Beware! MatrixFX Trade 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.
MatrixFX Trade is a Forex broker which has an official MFSA warning in their resume. The Maltese financial regulator alerts that the entity is not licensed or otherwise authorised by the MFSA to provide Forex or other financial services to the public. You should never trade with an officially blacklisted Forex brokers, under any circumstances. In the following review we are going to show you more facts and figures, which are going to make it clear why you should always avoid brokers with warnings issued against them.
MatrixFX Trade REGULATION AND SAFETY OF FUNDS
As already pointed out MatrixFX Trade is blacklisted by MFSA. Also, the Maltese broker claims to be FCA regulated but that is not true, we didn’t find anything about them in the British register. MatrixFX Trade is an anonymous entity, offering Forex services without complying with the UK and the EU financial rules. You should stay away from MatrixFX Trade, it is a confirmed scam!
They also claim to be MiFID compliant and CONSOB(Italy) regulated but this isn’t true, either. A simple analysis of their trading conditions proves their unreliability. They offer leverage of up to 1:200 and at the same time claim to be an EU regulated broker. It is a nonsense, the leverage cap in the EU and the UK is at 1:30, avoid MatrixFX Trade and report immediately if contacted by them.
MatrixFX Trade is bragging about the Negative Balance Protection Mechanisms offered, but since it is an unauthorized and unregulated entity, no one is pushing for the implementation of such a system. It’s a plain talk, with no guarantees provided. The negative balance protection itself is mandatory to all the brokers under European or British supervision, helping to increase the safety level. Under this rule, it’s impossible to register losses greater than the amount deposited by the client.
MatrixFX Trade TRADING SOFTWARE
We couldn’t find any information or a link to their trading platform, what is more, there isn’t even a mentioning on the matter. There is only a line in their T&Cs that states that “in the event that the MetaTrader5 or DXTrade client terminal is closed, Trailing Stop will not work.”
It is unbelievably strange that a broker does not mention even a word about their trading platform in their presentation. It’s absurd and definitely a cause for concern.
Upon registration you finally discover the demo trading option, but for our surprise it was totally different from anything we could expect. There is a window called Demo Trader, which actually is a binary trading platform with prices being manipulated! In the picture you can see the difference between the prices- the upper chart shows EUR/USD at 1.18 while the Demo Trader shows the same pair at 1.15 for binary options trading! They claim to offer real ECN accounts, but de facto only allow you to try a Binary Options demo trading!
The leverage rate is said to be of up to 1:200. The spread offered is as low as 3 pips for EUR/USD, pretty big compared to the industry standards. None of the mentioned details is prone to testing, the demo trading simply increased our uneasiness, they want us to believe them blindly! MatrixFX Trade is a scam, avoid it!
MatrixFX Trade DEPOSIT/WITHDRAW METHODS AND FEES
The minimum deposit required for trading with MatrixFX Trade is 300 USD, but that sum is nowhere to be listed on their website. When you start the registration process you find out that the “Starter Account” should be funded with at least 300 USD. The sum required is high compared to the rest of the industry, the most of the reputable brokers wants no more than 100 USD, some of them are fine with even 5 dollars deposited.
The funding methods listed are wire transfers, bank cards, Skrill, Neteller, Yandex Money, Webmoney and Bitcoin. But we cannot confirm if this information is correct, because you cannot see the Deposit Page in your Dashboard, unless you verify by sending them a copy of your ID, Passport, Driving license, or other valid document with your personal details included. Be cautious and do not send them any documents, it is a proven scam with an official warning issued against MatrixFX Trade !
There isn’t a minimum withdrawal sum specified. The withdrawal processing time is not mentioned anywhere in their T&Cs, also no fees or charges regarding withdrawals are listed. No dormant account fees indicated, too, it’s very unnatural for a Forex broker not to pay attention to its inactive accounts.
MatrixFX Trade does not offer any bonuses or similar trading incentives.
If you are thrilled by the enormous potential of the Forex market make sure that you choose the right broker for you. Such a broker is authorized, licensed and regulated by a financial authority such as CySEC in Cyprus and FCA in the UK. The strict financial regulations imposed guarantee that no scammers are allowed under their supervision. That makes the dishonest and shady entities to choose offshore jurisdictions where there is little or no regulation and they can remain anonymous. The other opportunity for them is to simply lie to their clients, just like MatrixFX Trade, avoid this broker!
HOW DOES THE SCAM WORK
Scammers introduce financial and investment opportunities which are often too good to be true. Lucrative returns(we’ve seen 800% per day) with low or no risk at all, unbeatable trading conditions, trading robots and bots that always execute the winning trades, scammers might even assure you that they have inside information and the profits are guaranteed.
The scam is a confidence trick! The scammers will promise you the moon and the stars only to gain your confidence, then will persuade you to invest money with them and sooner or later will take advantage of you. Once you submit your personal details including ID, credit or debit cards, bank accounts or national insurance number the risk becomes long-term. The scammers might not only refuse to make a withdrawal, but might as well use your personal details to conduct criminal activities. They might dry up your bank account, might make deals on your behalf or you might end-up being an owner of a company that is hugely indebted.
Learn how to identify the scam before you have opened an account and sent any money. Look for information about the Forex market, the regulations, the standards of the industry, always examine the brokers, read reviews. Stay informed!
WHAT TO DO WHEN SCAMMED
Anyone can get involved in scam, scammers are constantly changing their strategies and no one must feel safe. If being scammed the first thing you should do is to protect yourself from further risks. Contact your bank and explain to them your situation, they will give you important instructions to follow and will help you, if possible, recover your money.
Report what have happened to you, file a complaint, contact the financial regulator, contact other government institutions related to trading and investing. Seek help actively!
Share online your experience, it is important to protect others, as well. Be responsible!
Stay away from MatrixFX Trade, it is a confirmed scam!
