank or credit card provider and file a chargeback.
If, however, you have provided the broker with your credit card details, immediately cancel your credit card.
If you have given information regarding your online banking pass – you should switch it asap!
Beware of potential calls from self-described “recovery agencies”! They prey on scammed and vulnerable traders who are desperate to recover their losses. They will require an “up-front” payment to help you, but after paying them, no such help will be coming your way!