Beware! FRXE is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
FRXE is an offshore broker offering over 40 currency pairs and various CFDs on precious metals, indices and crypto coins like Bitcoin, Litecoin, Ethereum and Ripple, with leverage of up to 100:1 for the forex pairs, and the MetaTrader5 trading platform.
Spreads as advertised by the broker are also attractive starting from 1,2 pips with their opening account, while the leverage for trading gold is even higher than the one offered with the forex pairs – 200:1.
Unfortunately there are a number of serious questions regarding the legitimacy of the broker – for example they do not have a legit license, so if you are considering opening an account with them be sure to read the following review.
FRXE regulation & safety of funds
As we already noted FRXE is a unregulated, offshore broker, and we are not even sure where it is based. In the bottom of their homepage we are told FRXE is owned by FRXE TRADING LIMITED, a company based on the Marshall Islands. From their Terms and Conditions, however, we understand that all legal claims concerning the broker will be viewed under the jurisdiction of Saint Vincent and the Grenadines.
In any case, regardless of whether the broker is based on the Marshall Islands or on Saint Vincent and the Grenadines (SVG) – the first territory is in the South Pacific, while SVG is in the West Indies – we are talking about a unregulated, anonymous broker, which does not have legal right to offer any services on regulated markets like the European Union, the U.S., Canada, Australia or Japan.
Bear in mind that trading with unregulated brokers is extremely risky as they are totally unaccountable for the way they handle your money, and most often are simply involved in scam.
That is why we will repeat our usual advise to trade only with properly regulated brokers, licensed and authorized by a well known financial institution, such as the Financial Conduct Authority (FCA) in the UK, the Cyprus Securities and Exchange Commission (CySEC) or the Australian Securities and Investments Commission (ASIC).
FRXE deposit/withdrawal methods and fees
FRXE say they accept payments with credit and debit cards like VISA and MasterCard, bank wire, bitcoins and popular e-wallets like Skrill and Neteller. That information, however, we were not able to confirm. Bear in mind that you can not trust all the information a unregulated broker publishes on its website as such brokers are not obliged to comply with any regulatory requirements.
Also, be aware of any trading bonuses FRXE might offer you as they will invariably be linked to some minimum trade volume requirement – a favorite technique, used by scammers to cancel your withdraw requests. No wonder trading bonuses are prohibited in the European Union altogether.
Otherwise the minimum deposit requirement with FRXE is acceptable – 100 USD.
How does the scam work?
People usually get scammed after unwittingly leave their e-mail and phone number with one of the so called robo scam websites like Bitcoin Profit and Brexit Trader , which are specialized portals for trapping and distributing new victims among unregulated, offshore scam brokers. We call such pages robo scam websites, because if you register with one of them, you will be automatically redirected to the web page of a scam broker.
And if you wonder why people register with such websites, the reason is quite trivial – they are lured by promises of fast and easy returns in exchange of some small and “completely risk free” investment with an “innovative trading software”. At least that is what you will hear on the video ad that will greet you on the front page of most such websites.
So after you get transferred to the scam broker’s web page, you will be asked to deposit about 250 USD and start trading right away. And if you do that, the people behind the robo scam website will get their commission.
Take a note that your first trades with the scammers will be amazingly successful and in no time the money in you account will seem to have doubled. That however will not be real, but just a part of the scam. The idea is that you get hooked and deposit a large sum. And that is exactly what your “senior account manager” will suggest on the phone – if you really want to make some big cash, you will surely have to invest more – like at least 10 000 USD.
And as strange as it may sound, at that stage most people do invest that kind of money without realizing they have been scammed until the very moment they attempt to withdraw some of their funds.
The excuses to cancel your withdraw requests might be various – most probably scammers will tell you have not met some minimum trade volume requirement, linked to your trading bonus, you have so gladly accepted in the first place. Whatever the pretext the end result will always be the same – all your withdraw requests will be canceled and scammers will not pay you a single penny back.
What to do if scammed?
Your best chance to get your deposit back is to file for a charge back with your credit card provider – that is if you have payed with VISA or MasterCard. The good news here is that both VISA and MasterCard will allow you to file for a charge back within 540 days since you have made the deposit.
And if scammers have tricked you to tell them your banking details like your credit card number and online banking password, immediately block your credit card and change your password. And if they have tricked you to install Team Viewer – delete the program as well.
And one final word of advice. If you do not want to get scammed a second time, do not trust the so called recovery agencies. They will not recover your money, but will simply ask for some payment in advance and basically that is how the story will end.
