FX-global Stocktrade Review – Who Is Behind This Scam Broker?
FX-global Stocktrade is now offline, and even when it was operational much of the information was convoluted and discrepant. While the website was functional, you could almost instantly tell something was amiss.
This is not just because of the unfinished state of the website and design choices, but also some weird attempts to seem legitimate.
The people behind this false broker used to claim some peculiar thing. For instance, there was a company address in the UK, 66 Great Suffolk Street, London.
You’d think that the company was licensed by the FCA, but there was a forged license certificate issued allegedly by the state of Nevada, US. With all this, the scammers also added that they were regulated by CySEC in Cyprus.
These countries have some very different financial laws, and we will examine this further in our FX-global Stocktrade Review.
|66 Great Suffolk Street, London, UK
|The trading bonus of 15% on up to 20 daily trades
Is FX-global Stocktrade a Trustworthy Broker? Regulation and Security
First of all, we need to mention something very important about FX-global Stocktrade. We can see on what is left of their website that this company, if you can call it that, didn’t offer trading Forex or other instruments, but rather binary options.
Binary options allow expert brokers to squeeze out funds by using very difficult trading strategies. For this reason, the US only allows binary options to be traded in a regulated US-based exchange.
In the UK, binary options are reserved for professional brokers and are banned for retail trade. Member states of the EU have banned binary options outright, because of the inherent financial risks involved.
Different nations have different regulatory standards. In the US for instance, a starting deposit for a broker company is $20,000,000. This requirement is £730,000 in the UK, and in the EU the sum is €730,000.
Additionally, certain safety standards exist in the EU and UK that are absent in the US, such as Negative Balance Protection, and a ban on any and all bonuses.
We have checked the databases of different regulators for any companies under the name FX-global Stocktrade. CFTC from the US had no entries under the name FX-global Stocktrade, and neither did the UK’s FCA or Cypruses CySEC.
We have also checked other regulators, notably German BaFIN, Italian CONSOB, Australian ASIC, and Russian CBR. These database searches returned no results either, so now we can be sure that FX-global Stocktrade is not regulated anywhere in the world.
Trading Platform Overview
There isn’t much to say about the trading platform on FX-global Stocktrade, because it is a barely functional Web Trader.
Many regulated brokers consider this software to be obsolete and only offer it as a backup solution. Scam brokers often use only Web Trader, because they can easily edit the market data and show their victims false information.
Well-established brokerages will always use MT4, MT5, or their own custom software solution. MT4 is an established industry standard and a program that has seen constant improvement since its launch date in 2005. It is the fastest trading application currently on the market.
MT5 is a new development and a completely different software solution that closely reproduces the MT4 experience.
FX-global Stocktrade Trading Account
The accounts that FX-global Stocktrade used to offer are similar to what we would see with other scam brokers. These accounts only differ in deposit amounts, and not in market conditions, execution types, or spread.
The cheapest to fund is Mini, with an initial deposit of $300. On the other side of the spectrum is Platinum with a deposit that goes as high as $100,000. More expensive accounts yield larger trading bonuses.
We need to remember that most regulated brokers accept deposits of around $100 to begin trading. Some offer micro accounts that often require less than $10 deposited.
Funding Methods at FX-global Stocktrade
The only funding method that FX-global Stocktrade has given to their clients is cryptocurrency transfers. This method has become very popular even with regulated brokers recently.
Regulated brokers also offer different funding methods such as Bank Cards and E-Wallet payments, that are absent with scammers.
You see, scammers don’t want you to trade or God forbid withdraw any of the money you deposited. Cryptocurrency transfers are untraceable and lack the chargeback option that is available with Bank Cards and E-Wallet payments.
All transactions are final, and scammers usually block any withdrawals from their site. Once you’ve deposited your crypto, the money is as good as gone.
How The Scam Was Executed
Frauds like FX-global Stocktrade generally use deception and perceived urgency to attract victims. They advertise incredible trading conditions, hefty bonuses, and guaranteed profits that seem irresistible to the rookie trader.
Nobody wants to miss an opportunity of a lifetime, so people rush to make a deposit and start trading as soon as possible. Once the initial deposit was made, however, the whole sham becomes obvious but by this time it is too late. The money is in the scammers’ hands, and there is little to do about it.
FX-global Stocktrade Summary
FX-global Stocktrade is a non-functional online broker scam. This company used to offer extremely favorable market conditions and guaranteed profits in a volatile market of binary options. Their claims of regulation and licensing were a complete lie.
The only method of funding an account with these scammers was cryptocurrency transfers. Because this is a scam and not a legit broker, there were no actual trading implements to speak of. Beware of these frauds!
FAQs About FX-global Stocktrade Broker
What Funding Methods Does FX-global Stocktrade Accept?
FX-global Stocktrade only accepts crypto transfers.
Is FX-global Stocktrade a Trustworthy Broker?
No, this scam broker is not trusted as they miss the mandatory regulations and licenses.
Is FX-global Stocktrade Regulated?
No, every claim of regulation and license is a complete lie, and we made sure of it after checking the public registers of financial regulators.