Beware! SkyCryptoFX 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.
The sheer amount of brokers that have used the word “crypto” in their title is innumerable, and what’s more is that most of these firms turned out to be scams and complete wastes of time. Well, we present to you yet another one -SkyCryptoFX. This broker seems to have all the similitude of yet another unregulated firm, yet we may be in the wrong here. For one, the website possesses a certain attitude that we rarely see with unregulated firms. Read the review to discover if this broker should be trusted.
The registration process was incredibly easy and fast to complete, we even did not have to provide any ID documents to verify our account. The user area revealed 2 third party charts that SkyCryptoFX pushes as its trading software. This was the first sign for us that the broker is definitely not legitimate. These charts are in no way any sort of trading platforms., They do not allow for any trading, and they are not owned by the broker, and neither are the servers from which they operate. Thus, it seems, SkyCryptoFX has no trading platform. So, none of the spreads leverages, or trading assets are applicable to SkyCryptoFX.
Furthermore, the user dashboard has the option to mine bitcoin, and this it seems is the main feature of this company. Yet, the process seems very suspicious and is probably a one-way ticket to being scammed.
The website uses Google to translate to provide more than 20 languages. This is a clear sign that SkyCryptoFX has not taken things seriously.
SKYCRYPTOFX REGULATION AND SAFETY OF FUNDS
The footer very boldly claims that the company is regulated by the International Financial Services Commission in Belize. We had to check with the online database of the agency in order to make sure that it was, for we really were anticipating a regulation. However, the commission’s registry of licensed entities had no mention of a SkyCryptoFX. So, the broker is in fact not regulated there.
The broker also reveals that it has subsidiaries in Poland, the UK, and Spain. SkyCryptoFX allegedly holds licenses from the respective FX regulators in each one of these nations. Seeing, that it was not regulated in Belize, we have no reason to trust SkyCryptoFX with this deceiving information.
The legal documents were unavailable, even though they seemed to be. And so there are no legal docs to keep the broker at bay.
At the end of the day, SkyCryptoFX is yet another UNREGULATED broker. SkyCryptoFX is probably a scam, and is a definite risk to all investments!
There is no reason at all to invest in an unregulated broker. The best advice there is, concerning the choice of a broker, is to always check for a license. If the broker has an FCA and CySEC license you are off to possibly the best start, as these are some of the top regulators in the industry. Usually, legitimate FX overseers integrate a set of rules to each of its listed brokers. Brokers form an agreement with them to follow very strict guidelines. Furthermore, some agencies, like the FCA or CySEC, have compensation schemes that reimburse clients whose brokers have become insolvent. As you can see, a regulated broker benefits not only the brokerage itself but the traders as well.
SKYCRYPTOFX DEPOSIT/WITHDRAW METHODS AND FEES
The user dashboard reveals a minimum deposit requirement of, well we don’t know. All the payment methods are based on cryptocurrencies, making them a very risky endeavor. Seeing that the methods for depositing are based on crypto, there is no real limitation on how much one can deposit.
Why would anyone deposit in SkyCryptoFX is a question beyond our understanding. Only financial loss and frustration awaits anyone who funds an account with SkyCryptoFX!
How does the scam work?
If things feel uneasy or suspicious, then you are probably being scammed. Most fraudsters adapt the same scam structure, however, they might add their own little nuances. The point is, that if you think you are in a scam, then you probably are!
The first step is the online ads. These annoying pop-ups or side distractors are the essence of scammer brokers. It’s through them that the user is lured into the fake broker website. The link of the ad leads to a website or a registration form. Both require the user to write down his or her personal details, like email and telephone number. Do not give these away. The scammers will contact you if you give these details away, and will sooner or later try to charm his/her way into your wallet, by asking you to deposit.
After a deposit is made, and hopefully, it isn’t, then the first step of the same is complete. The following step concerns the account manager, a.k.a the advanced scammers. These individuals are charming convincers, and if they succeed, it means that you have deposited a second time. This can go as long as the user keeps depositing. When suspicious arises, one of these things will probably happen: the broker will delete the account of the user without a reason; the broker will not allow for withdrawals, or the broker will keep finding ways to stall withdrawals.
What to do if scammed?
Filing for a chargeback is the best advice. VISA and MasterCard have prolonged their chargeback time span to 540 days.
If the deposit is made through wire transfer, then change your user name and password as soon as possible. Another step is to contact the bak as they might have a specialized procedure for such cases.
Another crucial piece of advice: NEVER deposit in unregulated brokers through bitcoin or any other form of cryptocurrency. These payment methods are untraceable, meaning that once a deposit is made, it cannot be traced. The money is lost.
Last but not least. recovery agencies are definitely a scam. These programs, or whatever they call themselves, offer help for defrauded users…for a price. Once the fee/tax is collected, these agents disappear, leaving you at a bigger loss.