Beware! SpaceMarket 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.
We are reviewing SpaceMarket, an offshore broker which makes a good first impression. The website is sleek, pretty informative, and it could actually be a pleasure to browse through. They claim to deliver cutting-edge software, ensure funds security and provide their clients with the best services only. However, the truth is precisely the opposite. This is a scam scheme, and we are going to show you why in the full SpaceMarket review.
SpaceMarket REGULATION AND SAFETY OF FUNDS
SpaceMarket is a brand of Widdershins Group LTD, a company that’s allegedly registered in the Commonwealth of Dominica. Well, this itself is a problem because the Caribbean island is known as a non-transparent tax heaven, which poorly regulates its financial sector. The local authority doesn’t even license or in any way control the Forex brokers operating there, so clients would be vulnerable if they deposit with Dominican brokers.
Worse though, Widdershins Group LTD is already exposed as a scam scheme by the Italian financial authority CONSOB, which issued a warning against them. We are familiar with this business for other brands of theirs we already reviewed- InvestBoost, TopTrade.group, Finlay.io and 24FinTime. Therefore, your funds are in danger if you deposit with SpaceMarket because it’s an offshore broker run by scammers.
Avoid them and you’d better consider the high-rated EU brokers and British brokers on both lists, instead. Those companies are well-regulated and participate in the European deposit insurance funds protecting clients’ money in case of insolvency or fraud. If you choose a Cyprus regulated broker, you can claim up to 20 000 EUR while the guarantees in Britain are even up to 85 000 GBP. Unregulated businesses can’t offer any protection and would most likely scam you, so make sure to stay away from such entities.
SpaceMarket TRADING SOFTWARE
SpaceMarket provides with web-based trading software, which is quite primitive when compared to MetaTrader, for example. It lacks functionality, there aren’t many indicators, and the charting tools are inferior. Worse though, the EUR/USD spread is 3 pips fixed, which is no longer a competitive Buy/Sell difference. Big spreads make trading costlier and significantly reduce profit potential, so clients need to look for tighter difference. Most of the regulated brokers are offering 1 pip and below, and it’s not challenging to find better opportunities.
To help you do so, we can offer the high-rated MetaTrader4 brokers and MetaTrader5 brokers on both lists, which deliver the best trading software available at the moment. MetaTrader comes with advanced features such as Expert Advisors, complex indicators and excellent charting tools included. MT clients can also benefit from the marketplace with more than 10 000 apps, which can be successfully implemented in the trading strategies.
The maximum leverage is said to be 1:300, which is a pretty dangerous level that can inflict severe losses if not cautiously used. However, the default ratio is 1:100 and traders are not allowed to change it, which means that SpaceMarket intentionally pushes traders into a risky trading environment. That’s evidence of a scam.
In fact, leverage is so dangerous that many financial authorities enforced regulations to reduce leverage-related losses. As a result, EU, British and Australian brokers have to limit their clients to 1:30 for FX majors, while the Canadian brokers and the US brokers can’t offer more than 1:50. Most of the high-leverage FX companies are poorly regulated and very likely a scam, so be cautious.
SpaceMarket DEPOSIT/WITHDRAW METHODS AND FEES
The minimum deposit with SpaceMarket is said to be $250, which is twice more than the regulated brokers’ requirements on average. Still, while we were testing their deposit system, it turned out that traders can start real trading with as little as $50. Well, we wouldn’t deposit even a dollar with this scam, and you’d better do the same.
Traders can deposit via Credit/Debit cards only, which is seen as the safest funding method because clients can dispute transactions and eventually get a refund. Anyway, while talking about deposits, see the high-rated Skrill brokers, Neteller brokers, FasaPay brokers, Sofort brokers, and Bitcoin brokers on the lists if you have trusted payment systems. The companies topping the lists are strictly regulated, and you wouldn’t come across scammers.
Minimum withdrawal requirements are not specified, nor fees. However, the broker claims that charges incur and include a scam clause in the Terms and Conditions, forcing clients to sign they won’t chargeback when they see the sum withheld. For more information, have a look at the screenshot at the bottom of this section.
However, withdrawal conditions would alter if traders accept incentives. When they get a bonus, a minimum trading volume of 25 times the bonus plus the deposit should be reached by them to become eligible for withdrawal. This requirement effectively locks the account, and clients won’t be able to take any sum out of the account. That’s a scam clause.
There aren’t inactive account provisions, which is a red flag itself. Each respectable broker should determine their dormant account policy and inactivity fees, which once again confirms that SpaceMarket is nothing else than a fishy enterprise.
Overall, SpaceMarket is a broker operated by scammers, so you should avoid it. Make sure to report immediately to the authorities if they approach you.
HOW DOES THE SCAM WORK
Internet is plagued by fraudulent ads and deceitful social media profiles, promising get-rich-quick schemes, and it’s tempting to at least have a look.
If you click on and submit your e-mail and contact numbers, scammers would ring you immediately. Those people are seasoned manipulators and would continuously try to entice you into their crooked games while having a conversation over the phone. You’d be offered bonuses, promotions, risk-free offers, bitcoin deals and anything else you could possibly imagine. Scammers would claim to work with highly reputable businesses, banks, governments and so on while pushing you to start investing with them. At the same time, they’d try to get close, pretend to form a friendship and eventually may even become aggressive.
Nevertheless, the first deposit is just the beginning. Gradually scammers would carry on asking for more money from you no matter what. If you lost on the market, they’d persuade you to put more money and recover the losses. If you traded well, they’d convince you to put more money and increase the profits. The troubles start when you ask for a withdrawal. The scammers would do anything to discourage you and would even ask you to deposit even more funds if you want to withdraw. The scammers’ mantra is “give me your money”, they’d demand from you to fund your account over and over again for no obvious reason. Urgency is a treacherous sign, so if you receive a call and someone starts pushing you to begin investing ASAP, that’s very likely a scam, and you should remain suspicious.
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. Deactivate your card immediately, contact your bank and ask for advice.
Report what happened to you, file a complaint, contact the financial regulator, contact other government institutions related to trading and investing, call the police if you feel necessary. 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!