Dizl FX Ltd Review: Do Not Deal With This Scam Broker
Dizl FX Ltd was an online broking scam that used deceit to defraud its victims. On the site, there were claims that the company was legally registered in Vanuatu, as well as some other false claims of regulation. These were all of the course lies used to attract potential victims.
In order to more easily understand what makes deals with this kind of an entity dangerous, we should make a parallel with how a licensed broker operates. The purpose of this Dizl FX Ltd Review is to inform the greater public of such dangers, allowing our readers to easily recognize and avoid such suspicious websites.
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Dizl FX Ltd Regulation and Fund Security
There are many scammers that fake legitimacy by claiming they possess various legal licenses. Dizl FX Ltd had made claims that they were registered in Vanuatu as a lawful company. Searching Vanuatu’s registry with the name and registration number provided by Dizl FX Ltd has returned no results, meaning they had no registration of any kind.
Dizl FX Ltd also faked other international documentation pertaining to licensing and regulation. For instance, they have claimed to be regulated by the authorities in the UK, but there was a discrepancy with this claim. You see, Dizl FX Ltd said they had authorization with the SEC, which is a US agency. The financial regulator of the UK is called FCA.
The FCA of the UK is one of the strict financial regulatory authorities in the world, and a license obtained by this regulator commands respect. This is the case because of the many security and safety conditions that a broker must satisfy before being eligible for a license. Let us touch up on what FCA requires:
- £730,000 of initial starting funds
- Compensation scheme of up to £85,000
- The maximum allowed leverage is 1:30
- Negative account balance protection for clients
- Segregated bank accounts for added safety
- Complete transaction transparency
- Ban on bonuses of any kind
There are similar safety mechanisms in place with the SEC in the US. Negative balance protection and a compensation scheme are not required and max leverage is 1:50, but this is well balanced with a US$20,000,000 of starting funds requirement.
Needless to say, Dizl FX Ltd does not satisfy any of these regulatory standards. Just to be on the safe side, we have checked databases of both FCA and SEC for entries about Dizl FX Ltd. Once again, we found no entries. This makes it definite – Dizl FX Ltd are a bunch of lying scammers, and they are completely unregulated and unsafe!
Trading Software Overview
On the website, these frauds claim to offer the most popular and up-to-date platforms, but there is a problem with actually verifying these claims. There is a catch when it comes to both the trading platforms and the accounts in general, you see. You can’t access any trading utilities without making an initial deposit.
The platforms in question are Metatrader4, Metatrader5, and IRESS. MT4 and MT5 have become industry standards, and offer many advanced options to their users. MT4 has great flexibility and excellent market execution speed thanks to the years of incremental development of this software. MT5 on the other hand is a versatile tool that allows advanced market analysis and has high compatibility with automated trading solutions.
Account Types Available
Information about trading accounts is also hidden behind a paywall. No trials or demos with Dizl FX Ltd – cough up the cash first, then they’ll let you know how an account works! For people who are well-versed in online trade, the idea of not knowing the details of an account before a deposit is completely ludicrous.
It’s easy for a rookie to get hooked this way, unfortunately. Currency retail is a confusing subject, and this is why all regulated brokers offer education, as well as further insight into their accounts through a free demo. Many reliable brokers will also supply a variety of accounts that are billed in different ways – through spread, commission, swap and by other means.
Deposits and Withdrawals Procedure
Dizl FX Ltd only accepts Cryptocurrency payments. You don’t own any crypto? Don’t worry, they have direct links to websites selling crypto. The problem with cryptocurrency transactions is the lack of financial safety more traditional methods like Bank Cards or Bank Wire transfers offer.
Withdrawals are a convoluted mess as well. Not only does Dizl FX Ltd charge upwards of 20% of the withdrawal fee, but there are also some special terms the client must satisfy before being eligible to withdraw. These conditions apply to the bonus, as the client must create a trading volume that outweighs the mentioned bonus.
How Is Fraud Carried Out?
Dizl FX Ltd uses lies and deceit to attract unwary novice traders by promising good trading conditions. These trading conditions remain unclear until a victim deposits their money, and the only way to make a deposit is through Cryptocurrency. Once the deposit is made, it becomes clear that something is amiss.
There are exorbitant withdrawal fees to pay, and there is no trading to speak of. When a victim attempts to withdraw, they will be greeted with unreasonable terms and conditions. Crypto is nearly untraceable, so good luck charging your money back. The swindlers stop answering calls and emails and quietly disappear, as we can see from the defunct state of their website.
Dizl FX Ltd Summary
Broker is an online scam. The frauds falsified many of the required documentation, such as company registration and trading licenses. There were mentions of high-quality trading platforms and trading bonuses, but these were hidden behind a paywall.
All promises are broken once the deposit is made, however. Crypto is the only payment method because of how difficult it is to trace. When the victim wishes to withdraw their money, they will need to pay an unreasonable withdrawal fee. The scam site is now unreachable, and the frauds are gone with the money.
FAQs About Dizl FX Ltd Broker
How Secure is the Dizl FX Ltd Trading Platform?
Dizl FX Ltd only promises a safe trading platform, but in reality it is a scam, and facilitates no trading to speak of.
Does Dizl FX Ltd offer Demo Account?
There is no demo account at Dizl FX Ltd, and the only way to even access the trading part of the website is after making a deposit.
Are Payouts Subject to Taxes at Dizl FX Ltd?
Payouts, or withdrawals are subject to a very steep withdrawal fee that can go as high as 20%.