Cash FX Group review – 5 things you should know about cashfxgroup.com

Cash FX Group review – 5 things you should know about cashfxgroup.com

Beware! Cash FX Group is an offshore broker! Your investment may be at risk.

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Cash FX Group is a Forex broker like no other. It’s a legit enterprise, but offshore one, which doesn’t care about the safety of the traders’ funds. At the same time, they are blacklisted in Europe, which is the final proof that a particular broker is fraudulent and should be avoided. They pretend to offer Forex products and services, but at the same time, you are not allowed to register unless you take part in their MLM schemes. Cash FX Group offers educational services included in the Investment packs, 17 trading plans and generous bonuses, but at the same time shave off the withdrawals of the traders with at least 20% in fees. They also sell EAs and Artificial Intelligence trading solutions that are supposedly developed by them.

Cash FX Group has a nice website though, but it’s the single positive comment that we will make. Find out why in the full Cash FX Group review.

Cash FX Group REGULATION AND SAFETY OF FUNDS

Cash FX Group is a broker that originates in Panama- an offshore jurisdiction that poorly regulates its financial sector. Panama Papers was a disastrous scandal that shook the world back in 2016, and it made the headlines throughout the year. After the supreme failure, the Central American country allegedly took some steps to improve. Still, we can see that they have barely progressed since they allow a legit Panama company to run dubious schemes that might possibly be a fraud. There is a minimum capital requirement of $150 000 if a broker wants to operate from the country, but the lack of other customer protection measures is striking.

Warning! Cash FX Group is as clear as mud, and we advise that you should stay away! FCA-the British financial authority agrees, and they published an official warning, confirming that Cash FX Group is a broker to avoid.

Your funds are in danger if you make a deposit with Cash FX Group because it’s low-regulated blacklisted Forex broker, notwithstanding it’s a legit business in Panama!

The best choice for a trader is either a CySEC regulated (EU) or FCA regulated (UK) broker, which are not surprisingly the leading companies in the retail Forex industry. The customer protection is placed on top of their priority list, not because they want to, but because they have to. In these domains, the Forex brokers have to comply with many strict rules and regulations, such as minimum capital requirements of 730 000 EUR, personnel qualification standards, segregation of the clients’ accounts etc. But most importantly, there are money protection schemes in operation, such as ICF in Cyprus and FSCS in the UK, which guarantee the deposits of the traders. Under CySEC(Cyprus) supervision, you can claim up to 20 000 EUR in compensation per client, while in the UK under FCA you are guaranteed 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.

Cash FX Group TRADING SOFTWARE

MetaTrader4 and MetaTrader5 accounts are not available for trading with Cash FX Group. Metatrader is the leading Forex trading platform worldwide and features sophisticated tools such as Expert Advisors, Algo Trading, Complex Indicators, its own programming language- MQL and even a marketplace. We recommend that the trader should look for legit MT brokers because of the vast trading resources accessible.

Warning! We couldn’t access any platform of theirs because a sign up was impossible for us. Have a look!

Warning! No demo trading available! It’s a must for a broker to provide the clients with a virtual money practice account before they start trading with real money. And it’s a must for the trader to test the broker first!

No information about spreads and leverage levels at disposal! They didn’t even elaborate to set out the two fundamental trading components for the traders. The spread is the price to execute a trade, and by reason, the lower the spread, the bigger the profit potential.

The leverage is a powerful financial tool that allows the traders to amplify the profits but comes at a cost as the risk escalates. EU, UK and Australia (coming into effect from the spring of 2021) forced a leverage cap of 1:30 as a customer protection measure. The USA imposed a maximum allowed ratio of 1:50 for the American brokers. We recommend that the traders should stop looking for brokers offering higher ratios because they might quickly end up being scammed. Not to mention that scammers are taking advantage of it and build their marketing strategy on the increased leverage levels such as 1:500 or 1:1000.

Cash FX Group DEPOSIT/WITHDRAW METHODS AND FEES

No comprehensive information about minimum deposit requirements or funding methods available. The website and the Terms document is entirely dedicated to the MLM scheme that Cash FX Group operates. We assume that the minimum initial deposit is 300 USD with their Elemental Academy pack. $90 from the $300 deposited is a sort of educational fee, so the trader is left with $210 at disposal for trading!

The single funding method available is Bitcoin and that’s a red flag because a chargeback is impossible if you make a Cryptocurrency deposit! Common payment systems, such as Credit/Debit cards, Wire Transfers, Skrill or Neteller, are not available for deposits.

The withdrawal policy is an utterly despicable one! No minimum withdrawal amount specified, but each withdrawal will be subject to a withdrawal fee of 20%. It’s a shocking clause, but they state that the fees are transferred to some bonus funds pool that’s available for trading when you take part in their promotional schemes.  Shonky business whatsoever! The regulated brokers process the withdrawal requests quickly and do not collect fees, so you should trade with them and forget about roguish entities as Cash FX Group.

No dormant account policy found. It’s a policy that comprises of rules and conditions that determine how the brokers handle the accounts that have become inactive- no login or trading. The regulated companies will charge a fee of no more than 5 to 10 dollars per month at most.

There is an abundance of bonuses offered such as a Trading Pool, Fast Start Bonus, Uni-level Bonus, Forced Matrix Bonus etc. In fact, the business of Cash FX Group is bonus-based, but we are not going into details, because it’s a warning sign itself! The standard bonuses awarded by the brokers are not free money but a leverage tool that further increases the risk. In this case, however, the bonuses are elements of a winding MLM scheme that you should never get involved in. We’ll remind to our readers- Cash FX Group is an FCA blacklisted Forex broker!

Warning! If you don’t want to participate any more, you will not be able to take more than 70% of your funds. In fact, after all the fees that apply, you will barely get anything back!

HOW DOES THE SCAM WORK

The scammers and the offshore brokers are crazy about bonuses and promotions. Everyone loves gifts and candies, and the scammers are taking advantage of in their attempts to lure the people! It’s a warning sign that many traders are searching for brokers that offer bonuses or promotions because they might end-up trading with scammers. EU and UK disallowed the regulated brokers to offer trading incentives, because of the risks involved. At the same time, the scam brokers went in love with the bonuses, as they saw a unique opportunity to rip off the clients more efficiently, especially if the trading incentives are combined with increased leverage such as 1:500.

The bonuses are not free money, but a leverage tool that significantly increases the risks for the traders. The sham brokers, however, will not explain this to the clients but will let them believe that they’ve hit the jackpot. Precisely the opposite is true though because the trading incentives entirely benefit the brokers, not the traders. Moreover, the scammers will not miss the chance to introduce additional provisions and requirements that are way too challenging to meet and often block the funds in the account, making it impossible for the traders to make a withdrawal.

WHAT TO DO WHEN SCAMMED

No one is immune to scam, and anyone can fall into the trap. Scammers are always 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 necessary 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!

It’s essential not to rush blindly trying to recover your funds because many scam recovery agencies and individuals are stalking, aiming to double scam the victims. These will most likely ask for an advanced payment, but will do nothing to help you recover your losses!

Share online your experience; it’s important to protect others, as well. Be responsible!

Rich Snippet Data
Review Date
Reviewed Broker
Cash FX Group
Broker Rating
11stargraygraygraygray

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