Beware! KeyTrending 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.
KeyTrending states that its first-class execution services for private and institutional clients at very tight spreads across several asset classes and more than 100 instruments set the brokerage apart from the competition. You can whether that’s true or not in the full KeyTrending review.
KeyTrending REGULATION AND SAFETY OF FUNDS
KeyTrending is not regulated. It’s registered in St. Vincent and the Grenadines– a country where the local financial authority SVGFSA doesn’t monitor or in any way control Forex brokers. So, all SVG brokers are risky to deal with as they are unaccountable and, as such, can do anything with your money, bearing no consequences for their actions whatsoever. Your funds will be at risk if you deposit with KeyTrending.
However, the absence of regulation isn’t the only disadvantage worth being discussed. St. Vincent and the Grenadines is a shady tax haven allowing the creation of shell companies with hidden ownership, so KeyTrending is not only unaccountable but anonymous, too. So, once you deposit with the broker, your money will be held by people who don’t reveal their true identity that get away with it if they steal your money.
Another thing to note is that whenever a deposit goes offshore, it simply gets off the radar. The SVG companies are not required to grant access to their accounts, so no one knows what really happens with the clients’ funds. If the brokerage transfers the money to another offshore account, it’ll simply disappear without a trace.
That’s why we recommend CySEC (Cyprus) and FCA (Britain) licensed brokers instead of unregulated offshore ones. Companies holding European licenses should keep deposits segregated, which guarantees that clients won’t lose their money in case of insolvency. The segregation improves transparency, speeds withdrawals up, makes chargebacks easier and helps prevent fraud. On top of all that, European companies are covered by deposit insurance funds laid down to reimburse clients in case of unforeseen events- CySEC brokers’ clients can get up to €20 000 in compensation, while the British guarantees are even up to £85 000.
Now, see the latest SVGFSA regulatory alert:
KeyTrending TRADING SOFTWARE
KeyTrending promises first-class services, but it can’t even maintain a website properly. As you can see from the screenshot at the end of this section, the Webtrader is just broken, so we can’t even confirm that the broker has a platform at all. Moreover, we couldn’t register as the link to the registration page led to Home. Such failures present substantial evidence of a scam as the so-called brokerage is seemingly a website that scammers haven’t fully developed yet. It’s worth noting that most of the fraudulent schemes are run by boiler rooms operating hundreds of websites simultaneously, so beware!
So, we can neither show your real-time spreads and trading costs, not leverage levels. Nevertheless, KeyTrending claims to offer up to 1:400 leverage– a risky ratio that’s actually prohibited in too many countries as most of the trustworthy regulators impose restrictions to reduce leverage-inflicted losses. For example, the EU, UK and Australia capped it to 1:30, while the US to 1:50, meaning that KeyTrending shouldn’t operate in any of these countries.
KeyTrending DEPOSIT/WITHDRAW METHODS AND FEES
The minimum deposit is $250, which is more than twice the legit brokers ask on average to provide their services- $100. Still, too many companies accept clients for as little as $5, so it’s anyway worthless dealing with a suspected scam that most probably can’t provide any services whatsoever.
The funding methods are allegedly Credit/Debit cards, Wire Transfers and some e-wallets, but we can’t prove this either. Still, regardless of the broker, bank card funding is considered the safest option as it allows chargebacks for up to 540 days after the transaction.
The minimum withdrawal is allegedly $50 free of charge, but the conditions will worsen if clients accept trading incentives: a minimum trading volume of a quarter of the bonus in terms of lots should be executed for 60 days. In other words, for $200 inserted into your account, you should trade 50 lots (5 million USD in turnover) to become eligible for withdrawal. If you can’t meet the requirement for 60 days, the bonus and the profits generated will be taken out of your account- the trading incentives favour the broker only! Here is the clause:
HOW DOES THE SCAM WORK
KeyTrending is an unregulated offshore brokerage we suspect to be fraudulent. That’s why we’ll now describe how scammers usually work while taking their victims for a ride.
When fraudsters get hold of your contact numbers, you’ll be approached immediately, promised the moon and the stars to make you begin investing. To gain trust, those criminals usually pretend to work for governments, financial authorities, banks, reputable companies etc. Scammers will be confident in what they are saying, and if you don’t recognise the warning signs, you may end up depositing. However, just then, the Forex fraud actually begins. Once they have the desired deposit, the cons will distort prices and forge fake reports to make you believe you are on the winning side, manipulating you to start thinking big and consider more deposits.
Then, the fraudsters will gradually ask you to increase the size of the investment and invent stories to make you deposits again and again. Sooner or later, though, you’ll get determined to withdraw some money, and then scammers will ask you to deposit again because, according to their words, there are taxes and fees that you should pay. At this point, you’ll probably realise something wrong is happening, and when the scam becomes too apparent, the fraudsters will simply cut the communication and disappear. Later, the whole website will be brought down, replaced with a new one so that the scammers can carry on with their criminal activities.
WHAT TO DO WHEN SCAMMED
It would be best if you first call your bank to inform it and deactivate your card to avoid getting exposed to additional risks, as the scammers may as well have obtained your details.
Then, call the police, inform the financial authorities, file complaints and don’t forget to spread the word online so that other people can find out about the fraudulent scheme. Still, it’s crucial not to rush trying to reclaim your funds as numerous scams are disguised as chargeback agencies set up to double-scam victims.
Finally, we know it’s an awful experience to get scammed, but please share your story to help protect others!