ICMTFX review – 5 things you should know about daclandcapital.com

ICMTFX review – 5 things you should know about daclandcapital.com

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

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From the outset, ICMTFX gives us many reasons to doubt that it really is what it claims – “a globally recognised retail and institutional brokerage formed by traders for traders”. First the browser warns us that the website lacks the necessary security certificates. Then we see the strange discrepancy between the domain and the brand of this supposed forex broker. We have, in fact, encountered several scam websites using suspiciously similar domains to daclandcapital.com – for example, daclandex.com and daclandfx.com.

But ICMTFX provides ample clues that it is not a legitimate financial services provider, even if you have not encountered the other websites in the series, behind which no doubt are the same fraudsters. Let’s take a look at how you can identify this scam.

ICMTFX REGULATION AND SAFETY OF FUNDS

While stating that “transparency and security are key values”, this website gives absolutely no indication of where the ICMTFX Limited company that presumably owns and operates it is based. There is no address and the only method of contact is email.

ICMTFX does not provide Terms and Conditions or any other legal documentation, which is completely unacceptable for a legitimate broker. So we have no idea who is really behind this website and what are the terms and conditions of the services it claims to offer. We can only be sure of one thing – that the III is not a licensed and regulated broker.

You should only trust legitimate brokers operating in one of the established financial centres like the UK, EU, USA or Australia. There, the activities of brokers are controlled by powerful regulatory bodies such as UK’s Financial Conduct Authority (FCA), Cyprus Securities and Exchange Commission (CySEC), Commodity Futures Trading Commission (CFTC) in US or Australian Securities and Exchanges Commission (ASIC). Clients of these brokers receive protections such as negative balance protection and segregation of the client’s funds from the broker’s funds.

In the EU and the UK, brokers must also participate in guarantee schemes that cover a certain amount of the trader’s investment if the broker becomes insolvent. These guarantees amount to up to 20 000 EUR in the EU and 85 000 GBP in the UK. However, the likelihood of such a bankruptcy is low because regulators also have significant net capital requirements that companies must maintain – EUR 730 000 in UK and Cyprus, AUD 1000 000 in Australia and at least 20 million USD in the United States.

ICMTFX TRADING SOFTWARE

AI claims to offer “one of the most popular platforms in the world” – MetaTrader 5 (MT5). The part about MT5’s popularity is true – it’s the most widely used trading software currently. But ICMTFX doesn’t offer it. The links to download the software lead to the website of the platform’s developer, MetaQuotes, not to an installation file for a configured version of MT5 that a broker should have. ICMTFX also does not provide credentials to log into a trading server.

We could not confirm whether account registration provides access to this or other trading software. After completing the account registration form, we received a message that our application should be approved depending on the completed questionnaire and attached documents. But the registration process does not include a questionnaire or attaching documents. So it is not clear what criteria ICMTFX uses to approve an account.

In any case, it would be a wiser choice to use the services of one of the many licensed brokers who offer MT5 or the still very popular MT4. These platforms have established themselves as leaders because they offer a wide range of features, including a wide variety of options for customization, multiple account usage, designing and implementing custom scripts for automated trading and backtesting trade strategies.

ICMTFX TRADING CONDITIONS

ICMTFX claims to offer trading in forex, stocks, commodities and other assets through two types of trading accounts, Standard and Pro. The promised cost of trading is low – spreads starting at 1.1 pips. But ICMTFX has neither the legal authorization nor the software that are necessary to offer such services. We have no reason to believe that ICMTFX offers any real trade.

According to the account descriptions, ICMTFXoffers leverage up to 1:400 for currency pairs and 1:200 for indices and commodities. Regulated brokers do not offer such levels to retail traders as trading with high leverage carries risks of sudden and excessive losses.

The European Securities and Markets Authority (ESMA) and accordingly all EU regulators limit leverage to 1:30 for major currency pairs, 1:20 for non-major pairs, gold and major indices, 1:10 for other commodities and non-major indices. The same rules are followed by FCA and ASIC. In the USA and Canada the maximum leverage is slightly higher, 1:50.

The minimum deposit required is 200 USD/EUR/GBP. You should be aware that for lower amounts you could open a starter account with a number of licensed brokers, including some of the industry’s leading brands.

ICMTFX DEPOSIT/WITHDRAW METHODS AND FEES

On the website, we see a claim that ICMTFX partners with payment providers such as Visa, MasterCard, Neteller, Skrill and UnionPay. But we had no way of verifying what payment methods ICMTFX actually offers, nor do we have any reason to believe anything on this website.

Scammers of this type routinely advertise conventional payment methods, but actually only use cryptocurrencies. The reason for this is that cryptocurrency transactions allow for anonymity, while at the same time making it impossible to request a refund or chargeback.  If you are interested in licensed brokers that also accept cryptocurrencies as a means of payment, take a look at this list.

There is no information on transaction fees. The lack of a publicly available Terms and Conditions or Client Agreement means that scammers may have set many traps such as hidden fees and impossible-to-meet  withdrawal terms.

HOW DOES THE SCAM WORK

While browsing the interwebs there is a significant chance you will come across comments, videos, social media pages that promise easy ways to passively make money. If you follow the links you will be taken to websites claiming to be legitimate brokers or investment firms. And if you take the next step and make contact with the people behind these websites, you will be contacted by slick and experienced scammers who will lure you in with promises of easy profits. For a while they will convince you that your investment is generating impressive returns and you need to pour in even more money to make sure you don’t miss out on this once in a lifetime opportunity

However, the attitude towards you will be changed if you want to withdraw your money. Suddenly, it will turn out that your investment makes losses and you even owe money to the fake broker for unexpected fees and expenses. They will show you clauses hidden in the Terms and Conditions, according to which you can only withdraw money after you have traded an impossible minimum volume, or that you will have to pay withdrawal fees of 20%, 30% or even more. When you try to hold them accountable you will find they are using fake names and shell companies in shady offshore jurisdictions without any regulatory oversight.

WHAT TO DO WHEN SCAMMED

Your options to recover your money are limited. If credit/debit cards were used for the transactions, you have the possibility to request a chargeback. But most scammers insist that you send them proof of identity and address with which they can dispute that the transactions were legitimate. Fraudsters also predominantly use cryptocurrencies, where refunds are impossible.

You should also be aware that there are many scammers who offer to recover your money for an upfront fee. You should not trust such offers. It is better to contact the relevant authorities in your country and warn them about the activities of the scammers.

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