Beware! CFBrokers.io 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.
CFBroker.io is a broker which presents a sleek website, up to date with the trends. However, the Forex brokers shouldn’t be focused on their web page glamor, but rather on the quality of the products and services they are offering. CFBroker.io faces difficulties to offer anything to the customer, whatsoever, because a sign-up is simply impossible. There are other interesting and at the same time disturbing facts about this Forex broker that you can find in the full CFBroker.io review.
CFBroker.io REGULATION AND SAFETY OF FUNDS
The legal status of CFBroker.io is a horrible mess. We found nothing about such an entity, in fact, the FCA registry showed an UK licensed company named cfbrokers.co.uk, and it has nothing to do with this Forex broker. We suspect that there might be a firm cloning in place, but there aren’t enough evidences to confirm that suspicion…yet.
Other than that, CFBroker.io presents itself so recklessly, and in such an amateur way that it makes us think that there are some kids standing behind this broker. First of all they claim to be a company and a provider called Energy-markets. It’s a total nonsense, as we do not know whether this is a Ltd, LLC company, or a trading name, it’s just a joke!
Then, at the same time, just a few lines beneath, we find them claiming to be registered and operated by a Dominican company, called Seabreeze Partners Ltd, which is actually headquartered at 8 Copthall, Roseau Valley, 00152, Commonwealth of Dominica. It’s an address linked with scam brokers such as Options Tech, suspected scam such as Xchangebit, Online Market Share and AlphaLive. Other dodgy companies involved in illegal activities such as money laundering or tax evasion are also headquartered there, it’s a very fishy address. Seabreeze Partners itself, unsurprisingly, is a shady anonymous company which is nowhere to be found.
CFBroker.io claims in its Terms and Conditions that the St. Vincent and the Grenadines laws are applicable to the products and services provided. We have to repeat now, the legal status of this Forex broker is an utter mess and you shouldn’t ever interact in any way with these people, it is a scam!
Your funds are not safe if you deposit with CFBroker.io, it is an unlicensed, unauthorized and unregulated offshore Forex broker, which isn’t trustworthy!
Avoid CFBroker.io and choose a broker which is legit, transparent and truly regulated in EU or UK, as the jurisdictions mentioned provide the safest environment for your funds. There are money protection schemes in operation, such as ICF in Cyprus and FSCS in UK, which guarantee the deposits of the traders. Under CySEC(Cyprus) supervision you can claim up to 20 000 EUR in compensation, while in UK under FCA you are guaranteed of even up to 85 000 GBP. Each EU member state is compelled to create and further operate similar insurance funds, which are seen to be the last resort for the traders, in case a Forex broker faces difficulties to meet its financial obligations.
CFBroker.io TRADING SOFTWARE
CFBroker.io claims to offer MT4 trading accounts and web-based platform to its clients. MT5 trading accounts are not available. However, we couldn’t find any platform to download or use. First of all, the sign-up page was broken at the time, and we were unable to register, also there isn’t a single link to download the advertised Metatrader platform. In reality, there is no trading platform at our disposal and we do not actually know why, it might be some temporary problem, but it’s just a guess. No matter the circumstances, it’s a red flag and CFBroker.io should be avoided!
There are 3 standard deposit accounts as well as 3 premium ones. The lowest spread possible is said to be 0.7 pips if you deposit 50 000 USD or more, typically with the Micro Standard account the spread is 3.0 pips, which is way too big a difference compared to the rest of the industry.
The maximum leverage is 1:200, which is a level banned in the EU and UK, because it’s considered too risky, especially for traders and investors with little or no experience. ESMA, the EU financial regulator launched a product intervention, imposing a leverage cap, and the regulated European Forex brokers are not allowed to offer higher levels than 1:30.
CFBroker.io DEPOSIT/WITHDRAW METHODS AND FEES
The minimum deposit with CFBroker.io is 250 USD. The funding methods include wire transfers, bank cards and the Russian online wallet Piastrix. The Russian payment system isn’t the most popular in the world, on the contrary, it’s a fishy wallet used mostly by dodgy online casinos and unlicensed Forex brokers such as Finlay.io, Investactive and 10CryptoMarket.
No minimum withdrawal and no handling deposit or withdrawal fees specified. The request processing time is within 2 to 5 business days. However, CFBrokers.io says that there are fees and charges incurring, but fails to make it clearer, meaning that they might introduce an unbearable fee and on their own discretion only! Also, some additional documents might be required which is yet another misleading clause. It is a trick, allowing them to slow down or simply refuse withdrawal.
There is a minimum of 30% deposit bonus issued to each new account automatically. As this happen, your deposit and the bonus are now inseparable, and you have to execute a minimum trading volume of 30 times the sum in your account, in order to withdraw, which is a totally unfair requirement! Bonuses were banned in EU and UK because the records showed that the trading incentives cause greater losses especially among the novice traders and investors!
CFBroker.io allows an indebted account, meaning that the losses may exceed the total sum deposited! Under EU and UK supervision such a scenario is impossible, the regulated Forex brokers are forced to maintain negative balance protection. Stay away from CFBroker.io, you may lose much more money than you have ever thought of!
HOW DOES THE SCAM WORK
A group of scammers usually operates many different scam brokers, scam websites and call centers. Sometimes they will simply rely on the quantity, they will publish tens or hundreds of websites and will just wait for traders and investors with little or no experience to bite. Nowadays, it’s very cheap to create one, and it looks like a profitable strategy, as they carry on doing it.
Fraudsters are working in the social media nowadays, an increasing number of scammers will first introduce their “services” to the people through Facebook or Instagram. You will click on a page, promising a lush lifestyle if you follow their example, they will contact you, probably offer you a demo account and after some time you will be tempted to invest and make guaranteed profits. Once you are signed-up they will ask you to deposit money and this is just the beginning, because gradually they will be asking for more, no matter if you lose or make profits. The end is always the same, a robbed-off investor who lost his hard-earned money.
WHAT TO DO WHEN SCAMMED
No one is immune to scam, anyone can fall into the trap. Scammers are constantly looking for new and different ways to scam consumers. What you need to do first, in case you got scammed, 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 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!