Virtual Fxtrade Review: Never Deal with Virtual-FxTrade.Com
Virtual Fxtrade is a defunct front website for an online broker scam. While it was functional, Virtual Fxtrade used to claim that they are based in New York, the US, but an address that is given on the site is one in the UK. We will scrutinize these claims later in our Virtual Fxtrade Review.
Sometimes it is easy to notice something is wrong with a broker just by looking at the website itself. The website in question was poorly made and gave off a cheap feeling.
The claim of guaranteed 500% profit in less than 10 days was too much of a temptation for some rookies, however, and they fell for the scam. Furthermore, we highly recommend that you avoid the scam brokers Futurebotstrade, Mg Trade Solutions, and SuccessfulTrade24.
|Address||71 Cherry Court, Southampton S053 5PD, UK (false)|
|Bonuses||Various deposit bonuses|
Virtual Fxtrade Regulation and Fund Security
We can easily test how credible a broker is through 2 main arguments. These are the transparency of the company information, and the presence or lack of regulation.
Trusting Virtual Fxtrade is very difficult, seeing how they mish-mash different information right from the start. They claim that the company is based in New York, US, but the only address we have found was one in Southampton, UK.
Brokers that wish to start conducting business in the US have some very strict conditions they must satisfy. One of these is a starting fund of at least $20,000,000. This mechanism ensures a broker is unlikely to go bankrupt. This is also why the poor design of the Virtual Fxtrade website, which is riddled with grammatical errors, is a bad sign.
The US of A and the UK are literally half the planet apart, and so are their financial regulation laws. In the UK, the minimum starting capital is lower, £730,000 but a compensation fund of £85,000 is required, unlike in the US. Client fund safety is guaranteed with segregated bank accounts in both countries, but the UK also requires negative balance protection for clients.
Another difference is in the bonuses – the UK does not allow any, but they are legal in the US. Maximum leverage is different as well, with a leverage cap of 1:50 in the US and only 1:30 in the UK. Both countries require financial transparency when it comes to transactions.
Just to be sure, we have checked the databases of the main financial regulation agencies of both the US, named CFTC and the UK, called FCA. Neither of these database searches yielded any results.
Virtual Fxtrade Trading Platform Overview
The trading platform at Virtual Fxtrade was difficult to review… Not because the website is shut down, but because there wasn’t one to begin with! This means that it was impossible to trade or speculate any assets through Virtual Fxtrade. If you had any doubts about this being a scam, now it’s clear – how can a company be called a broker if you can’t trade anything?
Brokers that have all the required licenses and authorization only become profitable with their client’s successful business. Current industry standard software are MT4 and MT5. These versatile platforms each have their own pros and cons. MT4 is an earlier solution, but it now boasts one of the fastest market execution speeds to minimize slippage. MT5 is a more versatile platform that allows multi-asset speculation and trading automation utility.
Account Types Available
Not much information is left about Virtual Fxtrade accounts. The accounts are typical scam broker ordeal – it looks like they are different on the first glance, but the only real difference is the minimum deposit amount.
As scam sites go, these are quite cheap. The minimum deposit is $350 for Standard and goes up to $1,100 for Premium. At least these frauds weren’t all that greedy. The site did mention a demo account, but we can’t test this claim right now.
Of course, this contrasts with what legitimate brokers offer to their clients. With an authorized broker company, you can expect different accounts to have various billing strategies. Some are based on spread, and others have committed. Regulated brokers always offer demo accounts.
Virtual Fxtrade Deposit and Withdrawal
Imagine going into a grocery store in the morning, only to find out that the grocers only accept bitcoin for payment. Weird idea, right? Well, the same can be applied to online forex brokers. Many authorized brokers do accept crypto for payment, but there are many other secure channels like Bank Cards and E-Wallets available.
Crypto payments are insecure and lack both transaction transparency and account chargeback. This is why frauds like Virtual Fxtrade use it so extensively. Withdrawals with this company are even shadier.
Unrealistic trading volume requirements make any withdrawals costly. Withdrawing more than 25% of accumulated funds with this bogus broker is only possible if you disavow any profits you’ve made.
How the Scheme Was Put Into Practice
Once the Virtual Fxtrade website was first up, the perpetrators started bombarding the internet with positive reviews. This would increase the website’s overall traffic, making sure somebody would be foolhardy enough to make a deposit.
Scammers have also guaranteed unrealistically high profits to make the temptation that much more difficult to resist.
Rookie traders are very prone to these scams, because of their lack of trading experience and expertise. Virtual Fxtrade would capitalize on this by playing on the sense of urgency with this demographic.
Every bit of information is hidden until you make a deposit. By then, you’d realize the mistake and try to withdraw funds, only to be greeted by insane withdrawal costs. The money is lost, and there is little hope of having it returned.
Virtual Fxtrade Summary
Virtual Fxtrade used to be an online crypto scam broker. Their website is defunct, and it’s all for the better.
The frauds behind this scheme used to hide the company data in order to remain anonymous. Their strategy was to attract as many victims as possible by spamming positive reviews and claiming a ridiculous guaranteed profit. We advise our readers to stay away from shady websites, and have a look at some of our regulated brokers instead.
FAQs About Virtual Fxtrade Broker
Is It Safe to Use Virtual Fxtrade for Trading?
Virtual Fxtrade is an unsafe, unregulated entity that doesn’t have a trading platform to begin with.
Do Virtual Fxtrade Offer a Demo Account?
Virtual Fxtrade did claim to offer a demo account, but we cannot confirm or deny this claim right now because their website is offline.
What Is The Funding Method of Virtual Fxtrade?
Virtual Fxtrade only accepts cryptocurrency transfer as a payment option.