Beware! StsRoyal 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.
StsRoyal presents itself as a CFD broker focused on the crypto market, which also offers a wide variety of other trading instruments, including forex pairs, commodities, indices and stocks with five account types, competitive spreads and a web based trading platform.
Unfortunately the website is not regulated and what is worse it is blacklisted as a potential scam broker by several financial regulators in the European Union. If you are about to open an account with them be sure to read the following review fist.
StsRoyal regulation & safety of funds
To start with, we are not even sure which is the company behind the broker and where it is based. On StsRoyal homepage we find the name of Capital Letter GbmH, which in one section of the presentation is said to be registered in Munich, Germany, while in another – in the Marshall Islands. See for yourself:
On top of that in the StsRoyal Terms and Conditions we find the names of yet another three companies – BFXNA Inc., BFXWW Inc. and iFinex Inc., about which we know virtually nothing apart from a vague statement that all legal issues regarding the broker are governed by the laws of the British Virgin Islands.
That said we were not much surprised to find out that StsRoyal has been blacklisted as a potential scam website by the Financial Services and Markets Authority (FSMA) in Belgium, while another website – STSCrypto, also supposedly run by Capital Letter GbmH appears in the warnings list of the Italian financial regulator – CONSOB.
So basically what we are dealing here is a website that is more or less anonymous and that is most probably involved in scam.
As usual in such cases our best advise is to trade only with regulated brokers, licensed and authorized by well respected financial authorities like the Financial Conduct Authority (FCA) in the UK, the Australian Securities and Investments Commission (ASIC) or the Cyprus Securities and Exchange Commission (CySEC).
StsRoyal deposit/withdrawal methods and fees
Although StsRoyal says to accept payments with various e-wallets, including Neteller, Skrill and PayPal, as well as credit cards like VISA and MasterCard, when we proceeded with our registration it turned out the only payment methods available are wire transfers and crypto coins. Bear in mind that wire transfers and crypto payments can not be reversed, unlike payments made with VISA and MasteCard, where you can file for a charge back within a certain period of time.
Also as it turned out StsRoyal requires a minimum deposit of at least 500 USD despite the fact that in their presentation they say you need just 250 USD with their Intro account.
Finally, beware of any trading bonuses StsRoyal might offer you – the brokers advertises a welcome bonus of between 30% and 150%, and this is another worrisome sign.
The practice of offering trading bonuses is highly controversial and is forbidden on virtually all regulated markets. The reason are the additional withdraw conditions all trading bonuses are invariably linked to, which quite too often are used by scammers as a pretext to cancel your withdraw requests.
How does the scam work?
Each year investors in countries like the UK and Australia lose tens of millions of dollars to fraudsters, and if you are wondering how this might be possible, you should know that scammers are extremely well organized and employ lots of resources to run their clandestine operations. For example they use call centers in places like the Philippines, and specially designed scam portals, like Bitcoin Revival and Bitcoin Profit, which are also known as robo scam websites – if you happen to land on one of those sites, you will be greeted by a cheesy video, promising you fabulous returns in a matter of days, with a tiny investment and no risk at all.
And if you do register, by leaving your e-mail and phone instantly you will be transferred to the homepage of a unregulated, scam broker and will be invited to deposit about 250 USD.
Bear in mind that scammers’ goal is to trick you to deposit as much as you can, so you should not be surprised, by how amazingly successfully your initial trades will seem to be. That however will all be a part of the scam, as your trading account will surely be manipulated.
And you will be getting lots of phone calls as well. It will be your “senior account manager”, who will basically be telling you that if you really want to make some real cash, you definitely have to invest more – like at least 10 000.
And believe it or not but at that stage most people do invest that kind of money without realizing they have been scammed until the very moment they decide to withdraw some of their funds. Than out of the blue it usually turns out they are not eligible to withdraw anything because of some minimum trade volume requirement, they have not met, possibly linked to their welcoming bonus. The excuse might certainly be different, but the end result is always the same – scammers will not be paying a single penny back.
What to do if scammed?
If you are a victim of a scam, probably your only chance to get your deposit back is to file for a charge back with your credit card company. The good news here is that currently both VISA and MasterCard will allow you to do that within 540 days.
And if by any chance scammers have tricked you to give them your credit card number, or online banking password, immediately change the password and block your credit card.
Finally, if you are approached by the so called recovery agencies, do not trust them – they will not recover you a single penny, but simply will ask you for some money in advance, basically scamming you a second time.