Beware! QuantomFX 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.
QuantomFX is nothing more than an unlicesed scam broker whose only aim is to steal people’s money. Their website malfunctioned the moment we tried to open an account – which is actually good news since this means that the scammers would not be able to rob you. If you are ever able to become the client of this broker, refrain from opening an account still – they are nothing more than a dubious scam scheme.
QuantomFX REGULATION AND SAFETY OF FUNDS
QuantomFX claims to have offices in the UK and the US but is not licensed to operate in either of these countries. Infact, the UK financial regulator, the FCA has recently issued a warning stating that this broker is not authorized to offer its services in the country and therefore anyone who decides to open an account with it, would not be entitled to any sort of financial protections.
The subtext of this warning is that this broker is most probably a danger to investors because it is running a scam.
The company behind QuantomFX is actually not based either in the UK, or in the US – instead, they turned out to be situated in the Commonwealth of Dominica. This coutnry does have a financial regulator unlike many other offshore locations – but that financial regulator does not regulate forex brokers and does not impose laws in the sphere of trading. In fact, forex trading is not considered to be a separate line of business – which makes things a whole lot easier for scammers who want to set up companies and steal people’s money without having to worry about a strict financial authority breathing down their necks.
Doing business with shady, anonymous companies is definitely not your best option – you would have no guarantees that such brokers would not just disappear with your deposits. Trusting a regulated broker who had to meet countless requirements in order to obtain a license, and who is obligated by strict authorities to conduct business in a fair and transparent manner is a much better choice. We would recommend brokers licensed in the UK, the EU, or Australia since these regions have the sternest regulatory regime in the world. Brokers have to report transactions on a regular basis to ensure transparency and keep client money in segregated accounts – this ensures that the broker would not be using your money for their own purposes and speeds up withdrawals. Negative balance protection is ensured – you can never lose more money than you have in your account. All licensed brokers have to prove their financial stability by maintaining some sort of minimum operational capital – €730 000 in the UK and the EU, and A$1 million in Australia.
QuantomFX TRADING SOFTWARE
This broker supposedly offers MetaTrader 4 – an advanced trading platform most traders have probably heard of. However, we were unable to get a download link for the platform from the broker’s website or access it through their client area. In fact, we were unable to open an account at all. When we tried to do so, the broker’s website malfunctioned – which means that we could not establish if QuantomFX offers any sort of trading platform at all.
There are many great brokers you could try MT4 with – and we definitely advise you to do that if you are serious about trading. This has been the most popular platform in the industry for years – although MT5 recently surpassed it in number of clients. MT4 is still beloved by many and it is easy to see why – the platform is not overly complicated but provides access to a ton of great tools. You would be able to use Expert Advisors that trade automatically, purchase VPSs to keep your trading bots operating at all times, set customizable signals, check out different add-ons on the MT market, use 30 different indicators, 9 multiple timeframes, and 4 pending order types, and much more.
QuantomFX TRADING CONDITIONS
Without an account, we could not really see what QuantomFX had to offer in terms of trading conditions. The broker was not exactly clear on these things on their website either – we were just informed that we would be able to trade forex and CFDs, ETFs, and crypto but no information was provided on vital trading conditions such as account types, minimum deposit amounts, maximum leverage, spreads, commissions, etc. Every legitimate broker will make sure to provide you with sufficient information about such things – after all, in order for a broker to attract clients, it should advertize its services in the most attractive possible way.
Do not waste your time on scammers when so many brokers offer affordable trading accounts for $100 or less.
QuantomFX DEPOSIT AND WITHDRAWAL METHODS AND FEES
Since we were not able to open an account with QuantomFX or access any sort of client area, we are also unable to say which deposit methods this broker accepts. However, we would like to point out that scammers are very likely to prefer some deposit methods over others. They would often urge you to deposit in crypto, for example – since such transactions are both anonymous and irreversable. This means that you would not be getting a chargeback on your payment if you have deposited with the broker. However, if you were able to make a payment with a Visa or MasterCard card, chargebacks would be possible – both card providers offer such within 540 days of the transaction so make sure to contact your card issuer as soon as possible to see if anything could be done.
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.