Beware! Fxcryptostock 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.
Fxcryptostock is trying to attract potential clients by promising an optimum trading service that delivers a big weekly profit. Some of the readers may find this attractive enough to risk their hard-earned money by joining this broker. However, the prudent ones will want to know more. Here are the facts.
Fxcryptostock Regulation and safety of funds
From the ‘About us’ section on the website, Fxcryptostock Ltd. claims to be a registered company for cryptocurrencies. However, in the Rules and Agreements document, we see the name of the company to be TradeMiller. As the address of the company appears to be in the UK, we check the register of the Financial Conduct Authority (FCA), the official regulator for forex brokers to see if the company is legit or not. From the image below, you can see for yourself that the company’s name does not appear in the FCA register. In addition to that, this broker offers trading in binary options as is visible in the second image of this review which is prohibited in the UK. This is sufficient proof that this broker operates without registration and the best course of action is to stay well away from this non-registered and non-licensed broker.
We must tell you that UK brokers are strictly regulated by the FCA and they must jump through various hoops to get their license. First of all, UK brokers must deposit an initial capital of 730,000 EUR or more. In addition to that, they must keep their clients’ funds segregated from their own with tier-1 bank establishments, provide negative balance protection, report transactions on a regular basis, etc. One of the perks in trading with UK brokers is that they must participate and deduct funds towards the local Financial Services Compensation Scheme from which in case of bankruptcy, the clients can get reimbursed up to 85,000 GBP per client.
Fxcryptostock Trading software
From the image below you can see that Fxcryptostock does not offer a trading platform per se. All it shows is a chart developed by the third-party TradingView displaying the fluctuation in price in a given time frame of one of the trading products. In the pink box above the chart, you can see that the leverage for cryptocurrencies offered by this broker is 1:10 which is very high. Regulated brokers in the UK are required to keep a cap on leverage for cryptocurrencies that cannot exceed 1:2. High leverage increases the exposure to risk for clients’ funds and the scope of financial loss they may suffer in case of unsuccessful transactions is amplified by the high leverage. Another proof why you shouldn’t trade with this broker.
We strongly advise you to select a legit broker that would offer you good quality trading software that has the ability to enhance clients’ trading experience, such as the MetaTrader 4 or MetaTrader 5 trading platforms. Both platforms are top-ranking in forex trade thanks to the excellent package of trading tools and instruments they offer, such as the auto trading option, code base with customs scripts, trading signals, VPS, an app market, a financial calendar, etc. We should also mention the variety of charting options that contain many charts, time frames, colours and even the option of creating customised templates. When combined with the array of technical analysis indicators, they help traders predict the future direction of exchange rates and make a profit.
Fxcryptostock Deposit/Withdrawal methods and fees
From the image below it is visible that Fxcryptostock offers 4 different trading accounts – Mini, Silver, Gold and Platinum. The minimum initial deposit for the Mini account is $500. The other accounts start at $1,000, $5,000 and $20,000 respectively. The broker claims that it delivers a profit of up to 18% of invested funds every week. Now you understand why there is no trading platform. You just need to deposit money and watch your funds grow. Or, this is what Fxcryptostock wants you to believe. Such profit as promised by this broker is not realistic and is a mousetrap the scammer is waiting for you to fall in.
All deposit methods are in Bitcoin and other cryptocurrencies. We want you to read carefully the last section of this review to understand why deposit methods only in cryptocurrencies are not good for you.
The withdrawal methods are the same with the addition of a bank transfer.
How does scam work?
A lot of people get scammed every day, not because they are naive or stupid, but because scammers are inventive and they are masters of manipulation. Often, as you scroll up and down on the Internet or social media, you come across ads for a quick and easy profit which sometimes sound too tempting not to fall into their traps. So you deposit some money into the account and what happens next is the incessant calls of the scammers. First, they congratulate you for taking the first steps towards becoming rich and next, they try to convince you to invest even more money into their ‘profitable’ business. What you probably don’t know is that your money has just gone as a commission to some scammers. And so, you wait and build the sandcastles of your dreams for a better and ‘richer’ future. And you wait, and you wait, for the money to come. But where is it? Now is your turn to call the scammers and to ask what’s going on. They try to placate you and ask you to be more patient. But have had enough and all you want is to get your money back. The scammers kind of promise, but now they are asking you to provide this document or fill out that form, etc., etc., all done in an attempt to delay you from filing for a chargeback.
What to do if scammed?
If this happens to you, our advice is to act immediately and if you have paid your deposit via credit/debit card, to file for chargeback which is retroactive cancellation and refund of your previous transaction. Visa and MasterCard give you 540 days time limit to file for chargeback which gives you a fighting chance to recover your money.
However, if you have used bitcoin or bank wire for your payment, the chances of you recovering your money are really slim.
Whatever you do to recover your funds, beware of the so-called recovery agents. Please make sure that you are dealing with a genuine one by checking their credentials and company’s information transparency. Otherwise, you may fall victim to another form of scam.
Cancelling your credit/debit card in case you have given the scammers your CVV code may be another good idea. Also, make sure to remove from your PC any software that my give scammers access to your private data stored on your computer.