BinomoFX review – 5 things you should know about Binomofx.com

BinomoFX review – 5 things you should know about Binomofx.com

Beware! BinomoFX is an offshore broker! Your investment may be at risk.

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BinomoFX is a Forex brokerage presumably registered in both the Marshall Islands which offers binary options trading. It provides a web-based trading platform and the required minimum deposit is $400 which is quite excessive in our view.

BinomoFX regulation & safety of funds

BinomoFX is owned and operated by the company bearing the name – Gembell Limited. From the website of the brokerage we gather that the registered address of the company is in the Marshall Islands. he Marshall Islands has become a top-destination for would-be scammers due to its very liberal laws regarding the registering of companies. The government does not even require for someone to be physically there in order to register a company. Such a loophole has surely been noticed by many ill-minded brokers and utilized.  It’s safe to assume that “Gembell Limited” does not fall under any regulatory oversight because the government of the Marshall Islands does not include Forex trading within its regulatory framework.

However, the brokerage does make the eerie statement on its website that it is regulated by the  International Financial Market Relations Regulation Center (IFMRRC). We must stress the fact that the “IFMRRC” is not an official, well-known financial regulator but a phony website that issued so-called licenses to shady brokerage. Being licensed by such an establishment does not carry much weight in Forex trading and we recommend traders have it in mind in the future as well.  Binomo FX does offer a web-based trading platform which we could get a look at. There is an impressive selection of financial instruments on which you may “bet” and the maximum payout is 95% which is quite high and favorable, especially compared to the industry average, but the trading platform doesn’t look neat. All in all, traders are warned no to risk it with BinomoFX. We urge traders to avoid risk by trading only with brokerages that have been licensed by a top-notch regulatory body.

Prestigious regulatory bodies, such as the UK’s FCA and CySec, require compliance with a number of strict rules that give significant assurance for the safety 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 scam traders.

BinomoFX deposit/withdrawal methods and fees

Putting aside everything said about the brokerage, we have to point out that the clients of BinomoFX are provided with one of the most impressive selection of payment methods, including a number of popular e-wallets such as Skrill and Neteller, PayPal, PerfectMoney, WebMoney, Epay, QIWI, FasaPay, UnionPay, Baokim, Nganluong, Payeer, Payza, Alipay, GiroPay, AdvCash, CashU and Sofort, as well as many crypto coins – Bitcoin, Bitcoin Cash, Ethereum, Litecoin, Monero, Zcash, Ripple and Dashas well the standard Visa and MasterCard. Here is a screenshot:

In the terms and conditions we did there is a minimum withdrawal amount of $50 which is quite peculiar and not something you would come across with a legitimate brokerage.  It only further speaks about the brokerage’s ill-minded intentions towards potential clients. There is no other mention of withdrawal fees on the website, nor in the terms and conditions of the brokerage either, but that is still no guarantee, because unregulated brokerages – especially those who present misleading information – often charge unexpected fees once the client has already invested funds. Precisely due to such instances we remind readers of all the ways a trader may test the brokerage’s intentions. Firstly, traders are advised 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?

Unfortunately, much of the forex trading world is overshadowed by the huge numbers of scammers. All a trader may do is be well-informed and, in case he is the subject of a fraud – stay calm and not panic! The chance for panic is greatly reduced if such a situation does not take you by surprise. Here are the available options for scammed traders:

In most cases through clicking a tempting ad with promises for fast money, you will be redirected to a website such as The News Spy or Bitcoin Evolution where registration will require you to give your address, email and phone number. Your personal information will be immediately shared with brokers in call centers who are just waiting for juicy leads. After a few minutes hearing how the millions are sure to flow your way, you decide to deposit some $200-250. And just like that – the scammers take a 25 per cent commission from this initial deposit.

After leading you by the nose for a few hundred bucks, senior scammers will take you up and begin pushing you to further invest. You may even be swayed and further give it a shot.  At this point, regardless whether you are in the red or not, you probably begin to consider closing the account and getting back your money.

However, now comes the “recovery” part of the scam. After stating that you wish to withdraw your money, they will know its time to redirect you to the “recovery people” who will further stall you in any way possible. The angle here is simple – remove the last guard you may have – filing a chargeback with your bank. You may do that only during a limited time-window, once it passes – your money is gone for good.

What to do when scammed?

Unfortunately, much of the forex trading world is overshadowed by the huge numbers of scammers. All a trader may do is be well-informed and, in case he is the subject of a fraud – stay calm and not panic! The chance for panic is greatly reduced if such a situation does not take you by surprise. Here are the available options for scammed traders:

You may contact your bank or credit card provider and file a chargeback, , as was noted above. The high instances of fraud have provoked both Visa and MasterCard to take effective measures against scammers in the business. Keeping true to their intentions, MasterCard has already increased the previous time period of six months for filing a chargeback to a year and a half and Visa is expected to follow suit in December.

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 and ready at anything to somehow retrieve their funds. They will say that in exchange for an up-front payment, you will get your money back, but no such thing will occur!

Rich Snippet Data
Review Date
Reviewed Broker
BinomoFX
Broker Rating
11stargraygraygraygray

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