Beware! Dynamicfx Trade 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.
Dynamicfx Trade is a broker that promises to be “the simplest and most profitable cloud mining solution on the market” but supposedly also gives you the opportunity to “trade CFDs on forex, Cryptocurrency, gold, indices, US shares, and more with a broker trusted by thousands of traders worldwide”. We can assure you of a couple of things – first of all, you would not be able to trade since the broker does not provide a functional trading platform. Crypto mining did not seem to be possible either. Secondly, this is a scam that claims to be regulated – but has actually earned a scam warning by the very authorities is supposedly licensed by.
There is nothing legitimate about Dynamicfx Trade – if you invest money with this broker, you will only end up losing it.
Dynamicfx Trade REGULATION AND SAFETY OF FUNDS
Dynamicfx Trade claims that it is regulated across 6 jurisdictions and that it “is an officially registered, UK-based cloud crypto mining initiative that prides itself on the security of its users”. In the meantime, the broker states that it is headquartered in the Cayman Islands with branches in Seychelles, the US, and Canada. The curious thing is that the broker did not provide any sort of license information. When we checked the registers of the UK financial regulator, the FCA, we discovered that such a company was not licensed to operate in the country – in fact, the regulatory body has recently issued a warning to investors stating that this is a scam.
Instead of wasting time on companies with questionable morals, turn to a broker with a license by a reputable financial authority such as UK’s FCA, Cyprus’ CySEC, or Australia’s ASIC. Such brokers have to meet tons of requirements before being able to offer complex financial services and do treat clients in a fair and transparent manner. Everything should be done perfectly legally – otherwise, there is a huge probability for such brokers to get a huge fine. Licensed companies have to prove they are financially stable by maintaining a certain minimum capital – €730 000 for the EU and the UK, and A$1 million for Australia. Additionally, EU and UK brokers are obligated to participate in compensation schemes which mean that if your broker goes bankrupt, you could still receive compensation – up to €20 000 in the EU, and up to £85 000 in the UK depending on the size of your investment. Negative balance protection is ensured – if you are a retail client, you could never suffer losses greater than the amount of money you have in your accounts.
Dynamicfx Trade TRADING SOFTWARE
Dynamicfx Trade does not actually offer a trading platform that makes the choice to open an account with this broker an illogical one. You would not be getting access to the financial markets and would not have the possibility to trade – which is the whole point of forex brokers.
Look up brokers who offer powerful trading platforms such as MetaTrader 4 and MetaTrader 5. The MT software has been around since 2006 and has built the reputation of the best platform in the world of trading because of its relative ease of use and the many tools it features. Clients would be able to get access to preprogrammed trading bots (Expert Advisors) that track markets and trade automatically, the possibility to create custom scripts, VPSs that could keep your EAs operating even when your computer is off, customizable signals that could be set for prices going above or below a certain level, a market for add-ons, etc. Don’t hesitate to try out one or both of these amazing platforms – with a reliable, licensed broker.
Dynamicfx Trade TRADING CONDITIONS
Dynamicfx Trade seems to be running a generic investment scam. This broker simply asks you to invest a small amount of money – in this case, €20 – and expect impossibly high returns in a matter of hours. In just 4 hours, you are supposed to get €230 on those initial €20 – or around 1100%. The amounts of money are not big but we would still like to point out that such returns are completely impossible – even the best investors rarely get more than 40%-60% annually. And no broker would dare promise you certain returns in the volatile financial markets since your success depends on many factors such as your knowledge and experience, market volatility, and sometimes sheer luck.
If you want to open an affordable trading account, check out some brokers who can promise you just that – more and more established companies offer Micro accounts for $10 or less.
Dynamicfx Trade DEPOSIT AND WITHDRAWAL METHODS AND FEES
Dynamicfx Trade only accepts cryptocurrency deposits – clients can choose between Bitcoin, Ethereum, and Litecoin. This is another quite concrete proof that we are dealing with a scam broker. Crypto transactions are both anonymous and irreversible – this means that you would not be able to ask for a chargeback or track down your payment to a specific person. This is far from the best situation when you are not 100% sure that a broker is reliable. Only use this payment method with organizations you can trust.
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.