Beware! Coinflux Trades 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.
If we believe the Coinflux Trades website, this forex broker is everything we need – regulated, well-established, award-winning, offering favourable terms and innovative technological solutions. However, when it comes to money, it is not a good idea to trust promises and assurances without verifying them. A fact check reveals that Coinflux Trades is the exact opposite of what is being presented.
Coinflux Trades Regulation and safety of funds
|Guaranteed Funds||Segregated Accounts||Negative balance protection|
|UK regulated brokers||£85 000||Yes||Yes|
|EU regulated brokers||€20 000||Yes||Yes|
|AU regulated brokers||No||Yes||Yes|
|US regulted brokers||Yes||Yes||No|
If a financial services provider is legitimate, you will find on its website clear and detailed information about the company that owns and operates it, where it is based, and what licences it has. Genuine brokers also provide access to a comprehensive set of legal documentation. The availability of such information does not guarantee that it is not false or misleading. But the absence of these elements is very indicative that in all likelihood you are dealing with scammers.
Coinflux Trades claims to be licensed and regulated across multiple jurisdictions, but does not provide any information on licences and authorizations. This website lacks a Client Agreement, Terms and Conditions and other legal documentation required by any legitimate business.
The owner is listed as the company Coinflux Trades Ltd. The contact address is in the United Kingdom.
To operate legally as a forex broker in this jurisdiction, a company must hold the appropriate licences from the Financial Conduct Authority (FCA). But in the regulator’s database we find a warning that Coinflux Trades is not authorised to offer financial services and products in the UK.
Before investing your money in financial instruments, it is imperative to make sure you do so through a licensed intermediary and not one of the many scammers lurking online.
If you want to trade on financial markets without being scammed, you can turn to some of the legitimate brokers that actually operate from established financial hubs like the UK. These brokers have to meet stringent requirements for financial stability and transparency of operations imposed by the FCA. They must provide clients with negative balance protection and to participate in a guarantee fund that covers up to GBP 85,000 of a client’s investment should the broker go into insolvency. These brokers are also required to keep their clients’ money segregated from their own operating funds in separate bank accounts.
Coinflux Trades Trading software
|Analytical tools||Auto trading||Custom indicators||Mobile apps|
|Coinflux Trades platform||❌||❌||❌||❌|
|MT4||30+ indicators||✅||✅||Android and iOS|
|MT5||50+ indicators||✅||✅||Android and iOS|
|cTrader||40+ indicators||✅||✅||Android and iOS|
Coinflux Trades promises the industry’s most popular trading platform, MetaTrader 5 (MT5). But after registering an account, we get neither a link to download the software nor credentials to log into a trading server. The Coinflux Trades dashboard has only basic charts with current asset prices, which have no trading functionality. Coinflux Trades does not have the technical capacity to offer the services it claims.
Coinflux Trades Trading instruments
Coinflux Trades advertises that it offers trading in all major asset classes, including cryptocurrencies. This is further evidence that this could not possibly be a licensed forex broker based in the UK. The FCA prohibits trading in crypto derivatives.
Coinflux Trades Spreads and cost of trading
When you visit the website of a legitimate broker you will find proposals for different types of trading accounts suitable for investors with different preferences, as well as detailed descriptions of trading parameters – minimum deposit, order execution method, tradable financial instruments, leverage, spread, swap, commissions, etc.
On the Coinflux Trades website, we see a list of investment plans promising secure and high returns.
A genuine broker will not and cannot promise you guaranteed profits. In fact, licensed companies are obliged by regulators to warn their clients about the high risk of losses when trading financial instruments.
Coinflux Trades Maximum leverage
|UK regulated brokers||30:1||5:1||❌||10:1||10:1|
|EU regulated brokers||30:1||5:1||2:1||10:1||10:1|
|AU regulated brokers||30:1||5:1||2:1||10:1||10:1|
|US regulated brokers||50:1||❌||❌||❌||❌|
Further proof of the fraudulence of Coinflux Trades is the claim that it offers a leverage of up to 1:500. The FCA, like EU regulators, limits leverage to 1:30 for trading in major currency pairs and even lower levels for more volatile assets.
High leverage creates the opportunity for more significant profit, but correspondingly increases the risk of sudden and excessive losses. All leading regulators therefore restrict leverage for retail traders.
Coinflux Trades Deposit and withdrawal methods
|Deposit time||Withdrawal time||Price|
|Crypto||24 hours||24 hours||Fee depends on crypto|
We weren’t at all surprised that the only payment method accepted by Coinflux Trades is Bitcoin. Cryptocurrencies are the payment method of choice for most financial scammers. The reason for this is that on the one hand cryptocurrencies provide a degree of anonymity and on the other hand they do not allow the defrauded person to ask for a refund.
If you’re interested in legitimate brokers that accept digital currency payments alongside conventional methods, check out this list.
Coinflux Trades Minimum deposit
Coinflux Trades requires a fairly high minimum deposit of 500 USD. For 50 or even 5 USD you could open a trading account with a licensed broker, including some of the industry’s leading brands.
Coinflux Trades Withdrawal requirements
|Trading volume||Fee/Tax on withdrawal||Minimum withdrawal|
|Coinflux Trades||Not specified||Not specified||Not specified|
|UK regulated brokers||No||No||No|
|EU regulated brokers||No||No||No|
|AU regulated brokers||No||No||No|
|US regulated brokers||No||No||No|
The lack of a publicly available Terms and Conditions or Client Agreement means that scammers may have set many traps such as hidden fees and impossible-to-meet withdrawal terms.