Blix24 review – 5 things you should know about blix24.com

Beware! Blix24 is an offshore broker! Your investment may be at risk.

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Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.

Blix24 tries to convince us that it is a trustworthy forex broker. But a careful inspection of this website leaves no doubt that this is not true. In this review, we’ll take a detailed look at why you should under no circumstances trust your investments to Blix24.

Blix24 Regulation and safety of funds

The most important information about a financial services provider is its regulatory status. Licensed brokers provide detailed information about which company runs them, where it is based, which jurisdictions it is authorised in and which regulatory bodies oversee its activities.

The website is presented as owned by a company named Blix24 Llc. But Blix24 does not provide a contact address.

In the footer of the website, we see a caption stating that the broker is based in Saint Vincent and the Grenadines (SVG), which provides “offshore secrecy and regulation.”

But offshore registration provides secrecy mainly for the company and provides no regulation. The Тhe Financial Services Authority of St. Vincent and the Grenadinesexpressly warns that it does not regulate forex brokers and does not supervise the activities of companies that engage in such activity.

But Blix24 is not actually listed among the companies registered in this jurisdiction. Therefore, we do not know who we are actually dealing with.

If you have decided to invest in financial instruments, and especially if you are a novice trader, you should use the services of a licensed broker based in a jurisdiction with strong regulations.

Depending on your location, it is advisable to choose a company that is regulated by an institution such as Commodity Futures Trading Commission (CFTC) in the US, Australian Securities and Exchanges Commission (ASIC), UK’s Financial Conduct Authority (FCA) or some EU regulator like Cyprus Securities and Exchange Commission (CySEC).

Clients of these brokers receive protections such as negative balance protection and segregation of the client’s funds from the broker’s funds.  In the EU and the UK, brokers must also participate in guarantee schemes that cover a certain amount of the trader’s investment if the broker becomes insolvent.

These guarantees amount to up to 20 000 EUR in the EU and 85 000 GBP in the UK. However, the likelihood of such a bankruptcy is low because regulators also have significant net capital requirements that companies must maintain – EUR 730 000 in UK and Cyprus, AUD 1000 000 in Australia and at least 20 million USD in the United States.

Blix24 Trading software

Blix24 uses a fairly basic web-based trading platform. Here is how it looks like:

It should be noted that the presence of some kind of trading software is no guarantee that this is a genuine broker. Financial scammers often use rigged trading platforms to fool their victims that their money is actually being invested. However, this trading is entirely fictitious and the money goes directly into the scammers’ pockets.

Legitimate brokers offer clients a wide selection of trading software, including desktop, mobile apps and web-based platforms. The most widely used platforms in the industry are MetaTrader 4 (MT4) and MetaTrader 5 (MT5).

These platforms have established themselves as industry standard because they offer a wide range of features, including a variety of options for customization, multiple account usage, designing and implementing custom scripts for automated trading and backtesting trade strategies.

Blix24Trading instruments

According to its website, Blix24 offers trading in all major types of financial instruments. But the website does not provide clear information on the parameters of trading. In fact, even the information on the number and names of account types on the Blix24 website is contradictory.

Blix24 Spreads and cost of trading

In the trading platform we see a spread of 2 pips – a level that in the industry is considered too high and unprofitable for the trader. Blix24 does not provide information on additional commissions, but the lack of information does not mean that there are no such commissions.

Blix24 Maximum leverage

According to the limited information on the website, the maximum leverage for different account types varies between 1:100 and 1:600.

Regulated brokers do not offer such levels to retail traders as trading with high leverage carries risks of sudden and excessive losses. A maximum leverage of 1:30 is allowed in the European Union and the United Kingdom and 1:50 in the United States.

Blix24 also claims to offer bonuses, but does not give any specific information on the conditions attached to them. Regulated brokers are prohibited from offering bonuses and promotions. Scammers often use promises of supposedly generous bonuses to tie their potential victims to extortionate terms.

If you are willing to take the risk of trading with high leverage and benefit from bonuses and promotions, the best option is to invest through an offshore division of an established brand.

Blix24 Deposit and withdrawal methods

In the deposit menu of the Blix24 we only see an option to use credit cards, but trying to use it leads to a technical error message.

Experience has shown that fake brokers routinely advertise conventional payment methods, but actually steer their potential victims towards cryptocurrency transactions. This not only guarantees them anonymity, but also deprives the defrauded of the option to request a refund or chargeback.

Legitimate brokers typically offer clients a wide choice of transparent payment methods, including established e-wallets such as PayPal, Skrill or Neteller.

If you’re interested in legitimate brokers that accept digital currency payments alongside conventional methods, check out this list.

Blix24 Minimum deposit

Blix24 provides two different versions on the minimum deposit amount – 250 USD or 500 USD. But you should keep in mind that established brands usually offer starter accounts with a much lower minimum deposit.

Blix24 Withdrawal requirements

We do not find any clear information on fees and other withdrawal conditions. Scammers of this type usually use hidden conditions and huge fees to block withdrawal requests.