Fund Recovery experts can help you determine whether your broker is a scammer or a legitimate broker. If you are interested in trading foreign exchange, cryptocurrency, CFDs, or commodities, paying close attention to the broker you trade with can prevent broker withdrawal problems and help you avoid broker fraud. This does not mean you are discouraged-in many cases, trading is safe and reliable, but only if you choose the right broker. However, if you want to avoid potential problems, the broker must be honest with the trader.
You are told that the trader will trade for you, regulated brokers are not allowed to trade for you. When a broker has your money, he can do whatever he wants, as long as it is not regulated. Working with an unlicensed broker does not provide protection in the event of broker fraud.
While not being licensed is not a guarantee of broker scams, it is the only factor that repeats over and over again when we investigate broker scams. This is because there can be no excuse for a broker if he does not have at least some kind of license. Hence, it can be almost as harmful as working with an unlicensed broker.
The broker is not found on the internet, if you cannot find a lot of information about the so-called broker, it could be a scam. If you’ve invested in one of these brokers, you’ve obviously been robbed. For this reason, at AdonFinance we have prepared a blacklist of fraudulent brokers to warn a trader or investor against this type of fraud. The most common sign of a broker scam or a Forex trading scam is that the broker is either not regulated at all or has a low-quality regulatory license.
Any Cobalt Code reviews will not only answer the question of whether the broker is licensed but also have some understanding of the regulator and indicate whether the license is top-notch. A detailed Cobalt Code review should disclose complaints against brokers. Any broker’s review should be aimed at identifying issues and complaints reported by previous traders. The first step is to check if there are any complaints about the broker.
If you suspect that someone is promoting a cryptocurrency scam, you can report it to the FTC, the Commodity Futures Trading Commission, the U.S. Securities, and Exchange Commission, or the cryptocurrency exchange you use. The restrictions used to protect regular online finance can also be applied to cryptocurrencies to minimize your potential losses when you fall into a scam.
This is to prevent them from wanting to withdraw their money if they are scammers. Don’t assume that Cobalt Code is legal just because it had a friendly chatbot that greeted you when you first visited the site, or because the broker paid you a lot of attention in the first few weeks. If Cobalt Code is trying to hold onto your funds, it may try to pressure you into another trade when you ask for a withdrawal. If Cobalt Code is a no-withdrawal broker, most likely there is a problem with their license.
Unfortunately, many non-withdrawal brokers use these excuses as a cover to give the impression that they are not scammers. There are several cases where brokers try to come up with silly excuses not to pay traders. Doesn’t allow you to withdraw money from your account. These are some of the warning signs of a troubled broker.
Some less than honest brokers will be aggressive with clients and encourage them to make certain trades. Most traders do not research the pros and cons of a broker, so the broker ends up cheating them. On the other hand, if the broker no longer provides communication methods such as email, phone, text messaging, and chat, and has a support team that does not seem to understand the trade or is evasively asking certain questions, this could be a sign that a scam is or at least a low-quality broker. Sometimes it can be difficult to tell a real broker from a scammer.
Sometimes, in Forex trading scams, the fraudulent broker only offers their own platform, which may turn out to be fake. Some fraudulent brokers restrict clients to their own platform, which may not be a platform at all, but a bogus. The broker may offer a deal if you sign up quickly, or they may tell you that the opportunity to make a lot of money will disappear in a day or two if you are in no rush to open an account. This tactic is a sign of a brokerage scam.
An honest broker review will never skip withdrawal processing. If you have already lost money from a broker without withdrawal, contact us for advice. At (fundraising agency) we can predict and deal without a withdrawal broker.
Most brokers have accounts that differ depending on the amount of money being traded. They may also say that local taxes require them to charge a certain amount of money for withdrawals.
However, this is complicated by both the anonymous concept of money and the way the cheats will no doubt use the bitcoin exchange to immediately manipulate the currency to receive money. It may sound obvious, but it’s not so obvious with a rogue broker.
Therefore, we recommend that you report fraud and submit a review to Cobalt Code as the first step towards getting your funds back. Unfortunately, if you’ve been scammed by Cobalt Code and don’t know how to get your funds back, we can definitely help you.
These fraudulent brokers exhibit fraudulent behavior such as warnings from well-known regulatory authorities, copying of other legitimate brokerage sites, lack of regulation, illegal bonuses, and withdrawal conditions, etc. In general, the FCA advises UK investors not to invest with this broker. However, the Forex broker does not have a compulsory FCA license to do this. The Forex broker is licensed by the VFSC, but this is not enough to offer financial services or products in the UK or Europe.
For further reading, please see Cobalt Code: scam