Fxbit-Traders – Is this a Scam Broker?

Fxbit-Traders

Who has not heard stories of scam brokers? Anyone who has been trading, or is even thinking about trading has probably heard that there are fraudulent platforms that exist in the market. Thus, when you decide to open a trading account, you have to be cautious and do your homework because you do not want to end up with regrets that will haunt you later. Lots of people make the mistake of believing it cannot happen to them, but it can and it does. This is because the scam operators are very good at what they do and this Fxbit-Traders review shows you how they accomplish this feat.

First off, your priority should be to take everything with a grain of salt when an online broker is offering you their services. It is expected that they will promote their services and make tall claims because their goal is to draw people to their platform. There is a lot of competition in the market, with thousands of brokers having been established and new ones being launched with each passing day. Therefore, there is some exaggeration to be expected. But, there is a difference in making tall claims and being an impostor and bogus platform.

These are designed primarily for the purpose of exploiting people and stealing their money and data, which is exactly what you want to avoid. In order to find out, you have to peel away the layers and dig into the broker because that is the only way for you to know what kind of broker you are dealing with. One of the numerous platforms that you will find is Fxbit-Traders and it has posed as a binary options broker to draw attention. But, is it authentic or a scam? When you start peeling its layers, you will find that it is an elaborate scam and nothing more. What are the indications? Go over them below:

It is not regulated

The regulatory status of every online broker is relevant because for the most part, this is the feature that helps separate reliable and unreliable platforms. Scam brokers are usually unregulated and do not have a license to offer their services. They are not monitored by any regulatory authority, so they are free to come up with their own policies and rules and do not have to answer to anyone. Regulated brokerages, on the other hand, can offer you numerous protections because they have to uphold high standard of services and comply with rules and regulations. Is Fxbit-Traders regulated?

When you check out the Fxbit-Traders’ website, you will find that the brokerage does not make any claims about regulation. This is a concern because regulated and licensed companies will mention their status and even license number, so you can follow up and verify. But, there is no such thing provided on their website. The only detail that you will find is an address of the broker’s office and it is based in London, United Kingdom.

In order to operate in the UK, any forex broker needs to have a license from the Financial Conduct Authority (FCA). This is the regulatory authority of the UK and they have some strict requirements that brokers have to comply with. However, a search of their online register does not show Fxbit-Traders mentioned anywhere, which means the broker is not regulated. This means that either it has mentioned a fraudulent address, or it is operating from the UK illegally. Does this sound like a legitimate broker? Of course, it does not.

It has malicious Terms and Conditions

When you sign up with any online broker, they would ask you to agree with their Terms and Conditions. This is expected and you should not have a problem in doing so. But, you should go over them before agreeing, so you know what you will have to comply with. When you do the same with the Terms and Conditions mentioned on the Fxbit-Traders’ website, their bonus policy will come as a shock.

You should note that trading bonuses are a practice that has been banned in multiple jurisdictions because of their exploitative nature. This also applies to the UK, where Fxbit-Traders claims to be based, yet it is still offering these bonuses. Not only is it offering them, but its policy is also the perfect example of why they have been banned.

According to the Fxbit-Traders’ bonus policy, traders are not allowed to make a withdrawal until they have achieved a specific turnover. The problem is that this applies to all the money in your account, which means not only will you be unable to withdraw the bonus and profits generated from it, but also the money you deposit and profits you make from it. To put it simply, the policy is designed to prevent people from withdrawing money and since the turnover is almost impossible to achieve, the broker gets to keep all your funds, which is exactly what they want.

It does not have a trading software

When you go over Fxbit-Traders’ offerings, you will discover that it is not offering its clients CFDs; it is a binary options brokerage. This means that you place bets on whether the price of an asset will rise or fall in a specific timeframe and benefitting if your prediction comes true. In order to place these bets, you would obviously need a trading software and this seems to be lacking.

If you try to access the trading software on the Fxbit-Traders website, you will only find a chart. The problem is that it does not offer you any way to interact with it. It is only meant to create an illusion of a software and nothing more.

It accepts crypto deposits only

Another issue with Fxbit-Traders is the fact that they only accept deposits in cryptocurrencies, which means you cannot hope to file for a chargeback in case there is a scam. These deposits are permanent and also anonymous to a certain extent, so the scammers can get away with your money.

Conclusion

All of these signs show that Fxbit-Traders is nothing more than a scam broker that you should avoid at all costs.