Beware! Trade99 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.
Trade99 presents itself as a forex and CFD broker, offering over 190 tradable assets with four account types and the MetaTrader5 platform. Unfortunately we were not able to find any information about their trading conditions on their homepage, and as we were not able to open a demo account either, we can not comment on their spreads.
This however, is not our main issue with Trade99, but the fact that they are virtually anonymous offshore broker, which is not regulated by a reliable financial watchdog.
Trade99 regulation & safety of funds
Trade99, which operates under two domain addresses – trade99.com and trade99.io, is owned and operated by Nohelious International Marketing Operations Ltd., a company based offshore in Dominica. All payments however are processed by another company – Clear Transfer Technologies Ltd, which is said to be based in Estonia.
And although the broker claims to be regulated by an entity called “The Financial Commission”, bear in mind that this is not an official financial regulator such as the Financial Conduct Authority (FCA) in the UK, the Australian Securities and Investment Commission (ASIC) or the Cyprus Securities and Exchange Commission (CySEC) – probably the three most popular financial watchdogs in the industry – but just an anonymous website trying to give legitimacy to unregulated, offshore brokers like Trade99, most probably involved in scam.
Trade99 deposit/withdrawal methods and fees
Although the logos of Neteller and Skrill are present on Trade99 homepage, when we proceeded with our registration it turned out Trade99 accepts payments only with bank wire, credit cards like VISA and MasterCard, and bitcoins. The absence of Skrill is notable, because of the new anti scam policy adopted by the company. According it Skrill partners only with licensed brokers and as we already discussed Trade99 does not have a legit license.
And be ware of the trading bonuses Trade99 may offer you as they come with some strings attached. According to their Terms and Conditions, which one may check at https://www.trade99.com/assets/docs/Trade99_Credit_Terms.pdf (the link is not directly visible on Trade99), if you accept a bonus you will not be able to request a withdraw until you reach a certain minimum trade volume requirement – you will have to trade at least 25 million USD for every 1000 USD accepted as a bonus.
And what is worse, Trade99 reserve the right to change their bonus policy whenever they wish, so basically this is a recipe for a scam. See for yourself:
Otherwise the minimum deposit requirement of 250 USD is in line with what most other brokers will also require.
How does the scam work?
Contrary to what you may think scam operations are well organized and employ lots of resources, like for example call centers in places like the Philippines and promo portals like Bitcoin Profit and Brexit Trader, which we call robo scam websites, which are especially designed as traps for gullible investors.
And if you land on one of those robo scam websites, probably you will watch a nicely edited video, telling you how easily you can get rich with only a small investment with some ground breaking trading software, that will be generating profits for you wile you sit back and watch.
And some people get curious and register, leaving their e-mails and phones in the simple registration form and that is how it all starts.
After you register with the robo scam website, you will either be transferred to the web page of unregulated scam broker right away, or you will get a phone call, where you will be offered to open a trading account with such a broker. Either way initially you will be asked to deposit about 250 USD.
And at first everything will seem fine and actually it will look like you are making a lot of money. That however will all be fake. Scammers will be simply manipulating your account with the sole intention to make you deposit more. And that is exactly what your “senior account manager” will be trying to convince you as well – if you really want to get rich you will surely have to invest more – at least 10 000 USD or so.
And many people do not realize they are getting scammed and do invest that kind of money, trading happily until the day they decide to withdraw some of their funds. Than out of the blue they are told that no withdraws are allowed until they meet some minimum trade volume requirement, possibly linked to their welcoming bonus. The pretext might certainly be different, but the end result will always be the same. Scammers will not be giving you any money back.
What to do if scammed?
If you are a victim of a scam you have one viable option to recover your deposit and that is to file for a charge back with you credit card provider. The good news here is that currently both VISA and MasterCard will allow you to do that within 540 days.
And if somehow scammers have gotten to your personal banking details like your credit card number and online banking password immediately change the password and cancel your credit card.
Finally do not be fooled by the offers of the so called recovery agencies. Those guys will not be helping you in any way, but will simply charge you some fees in advance, in practice leaving you even deeper into the red.