Cointerio review – 5 things you should know about cointerio.io

Cointerio review – 5 things you should know about cointerio.io

Beware! Cointerio is an offshore broker! Your investment may be at risk.

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In this review, you’ll see a crypto broker presenting itself as the fastest growing cryptocurrency exchange in the world. They also promise to deliver industry-leading trading conditions, but as you’ll see, that’s not true. On the other hand, it’s a shady brokerage registered offshore, which further undermines their credibility. Find the rest of the details you need to know in the full Cointerio review.

Cointerio REGULATION AND SAFETY OF FUNDS

Cointerio is allegedly a brand name of Rushflake Design LLC, an entity incorporated in St. Vincent and the Grenadines. That’s certainly an issue because the Caribbean island is known as a poorly regulated, non-transparent offshore jurisdiction. In fact, we can’t even validate that there is such a company in existence, but that doesn’t make any difference whatsoever. The SVG financial regulator doesn’t even license or govern the Forex brokers operating there, making these entities risky to deal with. Your funds are not safe if you deposit with Cointerio because it’s unlicensed and unregulated.

Make sure to stay away and see the high-rated EU brokers and British brokers instead. Europe has created a safe regulatory environment where deposit insurance funds protect traders’ money in case of insolvency or fraud. For example, CySEC brokers’ clients can claim up to 20 000 EUR in compensation, while the British guarantees are up to 85 000 GBP per person. The European FX market offers high-grade security, so don’t hesitate if you are eligible to open an account with EU or UK regulated brokers.

Cointerio TRADING SOFTWARE

Cointerio’s trading software is web-based and quite primitive. Most of the MetaTrader basic features are missing, and the platform is generally challenging to use. Moreover, all the instruments are traded against cryptocurrencies, which is a major disadvantage and an alarming sign. The cryptocurrency pairs are proven to be prone to fraud and price manipulation, and the British regulator FCA even prohibited the crypto CFDs. Mind that you can’t trade EUR/USD or GBP/USD, which is evidence of a scam.

While we are talking about trading software, see the high-rated MetaTrader4 brokers and MetaTrader5 brokers on the lists. We recommend these because MetaTrader is the leading retail FX platform delivering sophisticated trading tools such as Expert Advisors, Algo Trading and many complex indicators. The platform also features a marketplace where you can find more than 10 000 apps you can benefit from.

As already explained, on Cointerio’s platform, the cryptos are traded against cryptos, so we don’t have some well-known pairs such as BTC/USD. Instead, Bitcoin is traded against USDT, another crypto with roughly the same value as the US dollar. The Buy/Sell difference is more than $500, which is at least 5 times worse than the industry standards- $100. The quotes difference, also known as spread, forms part of the trading costs, so lower rates present much better trading conditions. It turned out that Cointerio fraudulently claims to offer industry-leading trading conditions. Beware!

The maximum possible leverage is exceptionally risky- 1:40, but it applies if you deposit $100 000 or more. The default leverage is 1:10, which is an utterly dangerous level, too. Cryptocurrencies are extremely volatile, so ratios higher than 1:2 are considered inadequate for retail traders. In fact, due to the risks involved, many financial authorities implemented leverage regulations as a customer protection measure.

As a result, EU, British and Australian brokers are limited to 1:30 for FX majors and 1:2 for cryptocurrency pairs. In contrast, the Canadian brokers and the US brokers are not allowed to provide more than 1:50. Most of the high-leverage brokers are poorly regulated offshore businesses, so be cautious. 

Cointerio DEPOSIT/WITHDRAW METHODS AND FEES

The minimum deposit with Cointerio is $250, which is in line with the offshore brokers’ requirements, but more than twice higher than the regulated industry standards- $100 on average. The funding methods are allegedly Credit/Debit cards, Wire Transfers and Bitcoin. We’d like to turn your attention to the cryptocurrency deposits because these transfers are anonymous and non-refundable. In fact, you have absolutely no idea whom you are actually sending money to, so it’s almost impossible to get a refund if things go wrong.

Anyway, see some Skrill brokers, Neteller brokers, FasaPay brokers, Sofort brokers, and Bitcoin brokers if you have a preferred payment system. The high-rated brokers on the lists are strictly regulated, so you won’t come across scammers.

The minimum withdrawal amount is $10 for Credit/Debit cards and $30 for Wire Transfers. However, if you accept a bonus from Cointerio, the withdrawal provisions alter significantly. Upon the Bonus Acceptance Policy, clients need to trade 20 000 times the bonus amount in its leveraged value, whatever this should mean. The definition is pretty obscure and deliberately tangled to mislead customers. If traders want to take funds out but haven’t met the trading requirements, there will be a 20% deduction from the withdrawal amount. That’s a scam clause.

The withdrawal fees are equally obscure. Cointerio has two types of accounts- with Credit and with Profit, but they do not specify anything about the matter. Then they introduce a variety of fees depending on whether the account is with Credit or with Profit. Well, as they don’t clarify, the doors are left open for various interpretations, so they can charge you whenever they decided to do so. Anyway, the only withdrawal free of charge is for accounts without Credit and a transfer that’s less than $1000. All other withdrawals are subject to at least a $25 fee. Their fees policy is fishy and present evidence of a scam.

Next, we got on to the inactivity fees and the dormant account policy, which is totally unacceptable. After only 60 days of inactivity, the account becomes dormant and will be subject to either a 10% deduction, or $100 monthly, depending on which one is greater. Effectively, if you halt trading for a year, you’ll have to pay up to $1200 maintenance fees or say goodbye to your account balance. That’s a scam clause.

Cointerio is an unregulated business, and that’s enough for you to stay away.

HOW DOES THE SCAM WORK

The Forex scam is a popular type of fraud that’s rather distinctive because it’s effectively a process. In the usual scenario, the victim clicked on an ad, then received a phone call, and at some point got convinced to deposit money. To make people accept their fraudulent offers, scammers would present deals that sound too good to be true, bonuses, get-rich-quick schemes and so on. Their imagination is very rich, and they would invent as many stories as possible to get the deposits wanted.

But the money transfer is not an end; that’s the beginning of the actual Forex scam. Gradually, scammers would manipulate the victims and would urge them to invest more. For example, the con artists would not allow people to trade but would pretend to manage the account instead of the traders. They’d then falsify the trading results to show victims massive profits and ask for more money, promising to generate a fortune in no time. However, if the victim asks for a withdrawal, that won’t happen. Scammers would come up with a story that the unfortunate trader needs to deposit again if they’re going to pull money out. Those criminals won’t stop asking for more, whatever the situation.

In the worst case, the victim would believe in the scammers’ falsehood and deposit repeatedly. Sooner or later, though, the scam would become evident, and that would be a signal for the fraudsters to cut the communication and disappear. They would abandon the website and would create a new one, carrying on with their criminal activities.

WHAT TO DO WHEN SCAMMED

Unfortunately, no one is immune to scam. If you get scammed, the first thing you need to do is to protect yourself from further risk. Contact your bank and explain what happened to you so that they can give you instructions and 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, call the police. Seek help actively!

Remember, it’s crucial not to rush blindly trying to recover your funds because many scam chargeback agencies and individuals are trying to double scam the victims. They ask for upfront payment, take the money, but won’t do anything to help you!

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

Rich Snippet Data
Review Date
Reviewed Broker
Cointerio
Broker Rating
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