Beware! Oh JY Coin 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.
Oh JY Coin is yet another scam broker that tries to mislead its customers that it’s reputable and regulated. Don’t trust it however as this broker isn’t licensed and is operating on the forex market against the law. On top of that the Financial Conduct Authority of the UK has set a warning against it stating that Oh JY Coin is not authorized therefore not to be trusted.
Apart from its regulatory status, bear in mind that this broker doesn’t offer very favorable trading conditions either. Its trading platform is totally dysfunctional and the payment methods are very shady as well. So if you are looking for a secure and transparent trading experience, Oh JY Coin is not a good choice at least to say. Keep reading the following lines for more details on why to avoid Oh JY Coin.
Regulation and safety of funds
First of all, Oh JY Coin claims to be based in Berlin, Germany. Every broker situated there must be licensed by the local regulator BaFin in order to operate legally.
Here things get really messy, as Oh JY Coin claims to be globally authorized by many financial authorities, but doesn’t mention anything about BaFin. Of course we searched the registers of the German regulator but there was no data about the broker we are dealing with.
If you assume that things can’t get any worse, think again. Oh JY Coin claims to be licensed by popular watchdogs like FCA (UK), ASIC (Australia), CySEC (Cyprus), IFSC (Belize) and many more. It was obvious from the first glance that this broker is making everything up like many other scammers we have reviewed so far. After we checked all of the above mentioned institutions it was already clear that Oh JY Coin isn’t authorized by any of them, as we suspected from the very beginning. But the “icing on the cake” happened to be the warning set by FCA which states that Oh JY Coin is an authorized firm that may be providing financial services without their permission. See for yourself:
As FCA correctly states, if you deal with unlicensed firms you will have less protection if things go wrong. This means that no financial authority would be able to help you in case you become a victim of a scam.
Moreover regulated brokers in the UK act in accordance with the rules and meet multiple requirements. Dealing with them on the other hand means that you can get a high client protection and be sure that your funds are in safe hands. Genuine brokers in the UK must have at least 730 000 EUR and are also obligated to keep their customers’ funds in segregated trusted accounts. But maybe the best part of trading with a UK licensed broker would be the protection of your money in case the firm goes bankrupt. If such an unfortunate event really happens, the trader can be issued up to 85 000 GBP of compensation.
Oh JY Coin doesn’t mention anything about its trading software which makes this broker even more suspicious if that’s even possible.
Nevertheless, if you go to their “Currency” page, you can see an image of a TradingView chart which is supposed to be their trading platform. As usual however, with scammers things are never the way they look.
After we registered we got access to a very plain web-based platform that has nothing to do with TradingView. Take a look:
Not only is this piece of software absolutely basic, but it also seems dysfunctional, as there are no Bid and Ask amounts. We just don’t see how anyone can actually trade via this “platform”.
MT4 and MT5 are appropriate even for both advanced traders and beginners. You can be assured that the safety of your funds and personal information is granted as all transactions are encrypted as well as your IP address.
You can also choose between a wide range of educational resources, forex news and technical analysis tools. Most of the customers consider the trading bots to be the best part however. These bots, also called Expert Advisors, analyze the forex market in a search of certain conditions and then perform trading operations once they find them.
MT5 and MT4 can be easily downloaded on PCs, smartphones and tablets and have regular updates. Unfortunately, since Apple removed both MetaTrader 4 and 5 from its AppStore, these platforms can’t be downloaded any more from iPhone/ iPad users. All of you that have already installed the apps can continue using them, but without the above-mentioned updates. On the contrary you can still download MT4 and MT5 from Google Play Store.
Oh JY Coin claims to offer three types of accounts – Beginner, Trader and Investor and displays some general data about each of them. Take a look at some more details:
As you see, the Beginner account requires 1 000 USD in order to start trading. This is way too much, especially given the fact that most legitimate brokers tend to ask for around 250 USD, or even less – in order to open a micro account you need around 10 USD.
The leverage of 1:20 that this broker offers, seems ok for trading and in accordance with the limit set in the UK – 1:30 to be precise. Nonetheless, we don’t recommend investing with this firm, as it has been blacklisted by the financial authority of the UK, as we already mentioned. On the other hand, if you want to trade with higher leverage you can look at some of the offshore subsidiaries of reputable forex brokers.
Oh JY Coin doesn’t mention anything specific about the spread it offers. We are not surprised, given the fact that the trading platform doesn’t provide any data as well. All in all, better give up on investing here and search for a regulated broker who offers tight spreads below 2 pips.
Deposit/Withdrawal methods and fees
It comes as no surprise that Oh JY Coin keeps silent when it comes to its payment methods. There is no data on the whole website and this is yet another wake-up call that this broker hides something sneaky.
After we opened an account it turned out that this is exactly the case. Oh JY Coin accepts payments via cryptocurrencies only – with Bitcoin and Tether to be precise. See for yourself:
This is worrisome for a couple of reasons. First of all, all reputable brokers tend to accept a variety of payment methods like credit/debit cards or e-wallets. None of them actually offer only one alternative, especially crypto coins. Secondly, crypto transactions are proven to be absolutely irreversible and anonymous, so you have to be very careful to whom you send your money. If you have the slightest doubt that the broker isn’t legitimate, better don’t risk it at all. In the case of Oh JY Coin it’s obvious that this broker’s only aim is to rip off unwitting customers, so refrain from depositing here at all means!
How does the scam work
Be very careful to whom you provide your personal information like email or phone number. The moment scammers have your number they will start calling you in an attempt to make you invest right away.
They will most certainly assure you that trading with them is risk-free, which is highly doubtful at least to say. Also be prepared to hear that you can get a fast and incredibly high return on investment – this is also a shameless lie of course. Scammers tend to sweet-talk traders into making a deposit and then vanish like thin air.
Before that however they might try to manipulate their trading software so it looks as if your money is being invested. They might also fool you into believing that your results are very profitable. This is done with one specific purpose – to make you invest even more before you find out that everything is a lie.
Expect all kinds of hidden fees the moment you try to withdraw even a cent and what is the worst part – to find out that a withdrawal is declined no matter what you do.
What to do when scammed
If you have been scammed, the first thing you can do is to turn to the bank that issued your credit or debit card and ask for a chargeback. If you have paid with your Visa/ Mastercard, a chargeback is eligible within 540 days.
Wire transfers are more difficult to return, and the best thing you can do in this situation is to change your online banking username and password as soon as possible.
Using payment methods like Neteller, Paypal or Skrill also gives you the opportunity to open a dispute in case of online scam.
Unfortunately crypto transactions are irreversible as we already stated and therefore your money can not be returned. All in all we advise you not to trust brokers that use only crypto coins such as Bitcoin or Ethereum.
Last but not least, certainly don’t trust people on the internet offering to return your funds only after you pay a certain fee. They might also be scammers so don’t risk losing more money than you already have!