Beware! CapitalBtcFx is an offshore broker! Your investment may be at risk.
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
CapitalBtcFx is unregulated broker, with a contact address on St. Vincent and the Grenadines, about which we have a fresh warning issued by the Italian Commissione Nazionale per le Società e la Borsa (CONSOB), because it has been targeting customers in Italy without proper authorization.
Their offer consists of over 60 currency pairs with a number of exotic one like USDPHP, USDDKK, USDCZK, USDHKD, USDHUF, USDMXN, USDNOK, USDPLN, USDRUB, USDSEK, USDSGD, USDTRY and USDZAR. Apart from that on their MetaTrader4 platform we came across a variety of CFDs on commodities, indices, stocks, oil, natural gas, gold, silver, platinum and palladium, as well as crypto coins, including Bitcoin, Ethereum, Litecoin, Monero, Ripple, Zcahs, Dash, IOTA and Stellar. And all of that with a leverage of 200:1 and spreads advertised to start at 1,6 pips.
Trading conditions put aside, however, the fact that CapitalBtcFx is not regulated and has come in to the spotlight of a CONSOB investigation significantly lowers its credibility,
CapitalBtcFx regulation & safety of funds
CapitalBtcFx as well as several other brokers, including GameBtcFx SmartProFX, FirstFXClub, 360SmartFX and CryptoClubFX are all owned and operated by a single offshore company – Game Capital Ads Limited., based on St. Vincent and the Grenadines, and are all black listed by the CONSOB for a single reason – targeting customers in Italy and other EU countries without a license.
EU is a highly regulated market and all companies, offering financial services there should be regulated by an official financial authority such as the Financial Conduct Authority (FCA) in the UK or the Cyprus Securities and Exchange Commission (CySEC).
Having a legit license means that the broker is strictly supervised and will guarantee the safety of your funds. On top of that all brokers licensed throughout Europe have to participate in client compensation schemes, such as the CySEC backed Investor Compensation Fund in Cyprus, which guarantees the first 20 000 EUR in your account, even if your broker happens to be insolvent. A similar FCA fund guarantees up to 50 000 GBP of your funds.
CapitalBtcFx deposit/withdrawal methods and fees
You can open a trading account at CapitalBtcFx with 250 USD and you can pay with VISA, MasterCard Neteller, AstroPay and Bitcoins. Still you can not use Skrill and that is worth noting as recently Skrill adopted a new anti – scam policy, according which all brokers using its services throughout Europe will have to show a legit forex license – something that CapitalBtcFx lacks.
Also, keep away form any trading bonuses that the broker might offer you, as they are all linked to some additional withdraw conditions.
With CapitalBtcFx for example you will have to trade at least 10 000 000 USD, if you have accepted a bonus of just 300 USD. We should note that this might prove challenging even for professional traders.
How does the scam work?
Few people have heard about the so called robo scam websites like Crypto Revolt and Bitcoin Evolution, until they fall into their trap. If you come across one those sites you will be greeted by a well cut video with some irresistible offer – fast and easy money, no obligations and no risk whatsoever. And all you will be asked to do is to leave your phone and e-mail.
So, after you fill the simple registration form, instantly you will be transferred to the web page of a unregulated, offshore broker, where finally you will be asked for some cash – usually about 250 USD in exchange of a trading account.
And at first trading with the scammers might seem like a lot of fun. You will receive daily trading signals, and your trades will go quite well – just in a few days your 250 USD will probably almost double. That, however will not be for real as your trading account will simply be manipulated, so that latter you will be more easily deceived to invest a larger amount.
And about the same time you will star receiving phone calls as well. It will be your “senior account manager”, who will expertly explain you, that if you want to start making real money, you will definitely have to invest more – at least 10 000 USD for a start.
Believe it or not, but at that point most people do invest those kind of money, and usually they never realize they have been scammed until the very moment they request to withdraw some of their funds. Than, all of a sudden it turns out they can not withdraw, because of some minimum trade volume requirement, possibly linked to the trading bonus they have accepted so carelessly in the beginning. Certainly the excuse might be different, but the result will always be the same – scammers will not send you a single dollar back and probably in just a few days all your positions will turn red and your account will be depleted in no time.
What to do if scammed?
The most rational step you can take if you are a victim of a scam is to file for a charge back with your credit card company immediately. Fortunately with VISA and MasterCard you will be able to do that within 540 days.
And if in some way scammers have managed to acquire your banking details like credit card numbers and online banking password, immediately change your password and cancel your credit card.
And finally, if you are approached by the so called recovery agencies, do not trust them. They will not recover your money, but will simply collect some payment in advance and basically that will be the end of the story.