Coinyards Review – 5 things you should know about Coinyards.com

Coinyards Review – 5 things you should know about Coinyards.com

Beware! Coinyards 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.

 

CoinYards is a CFD brokerage we believe is based in Switzerland. It provides а web-based trading platform, not the the MetaTrader 4 platform. The required minimum deposit is exceedingly high at almost $2000 but the trading conditions are vague.

CoinYards regulation & safety of funds

Reading through the terms and conditions of the brokerage we discover only a Swiss company name which isn’t much to go on. We remind readers that Switzerland is deeply integrated within the European Union and online Forex trading is duly included within their regulatory framework which is modeled after the ESMA guidelines.

However, we find no mention of a license by the Swiss authorities – thus we may safely conclude that the brokerage CoinYards does not fall under any regulatory oversight whatsoever. For the sake of diligence we ran a quick search on the online registry of the Estonian financial regulator and can confirm that the brokerage is not licensed which leads us to conclude that the brokerage has been targeting European traders without proper authorization.

Another big problem with the brokerage is that researching it on the web we come across official warning issued by the Swiss FINMA and which reads that the broker has been targeting traders without proper authorization and further taking part in scam operations. In other words – we believe that any potential client will be exposed to a substantial amount of risk.

Traders needn’t have to worry themselves with such risk if they choose to trade with a brokerage regulated and authorized by a prestigious regulatory agency. Such agencies are the FCA in the UK or CySec in Cyprus which have been leading names in Forex trading for some time now. Their regulatory framework is composed of a number of strict rules which prevent clients from falling victims to fraud. Such rules include the segregation of accounts which assures that commingling with the client’s money is not possible. Furthermore, a license by such a regulatory body entails participation in a financial mechanism by which clients may be compensated if they suffer losses due to fraud or bankruptcy. With the FCA the compensation is up to 85 000 pounds, where as with CySEC it is up to 20 000 euro per person.

CoinYards trading software

Furthermore, we always view the lack of MetaTrader 4 as a serious disadvantage. The MT4 is among the foremost trading terminals in Forex trading at the moment, close to 80 percent of users prefer it. The platform provides an advanced charting package, lots of technical indicators, extensive back-testing environment and a variety of Expert Advisors (EAs). Instead, there is web-based trading terminal which does not have discernible trading conditions and we are left without sufficient information regarding the most crucial aspect of Forex trading. The only relevant information we find are promised weekly returns of 9.5 percent which is always a sign that something fishy is going on. We impede readers to look after regulatory measures, not attractive promises from brokerage which almost certainly cannot deliver.

CoinYards deposit/withdrawal methods and fees

Potential clients of the brokerage may deposit or withdraw only via Bitcoin and Ethereum. The standard payment methods such as Visa and MasterCard, as well as bank wire are missing. Popular e-wallets such as Skrill, Neteller are also not available.

We could not find the terms and conditions of the brokerage which isn’t uncommon with anonymous brokerage but does back our opinion that CoinYards cannot be trusted. This is why we advise traders to always put up only the required minimum deposit, instead of risking a bigger amount with no certainty. Afterwards, they may also try to withdraw a small amount in order to check for any unexpected fees or delays. Such fees and delays are usually the signs of a scammer.

How does the scam work?

Even though the forex trading world is extremely large and encompasses millions of people around the globe, the most common scamming is pretty simple and straightforward and as such – it’s not particularly daring to avoid. Here is a quick overview of how it is done:

Through clicking an ad with promises for fast money, you will be redirected to a website such as Bitcoin Evolution or Cashless PayGroup where registration will require you to give your address, email and phone number. After sharing your personal information, you will being receiving calls from brokers, compelling you to invest with them and win big. After a few minutes hearing their pitches, you decide to deposit some $200-250. And just like that – the scammers take a fat commission from this initial deposit.

After they are done with you, senior scammers begin working you into putting even more money. They say it’s the only way to profit from trading even more. After making the mistake of investing even further, you’ll begin wanting to get out of this and withdraw what you have left.

Unfortunately, the con-artists have no such thing in mind. They will now begin persuading you to wait it out and not withdraw right now. The angle here is pretty blunt – traders have a limited time period for filing a chargeback with their bank and get their money back. The “recovery department” will simply want to mislead you into missing thе crucial period and, along the way, losing any chance you might have of getting the money back.

It is important here to take notice that both Visa and MasterCard are taking measures to combat unregulated forex brokerages by classifying all forex transactions as high risk. And  they are correct in doing so. Furthermore, supporting their intention with clear actions – MasterCard has increased the previous time period of six months for filing a chargeback to a year and a half.

What to do when scammed?

As was mentioned above, scamming is quite the common in the trading world and, sadly, even you might suffer from it. In such an unfortunate case there still may be some available options for you.

You may contact your bank or credit card provider and file a chargeback. 

If, however, you have provided the broker with your credit card details, immediately cancel your credit card.

If you have given information regarding your online banking pass – you should switch it asap!

Beware of potential calls from self-described “recovery agencies”! They prey on scammed and vulnerable traders who are desperate to recover their losses. They will require an “up-front” payment to help you, but after paying them, no such help will be coming your way!

 

Rich Snippet Data
Review Date
Reviewed Broker
Coinyards
Broker Rating
1.11star1stargraygraygray

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