Beware! VipTrade1 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.
If there is “the most amateur-ish website of a Forex broker” ranking, VipTrade would undoubtedly guarantee its first place there. We’ve never seen such a silly design before, it’s beyond our comprehension how people claiming to offer Forex products and services to the customers could create such a hilarious website. It is a broker you should never trust, find out why in the full VipTrade1 review.
VipTrade1 REGULATION AND SAFETY OF FUNDS
VipTrade1 is an anonymous Forex broker which definitely isn’t authorized to sell financial instruments and products to the public. They withhold important information about their legal status, because VipTrader1 is an illicit Forex broker. There isn’t a valid address listed by them, what is actually put on display is nothing else but a joke, in fact, we laughed sincerely at their colossal blunder. At the same time we have to remind you that these guys are asking for money from you, so there is no place for jokes!
No FCA authorization was found whatsoever, there isn’t even a company referred that supposedly owns and operates VipTrade1.
Your funds are not safe if you make a deposit with VipTrade1, it’s an unlicensed, unauthorized and unregulated anonymous Forex broker, which is untrustworthy and seems to be a scam.
If you are looking for a Forex broker you should definitely go for EU or UK regulated one, as these are the leaders in the retail FX industry, and also the regulatory regimes in Europe are the strictest, providing the safest environment for your funds. There are plenty of stringent rules and regulations imposed on the FX companies, but most importantly, protection funds were established, such as ICF in Cyprus and FSCS in UK.
Under CySEC(Cyprus) and FCA(UK) regulation the customers are protected from losing their cash in case a financial service company gets into troubles. ICF guarantees the clients deposits of up to 20 000 EUR per client, while FSCS allows you to make a claim of even up to 85 000 GBP per client. 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.
VipTrade1 TRADING SOFTWARE
VipTrade1 does not offer Metatrader4 or Metatrader5 accounts to its customers, instead they have forged something that they called “a revolutionary platform”. In fact, it is a truly primitive and laughable one that consists of a TradingView chart and an Order Panel above it. There is nothing revolutionary about it, the so-called platform lacks even basic mandatory features such as Pending orders, TP and SL orders. There is in fact something similar to stop loss and take profit orders, but the way in which you define the levels is more than ridiculous. You do not input a price target, instead the TP and SL are calculated in terms of sums of money. It is another red flag that we have to mark, undeniably confirming that VipTrade1 is a scam Forex broker.
The EUR/USD spread is 1.3 pips most of the time. The leverage level is fixed at 1:400 and you cannot change it if you want to, which is yet another red flag and a warning for the traders. Stay away from VipTrade1, it’s a scam.
VipTrade1 DEPOSIT/WITHDRAW METHODS AND FEES
There are four different types of accounts offered by VipTrade1.
The minimum deposit is said to be 500 USD, and shockingly you can make a deposit even without registration. In fact, we tried to register, but unsuccessfully, their sign-up page was broken at the time, which is another major red flag. The single funding method is a Credit/Debit card.
There is no minimum withdrawal specified, also no fees mentioned. Their T&Cs does not settle any of the crucial conditions for the trader, such as fees, deposits, withdrawals, dormant account etc. It is another major red flag and yet another proof that VipTrade1 is a scam broker.
No dormant account policy and no fees for inactivity determined.
No bonuses offered at the moment, but VipTrade1 gives a hint that bonuses are possible, but they do not specify any terms or conditions related. There is also a hint that a partnership program is available, but no further information is given.
HOW DOES THE SCAM WORK
A group of scammers operates many different scam brokers and scam websites. 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 seems a profitable strategy, as they carry on doing it. The scammers will constantly re-brand and create fresh scam projects, but remember that all of these will inevitably share similar characteristics. In the following list you can find five keywords that suggest you are dealing with scammers:
- “no-risk” or “risk-free”– trading always involves risk, such an offer is scam.
- “guaranteed profits”– there is no such thing in the FX trading, the same or similar to this offer is scam.
- “bonus”– trading incentives were banned in EU and UK, if a broker offers you bonuses it’s either offshore or illegal.
- “bitcoin”– digital coin derivatives were banned by FCA, because of the extreme volatility and the inadequate Cryptoassets understanding by the retail consumers. EU still allows Crypto trading, but the leverage is capped at 1:2.
- “leverage”– the heightened leverage level is among the major marketing tools, used by the scammers, enabling them to sell dreams. It is mostly because a leverage cap was agreed in EU, UK and USA, but Australia still allows trading at 1:500. If you are risk tolerant go for Aussie Forex broker, ASIC created strict and safe financial environment, however, lagging a bit in terms of customer protection.
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!