Beware! Bluespaceinvest 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.
Bluespaceinvest is a very bad scam attempt that did not fool us for one second. We are certain that if you ever deposit with this broker, you will end up losing money. However, why you would like to invest, we do not know – this broker does not even offer its clients the opportunity to trade since it does not support any sort of software. The minimum deposit amount is, of course, enormous and the list of official licenses – completely absent. A bad investment choice if ever there was one.
Bluespaceinvest REGULATION AND SAFETY OF FUNDS
Bluespaceinvest uses the same old lines – that it is a “Maltese-directed investment services supplier that works under European and Maltese guidelines”. We have heard that line a dozen times before in relation to different scam brokers – you might want to check out the following reviews: Bgtxchange, Cryptoopttrade, LitCryptoFx.com, and TradeStarsFx.com. Unlike those brokers, however, Bluespaceinvest claims to be based in the US, not in Malta. Still, the broker claims to be MIFID Compliant (which means that it follows EU guidelines) and authorized to operate by reputable authorities like the UK’s FCA, the German BaFin, the French ACP, the Spanish CNMV, and the Danish Finanstilsynet. When we checked the registers of these regulators, it turned out unsurprisingly, that Bluespaceinvest is licensed by none of them.
The broker also claimed to be regulated by the UFSA (US Financial Services Authority) – a regulator that does not even exist. The authorities responsible for monitoring the activities of forex brokers in the US are the NFA and the CFTC – but Bluespaceinvest did not seem to know that or care.
Always check registers to make sure that the broker you plan on opening an account with is actually licensed. A license by a reputable authority serves as insurance that you will be treated in a fair manner and that the broker would provide a high degree of transparency. A broker regulated by the FCA, ASIC, or any reputable EU authority (the Cypriot regulator CySEC in particular has made quite a name for itself) has to meet countless requirements in order to obtain a license and follow many laws. Such brokers have to maintain a minimum operational capital to prove their financial stability – €730 000 in the UK and the EU, and A$1 million in Australia. The sum can, however, be much bigger for larger brokerages. Client money is kept in segregated accounts – this speeds up withdrawals, but more importantly, it ensures that the broker would have limited access to your money and could not reinvest it. Negative balance protection is provided to all retail clients – this means you could never lose more money than you have in your account. Licensed companies are also obligated to report to authorities on a regular basis.
Bluespaceinvest TRADING SOFTWARE
Bluespaceinvest does not provide access to a functional trading platform – the broker just asks you to deposit without offering you the chance to trade in return. And since this was supposedly the whole reason for seeking out a brokerage in the first place, you can see why investing with a company with no platform up its sleeve is pointless.
Try out MetaTrader 5 if you would like to trade on a highly efficient platform. Always check registers to make sure that the broker you plan on opening an account with is actually licensed. A license by a reputable authority serves as insurance that you will be treated in a fair manner and that the broker would provide a high degree of transparency. A broker regulated by the FCA, ASIC, or any reputable EU authority (the Cypriot regulator CySEC in particular has made quite a name for itself) has to meet countless requirements in order to obtain a license and follow many laws. Such brokers have to maintain a minimum operational capital to prove their financial stability – €730 000 in the UK and the EU, and A$1 million in Australia. The sum can, however, be much bigger for larger brokerages. Client money is kept in segregated accounts – this speeds up withdrawals, but more importantly, it ensures that the broker would have limited access to your money and could not reinvest it. Negative balance protection is provided to all retail clients – this means you could never lose more money than you have in your account. Licensed companies are also obligated to report to authorities on a regular basis.
Bluespaceinvest TRADING CONDITIONS
Bluespaceinvest provided very little information about its trading conditions – but since the broker does not offer a functional trading platform everything they have said about available instruments, spreads, and leverage is irrelevant anyway. We said it once and will say it again – you would not be able to trade with this enterprise.
The minimum deposit amount required in order to open an account is either $1000 or $500 – the broker mentioned both numbers and seemed uncertain which one to choose. In both cases, that is far too much money for a basic account. Some of the best, most established brokers in the industry actually offer very affordable trading accounts – you can start trading with as little as $10 these days. Investing as much as $1000 with a scam broker is hardly worth it.
Bluespaceinvest DEPOSIT AND WITHDRAWAL METHODS AND FEES
Bluespaceinvest only accepts deposits in Bitcoin, Ethereum, or via Skrill. For crypto payments, blockchain fees apply, for Skrill payments you would have to pay a deposit fee of 1.1% and a withdrawal charge of $25 + 2.25% – which is actually quite a lot. However, in order to deposit with Skrill, you had to contact the broker – and we have the suspicion that it would magically turn out that this deposit method is unavailable.
Scammers mostly prefer crypto deposits that are both anonymous and irreversible. You would not be able to track down your payment or get a chargeback if you have already deposited. If this sounds like a perfect set-up for a scam, that is because it is – never trusts a broker who urges you to deposit in crypto and offers no alternatives.
HOW DOES THE SCAM WORK?
This type of scam is really not that complicated – but it has proven to be quite effective and has managed to trick quite a few people. Given such schemes’ growing popularity, it is important to know how to avoid them – so reading the following paragraphs carefully is vital.
The scam starts with you seeing an ad on the Internet for a certain broker’s website. Such websites usually promise amazing conditions and extremely fast profits – but offer very little in terms of license and company information. However, sometimes scammers can be very elaborate in their promise – so you fall for it and provide them with a phone number or an email. There is another option – they might have stumbled upon your contact details somewhere and are the first to make contact. After that, a game of cat and mouse begins – you will be asked to open an account and make a deposit. Keep in mind that these are professional scammers who convince people to transfer money for a living – they will sweet-talk you into depositing by talking about profits and opportunities.
After that, you might indeed see profits and deposit even more money – but all of this is smoke and mirrors, scammers often manipulate results to make you transfer bigger amounts.
At some point, of course, you would want to withdraw your money – and the problems will start. Additional fees or unfulfilled clauses in the Terms and Conditions will appear, and you will be denied access to your money. At this point, you will probably discover something is wrong – and this is when the scammers will drop out of sight.
WHAT TO DO WHEN SCAMMED?
There are a few things you could do if you discover you have been scammed. Chargebacks are possible in some cases depending on the payment method you have used to deposit. Both Visa and MasterCard allow such chargebacks within 540 days while bank transfers and cryptocurrency transactions are irreversible.
Make sure to change all banking passwords. If you have installed any remote access software, remove it immediately – scammers ask their victims to install such software under different pretexts but their endgame is to just get access to your banking accounts and steal even more money.
Notify authorities and share your story with as many people as possible – the more people know about such scams, the less they will fall victim to fraudulent schemes.
Last but not least – don’t trust any so-called “recovery agents” that offer to retrieve your money for a fee – this is just another type of scam, sometimes even conducted by the same people that stole your money in the first place.
