Beware! Firstratecrypto.com 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.
Firstratecrypto.com is a scam that closely resembles another fraudulent broker we have recently reviewed, Revolut Trade Hub. These brokers share a logo, a website template, and even an address. Neither of them offers any sort of trading platform or legal documentation, and neither of them holds a license. If you would like to trade and not get scammed, staying away from this broker would be your best bet.
Firstratecrypto.com REGULATION AND SAFETY OF FUNDS
Firstratecrypto.com is supposedly based in Jakarta, Indonesia – but is in no way authorized to operate in this country or in any other country for that matter. The broker was not regulated by the local Indonesian financial authority – the Commodities and Futures Trading Regulatory Agency (BAPPEBTI) – and has actually caught the attention of another regulatory body – the UK’s FCA.
The FCA has issued an official warning on this broker stating that they are in no way allowed to offer services in the UK – which also means that clients of this broker would not be entitled to any sort of protection. Such a warning is a clear sign that we are dealing with a scam broker – so better take it seriously.
Your best bet would not be to turn to an anonymous enterprise like this one – we can assure you that nothing good would come out of it. Choose a broker licensed by the FCA (the UK), CySEC (Cyprus), or ASIC (Australia) – those are usually considered to be the strictest regulatory bodies in the world, and for that reason, brokers regulated by any of them are obligated to maintain a high standard and do everything in a legal and transparent manner. There are many requirements – brokers must keep client money in segregated accounts to prove that they are not using your deposits for their own financial operations, and provide all retail clients with negative balance protection – which basically means you could never lose more money than you have in your account. They also have to maintain a certain minimum operational capital – €730 000 in the UK and the EU, and A$1 million in Australia. This ensures the broker’s financial stability – that they are well-capitalized and can survive in the volatile financial markets. Finally, both UK and EU brokers have to participate in compensation funds – so in the event of such a broker going bankrupt, their clients could receive compensation – up to £85 000 in the UK and €20 000 in the EU.
Firstratecrypto.com TRADING SOFTWARE
Firstratecrypto.com does not offer any sort of platform you could actually use to trade – in fact, this broker is running a common investment scam that asks you to deposit a certain amount of money and then just sit back, relax, and watch that investment grow to impossible proportions. The broker would not, however, offer you the opportunity to trade yourself since they do not provide any sort of software.
Better turn to a company that can offer you a leading trading platform such as MetaTrader 4 or MetaTrader 5 – these are currently the two most popular platforms in the world of trading. When you see how user-friendly and intuitive, and how functional both versions of this software are, you will quickly understand its popularity. Both MT4 and MT5 can offer you exquisite features such as Expert Advisors (trading bots that track markets and trade in accordance with an algorithm), possibilities for creating your own trading bots and indicators, customizable signals you could set for prices going up or down, multiple timeframes and pending order types, over 30 different indicators, a market for trading apps, and much more.
Firstratecrypto.com TRADING CONDITIONS
Firstratecrypto.com seems to be an HYIP (High Yield Investment Program) – scam broker. There is rarely any truth to the attractive offers such brokers make. You will be asked to deposit a small amount of money – in this case just $200. After that, the broker will do your bidding for you and secure your profits. Firstratecrypto.com promises amazing returns of $160 daily if you invest those initial $200 – which is around 60% Return On Investment in just one day.
Keep in mind that the best investors in the world are not able to reach such rates annually, let alone daily. Most retail investors should be happy to see an annual growth of 10% – 15% on their portfolio while the best of the best sometimes could reach as much as 60% with a lot of luck. However, nobody could turn steady returns of 80% daily – if a broker promises such things, they are most certainly lying.
Stick with legitimate brokers that offer decent platforms, good conditions, and educational materials – such things could actually result in decent profits. Some of the best brokers in the industry offer affordable trading accounts for as little as $50 or less – check this list if you want to learn more about some very attractive offers.
Firstratecrypto.com DEPOSIT AND WITHDRAWAL METHODS AND FEES
Firstratecrypto.com only accepts deposits in Bitcoin and in Tether. This means that if you deposit with this broker, you would never see your money again. All crypto transactions are irreversible – the only way to get a chargeback on such a payment would be if its recipient decides to send it back. This is hardly something a scam broker would ever do. The best protection is to not deposit with brokers like Firstratecrypto.com in the first place.
HOW DOES THE SCAM WORK?
Scams like this one are becoming more and more prominent – they rely on people’s desire to make fast money without putting a lot of effort in. That is why it is important to know how you can tell apart a fully legitimate broker from a scammer and learn more about how such scams generally function.
All brokers promise certain things and try to advertise their services to their best capabilities – but all legitimate companies also provide statistics on how many people have lost money while trading with them. Scammers, on the other hand, promise guaranteed fast profits and a life of luxury. You will probably stumble upon the scam broker’s website randomly – or you might be pursued via phone or e-mail and asked to open an account. Maybe you have heard of people earning a living by trading – so you decide to set up such an account. The moment you provide the scammers with your phone number or email (if they have not already obtained it somehow), they will not leave you alone before you make an investment. These are professional smooth-talkers who scam people for a living – which means that they can be very convincing. Once you have made your first deposit, the scammers will ask you for bigger and bigger sums. You might even be happy to deposit more money because at this early stage, you will be turning a profit – scam brokers are good at manipulating results to make it seem like you are doing great.
The problems will start the moment you try to withdraw those profits – the broker will start making up reasons why this is impossible. – Usually, new, shady clauses in the Terms and Conditions will appear – you might be asked to reach some unattainably high turnover threshold or pay a high withdrawal fee. At some point, you will figure out something is wrong – and that is when the broker will stop answering your calls and e-mails and just disappear.
WHAT TO DO WHEN SCAMMED?
We should warn you that the chances of you getting your money back if you have already been scammed are slim -prevention is key in the world of online brokers. Choosing a legitimate company that holds an official license and has proven its reliability is essential. There are, however, still some things you can do if you have already been scammed.
Make sure to notify your bank that you have been scammed. Change all the passwords you have provided the scammers with. If you have given them remote access to your computer, remove the software immediately. Scam brokers usually claim that you need to install such software so they could help you with software set-up – or even help you trade – but their actual objective is to get access to your banking systems and steal even more money.
If you have deposited with Visa or MasterCard, ask for a chargeback immediately – both card providers allow such chargebacks within 540 days.
Notify the responsible authorities, and share your story with as many people as possible – this way, more people will know about such scams and learn how to avoid them.
Finally, don’t trust any “recovery agents” promising to retrieve your money for a fee – this is just another type of scam targeting scam victims. Often enough, the recovery agency is run by the same people who scammed you in the first place.