Beware! ZebCoins 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.
ZebCoins is a crypot broker that seems promising at first bu the more yo dig in, the more you get to see that things are quite off. The broker broker offer no trading conditions, an issue that will be explored in the review.
ZEBCOINS REGULATION AND SAFETY OF FUNDS
This alleged brokerage firm falls into that category of brokers that offers no real legal documents that bind the trader and company by a set of important rules of conduct. Without such documents a broker can make them up as it goes, meaning that ZebCoin can easily change the rules, ban users, add fee/commissions, and do much more without notifying the trader. If this wasn’t enough, there is no mention that the broker is licensed by any regulatory agency. Neverhteless, what this comapany offers is a short Rules and Agreement page that indicates some distressing things, conveying that users should not trust this broker with their funds. The most obvious clause reads that the broker is not open to the general public, only to those it chooses to invite, which immedtially brings up the classic robot-scam scheme that we have explained further down the review.
Furthermore, the company claims to be registered in the UK as a Private Limited Company, but fails to prove this, even if providing us with a docment, in which there is mention of a different company name.
We can easily draw the conclusion that ZebCoins is completely UNREGULATED, and unsafe for any kind of deposit.
Traders should be trading with risk-free brokers, that hold licensed from renowned and austere agencies, like the FCA or CySec , which have made a name for themselves as some of the top regulators. Readers should be aware that both agencies have adapted very strict rules of conduct, and their licensing framework guarantees safety and security for all clientele. A good example of this is the segregation of accounts which assures that client money and broker money are kept in separate accounts. Furthermore, FCA/CySEC brokers participate in a financial reimbursement scheme that cover traders losses in case the broker becomes insolvent. The FCA provides up to 85 000 pounds per person, while CySEC guarantees up to 20 000 euros.
ZEBCOINS TRADING SOFTWARE
In this section we will be quite brief because of one major downfall that further solidifies this broker as a comlete scam: the lack of a trading software. Even if it claims to be a crypto investment firm, there is no terminal allowing us to do so. However, on the deposit page the broker has included a 10% daily interest lure, meaning that users are expected to believe that their deposits will increase by 10% each day, which is of course a completely false promise. Again, do not invest here!
ZEBCOIN DEPOSIT/WITHDRAWAL METHODS AND FEES
It’s obvious that deposit and withdrawal methods are bitcoin only. Users can open three different kinds of accounts, each offering a higher faily interst return rate. The 10% Account has a minimum deposit of 0.001 btc which is about $7 as of writing this. The 15% return rate Account has a minimum deposit of 25.001 btc deposit requirement which is $188 407 at the moment. Clearly a ridiculous requirement. As for fees, there seem to be none, but that should in no way guarantee you safety for any of your funds.
We strongly advice traders to only deposit the minimum deposit, or better yet- not deposit at all! As for the withdrawals, scammers are known to either deny such requests, or impose incoming and unexpected charges.
How does the scam work?
Users will be in the middle of a scam without even knowing it, that’s how efficient these scams are. Yet, clients will also be surprised that the most utilized scammer structure is laughably easy to grasp, making it predictable. We have dedicated the following section to the reveal of how the scam works.
The internet is filled with ads, it’s the fuel of the industry, and a big chunk of said advertisements are misleading and some are downright deceitful. The ads concerned with unregulated forex brokers are often very promising, and most of the times utilize completely false claims of immediate profit. Those tempted enough will be redirected to a robo-scam website that further guarantees profits. The only thing that separates the user from the unrealistic promises is a fast registration process that requires a phone number and an email address. After inputting this info unsuspecting users will start getting phone calls from illicit broker representatives, whose one and only job is to initialize the scheme by pushing a trader to make that first deposit of around $250. After that’s done, the senior representatives will be calling. These expert scammers are extremely good talkers, and will start working on you to start putting even more money in. They say that the more money invested, the higher the profit will be. At this point most traders start seeing the big picture, and will want to withdrawal their money and get out fast.
However, the scammers have anticipated this development, and are ready to counter any withdrawal request. Typically they find excuses for delaying the request in the legal documents that hold specific clauses for these purposes. The reasons are many. One thing to remember is that all illicit brokerage firms will deny the withdrawal request for as long as they can, because of the imposed time limit traders have for filling a chargeback. Once the crucial due date is not met, any chargeback requests will be denied.
What to do if scammed?
Those of you who deposited using VISA and MasterCard wil be glad to know that both companies have extended their chargeback time span to 540 days, especially if the reason for it is an online scam.
Scammers will steal directly from a bank account, if the traders has provided crucial details, like banking password or security code. If it get down to this, be sure to either block the account or change the password.
Sometime victimized users will stumble upon the so called recovery agents that promises to magically reclaim all lost investments, for a fee that is. Needless to say, they will not get back any of the lost funds, and will basically scam you a second time.