Capital Crypto Reserve review – 5 things you should know about capitalcryptoreserve.com

Capital Crypto Reserve review – 5 things you should know about capitalcryptoreserve.com

Rating: 1

Beware! Capital Crypto Reserve is an offshore broker! Your investment may be at risk.

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Capital Crypto Reserve presents itself as a “world-renowned financial services provider”, but we have learned to be skeptical of such claims. This skepticism has proven to be fully justified because fact checking reveals that this is not a true financial services provider, let alone a world-renowned one. Capital Crypto Reserve is actually a scam, following a well-known scheme. Let’s see exactly why it is in your best interest to stay away from this fishy website.

CAPITAL CRYPTO RESERVE REGULATION AND SAFETY OF FUNDS

The Capital Crypto Reserve website looks very busy, but is actually missing basic information – most notably, the name of the company that owns and operates this alleged broker. Even the Terms and Conditions and the other legal documentation do not mention the name of the actual legal entity, only the brand. That in itself is a big enough red flag that we’re dealing with fraudsters.

The website and the Terms and Conditions claim that the unnamed company is based in Brussels, Belgium.

But among the clauses of the Terms and Conditions we see the contradictory statement that the governing laws are those of Estonia.

Both countries are members of the EU and apply strict regulations on financial services providers. There is no way that an anonymous website can offer brokerage services in these countries. We do not find anything about Capital Crypto Reserve in the databases of the Belgian Financial Services and Markets Authority and the Estonian Financial Supervision Authority.

We have actually seen the exact same claims and the exact same Terms and Conditions many times. Metavestment and TCNMarket are just two of the more recent examples of scam websites using the same fake addresses and legal documentation.

Under no circumstances should you trust your money to such anonymous websites full of false and contradictory information. Instead, you can turn to one of the many companies that really work under the supervision of respected regulatory bodies like Cyprus Securities and Exchange Commission (CySEC) or Financial Conduct Authority (FCA) in the UK. As their customer you will enjoy a number of guarantees including negative balance protection and guarantee for your funds if the broker goes bankrupt, which goes up to EUR 20,000 in EU and 85,000 GBP in the UK. Regulations in the UK and EU include some important measures designed to improve investor protection and promote market integrity and transparency, such as transaction reporting. Regulated brokers are also required to segregate their operational funds from the client’s money.

CAPITAL CRYPTO RESERVE TRADING SOFTWARE

Capital Crypto Reserve promises a solid trading platform – the industry-standard MetaTrader 4 (MT4). But after signing up for an account, we were only given access to a rudimentary web-based platform that doesn’t even have full functionality for placing pending orders, let alone advanced features like those available in MetaTrader.

But even if Capital Crypto Reserve had a more convincing platform, that would not make this website credible. Fake brokers use trading software to mislead their victims that their money is really being invested. But this trade is entirely sham. There are more than enough licensed brokers offering clients the MT4 experience and/or the newer version of the software MT5. These platforms have established themselves as industry standard because they offer a wide range of features, including a variety of options for customization, multiple account usage, designing and implementing custom scripts for automated trading and backtesting trade strategies.

CAPITAL CRYPTO RESERVE TRADING CONDITIONS

Capital Crypto Reserve claims to offer five types of trading accounts – Basic, Silver, Gold, Platinum and Diamond. But the website does not provide any information about the basic trading parameters like spread, leverage, order execution method. Only a minimum deposit starting from 250 USD is mentioned. But you should be aware that for a lower amount you could open a starter account with a genuine, licensed broker.

In the trading platform we see a low spread of 0.7 pips, but this means nothing with a fake broker that does not have a license and proper trading software.

As further proof that this could not be a real broker operating in the EU, Capital Crypto Reserve claims to offer a variety of bonuses. Regulated brokers are prohibited from using bonuses and promotions to attract clients. Scammers often use supposedly generous bonuses to bind their victims to detrimental terms. This is also the case with Capital Crypto Reserve.

CAPITAL CRYPTO RESERVE DEPOSIT/WITHDRAW METHODS AND FEES

On the homepage of the website we can see logos of popular payment methods such as WebMoney, QIWI , YandexMoney and AstroPay . The Terms and Conditions, on the other hand, start with the strange disclaimer that Capital Crypto Reserve does not accept Western Union and MoneyGram, and then only wire transfer and credit cards are mentioned. But we were unable to determine what payment methods the Capital Crypto Reserve actually uses because the deposit menu was not active.

Scammers of this type often advertise conventional payment methods, but actually use shady providers and cryptocurrencies. This allows them to remain anonymous and does not provide a refund or chargeback option.

Capital Crypto Reserve states that the minimum withdrawal amount is 100 USD by wire transfer and 50 USD by other methods. We find different claims of the withdrawal fee amount in the documentation and the FAQ section – 0.5% and 3.5%, but in both cases no less than 30 USD. This is disadvantageous to say the least, especially considering that most real brokers do not charge transaction fees.

But the terms of Capital Crypto Reserve make withdrawal very difficult if not impossible. If the account has received a bonus, any withdrawal is conditional on meeting minimum traded volume requirements. These requirements are very high and confusingly described. According to the example given, a bonus of only 100 USD requires trading 10 standard lots, or 1,000,000 currency units.

HOW DOES THE SCAM WORK

Fake brokers are a type of scam that has spread especially rapidly in recent years, aided by the excitement surrounding cryptocurrencies. People looking for ways to make money online can very easily come across one of the many scam websites of this type. Scammers are very skilled at convincing people to invest – first small amounts of a few hundred dollars, and then larger sums of money. Some of the scam schemes are quite elaborate and even use trading software to convince victims that their money is actually being invested and even racking up profits.

But when you ask to withdraw those winnings, or even your deposit, you’ll find it’s impossible – you’ll be told that a sudden change in the market has wiped out all your money, or that you have to meet impossible minimum trading volume requirements and pay huge fees and commissions hidden in the terms and conditions. Fraudsters can also simply disappear because they use fake names and offshore shell companies for their operations.

WHAT TO DO WHEN SCAMMED

If you find yourself scammed, the first thing you should do is notify the financial authorities in your country about the scammers’ activities, and spread the word online to warn other potential victims.

Your options for getting your money back are limited. If credit or debit cards were used for the transactions to the scammers, you have the option to request a chargeback. Companies like Visa and MasterCard now allow such requests to be made up to 540 days after the transaction. But keep in mind that if you have provided proof of your identity to the fraudsters, they may dispute that the transaction was voluntary. In addition, fraudsters typically use cryptocurrencies and shady e-wallets that do not allow refunds.

Victims of scams are often targeted by another type of online fraudsters who promise that their money can be refunded for an upfront fee. Under no circumstances should you trust such offers.

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4 Comments

  1. Suspect email from a [email protected]alcryptoreserve.com
    has been calling with different caller IDs saying he has been using Rogers towers for local Canadian calls instead of international to avoid high call fees (baloney)

  2. To let everyone know .Capital Crypto Reserve is stating they ve been closed down by the regulatory body and must refund all clients funds. So on my 250$ investment which was Canadian so converted to US funds was 191$ in 3 weeks has generated over 13k$ in profit.And they contacted me so as to refund my 250$ Canada in plus the profit. For this they ask many personal questions and access to ones bank account etc. Just wanted others to know.

    1. Not sure what your saying? They made you 13k ? did u get your $250? Peter is a scammer loser fraudster

  3. There losers that spend hours doing this and are going to spend a long time in jail

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