Beware! Net Fx Miner 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.
Net Fx Miner presents itself as a “globally licensed and regulated” broker, offering forex and cryptocurrency trading. But fact checking shows that it is not any kind of broker, let alone a licensed and regulated one. Net Fx Miner is a typical online scam posing as an established investment intermediary and has already been noticed by financial regulators.
Let’s take a detailed look at why you should never trust your money to this shady website and how you could choose a trustworthy forex broker.
Net Fx Miner Regulation and safety of funds
|Guaranteed Funds||Segregated Accounts||Negative balance protection|
|Net Fx Miner||❌||❌||❌|
|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|
The first thing to look for in a forex broker’s website is which legal entity runs it, where it is based and what regulatory oversight it is subject to. Licensed companies are also required to provide a comprehensive set of legal documentation.
The home page of the website claims that the company Net Fx Miner ltd is regulated in six jurisdictions, but no clarification or evidence is provided.
Incomplete contact addresses are provided for the United States and two offshore jurisdictions, the Seychelles and the Cayman Islands. But Net Fx Miner could not be found among the registered companies in any of these countries.
The FAQ section presents a completely different version – that “UK-based cloud crypto mining initiative”.
Net Fx Miner appears on the UK’s Financial Conduct Authority registry, but not as a licensed broker, but as part of the list of unauthorised websites.
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 Financial Conduct Authority (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.
Net Fx Miner Trading software
|Analytical tools||Auto trading||Custom indicators||Mobile apps|
|Net Fx Miner platform||❌||❌||❌||❌|
|MT4||30+ indicators||✅||✅||Android and iOS|
|MT5||50+ indicators||✅||✅||Android and iOS|
|cTrader||40+ indicators||✅||✅||Android and iOS|
Any remaining doubts that Net Fx Miner is a scam are dispelled after logging into the dashboard. There we see that NNNN does not have any trading software – this means that this alleged broker does not have the technical capacity to offer the services it claims.
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.
Net Fx Miner Trading instruments
|Net Fx Miner||❌||❌||❌||❌||❌|
Net Fx Miner advertises trading in all asset classes, including cryptocurrencies. The latter is further evidence that Net Fx Miner could not truly be a UK-based investment firm because the FCA prohibits trading in crypto derivatives.
Net Fx Miner Spreads and cost of trading
|Net Fx Miner||XM||FBS||FXTM|
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.
There is no such information on the Net Fx Miner website. After registering an account, we get access to a list of investment plans promising guaranteed profits.
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.
Net Fx Miner Maximum leverage
|Net Fx Miner||❌||❌||❌||❌||❌|
|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||❌||❌||❌||❌|
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. The FCA, like EU regulators, limits leverage to 1:30 for trading in major currency pairs and even lower levels for more volatile assets.
Regulated brokers offer higher leverage only to professional clients who must meet very high standards for capital and experience and forgo the guarantees enjoyed by retail traders.
If you don’t qualify as a professional trader but are willing to take the risk of high-leverage trading, the most viable option is to use the services of an offshore affiliate of an established brand.
Net Fx Miner Deposit and withdrawal methods
|Deposit time||Withdrawal time||Price|
|Crypto||24 hours||24 hours||Fee depends on crypto|
The homepage of the website claims that Net Fx Miner accepts credit cards and cryptocurrencies, but only the latter turns out to be true.
This is typical of financial scammers. Cryptocurrencies are their payment method of choice because on the one hand they allow the scammer a degree of anonymity, and on the other hand they do not allow the scammed to ask for a refund.
While there are some legitimate brokers that accept digital currencies like Bitcoin, they do so alongside other transparent payment methods such as credit/debit card, bank transfer or popular e-wallets like PayPal, Neteller or Skrill.
Net Fx Miner Minimum deposit
|Net Fx Miner||XM||FBS||FXTM|
Net Fx Miner requires a minimum investment of 30 USD. For a similar or even lower amount, you could open a trading account with a real forex broker, including some of the leading brands in the industry.
Net Fx Miner Withdrawal requirements
|Trading volume||Fee/Tax on withdrawal||Minimum withdrawal|
|Net Fx Miner||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.