Investing Scams are prevalent all over the world, especially online. Everyone is looking for an easy way to make alot of money. Here you will find information about hundreds of Forex Brokers and Crypto Trading brokers, in which some are licensed and many are not.
The most popular scams online are centered around Crypto Currency. Many websites are promoting automated trading systems, fake mining software, and free bots to generate bitcoin or other Crypto currencies.
Learn how to distinguish between a broker that is a scam and an established licensed company.
Forex, Crypto and Options brokers are divided into two categories; Licensed and Unlicensed, Regulated and Not Regulated. The best broker to use for someone living in London, United Kingdom is much different than a suitable broker for an investor in Miami or Sydney, Australia. There are also many factors a trader must consider before choosing a broker.
Smart Currency Investors
The best Forex brokers are always licensed and regulated by the financial regulator in the country that they are based in. Many of the best Forex broker in Europe are based in Cyprus, and they are regulated the Cyprus Securities and Exchange Commission, also known as CySEC. The European law called MiFID, allows a financial firm regulated in one country, to do business and provide services in other European Union member countries.
Australia licensed Forex brokers are regulated via their regulator called ASIC, and the largest Australian brokers are all licensed by ASIC.
It is incumbent upon investors to verify that the broker they choose, is actually a licensed broker, and that the brokers license in still valid.
Comparing Forex Brokers
Here are five items that every investor should check when comparing a new broker.
- Are They a Licensed Broker?
- Which Trading Platform Are They Using?
- What is their Minimum Deposit Requirement?
- What are the term of their Bonus offers?
- Do They Have Any Unique Assets or Service?
When an investor has the answer to these five questions, it is easy to see from your research if the investment makes sense or if it is just another investing scam.