Scammers are posing as authorized businesses using genuine company logos and other identifying information. They have categorically said they have not licensed LeadtradeSfx to conduct business in the UK.
Currency trading is often a sophisticated and high-risk endeavor. Rogue traders have a more challenging time affecting the price of a currency due to the high volume of regular trading activity. Through this mechanism, the market is more evident to those investors who can participate in interbank trading. This, however, has not prevented scammers from entering the market as brokers with attractive offers.
Retail investors should familiarize themselves with the forex market and its terminology to keep safe before signing up with a broker. Investors should also inquire as to whether or not the broker is regulated before signing up. It is important to trade only with regulated forex brokers to avoid losing money.
There are a few things the company claims about itself. It purports to be a regulated broker dealing with forex, cryptocurrencies, indices, bonds, stocks, and commodities. It also promotes itself as a multinational enterprise with 16 regional offices and multilingual phone, email, and chat support services.
When researching a potential financial services provider, it is vital to know as much as possible about the firm behind the operation, its physical location, and the types of licenses it holds. Legit brokers will also have the necessary legal forms available to them. The mere fact that somebody can access it does not prove that it is accurate or free of bias. However, without these features, you’re likely dealing with con artists.
LeadtradeSfx Founders and Team
We could not find any information about the company’s founders on the website. The emergence of the firm seems mysterious. It’s strange that the company that purports to be international and doesn’t reveal its founders. More importantly, they did not provide a date for the company’s inception. The company does not mention any names of workers anywhere. Although they advertise themselves as a transparent platform, they aren’t.
A company owes it at least to its customers to offer valid contact information. The location of the company’s main office is also crucial for participants. There are multiple ways to contact a business: via email, by phone, or by visiting its physical location. This company has, however, only provided an email address.
Rep reputable businesses maintain active social media profiles to facilitate communication with their clients further. Trusting a corporation like this with your private information is a bad idea. There is a chance that the fraudsters will turn the information they have gathered against you.
According to whois.domaintools.com, the company was created on 2022-08-27 and will expire on 2023-08-27. This is a typical feature common among many forex scammers. There is more to the website, however. After further research, we realized that it is a clone website. Believe it or not, they have stolen the identity of Admiral Markets, a reputable UK-based broker that has just rebranded as Admirals. When we clicked some of the tabs on their website, we were redirected to the Admirals website. This is a tactic to convince you of their legitimacy. Do not be fooled by this gimmick!
Regulation Status of LeadtradeSfx
One of the reasons LeadtradeSfx is using the Admirals’ website is to give the false impression that it is regulated by the Financial Conduct Authority (FCA) in the UK. However, FCA has flagged this firm as a scam! According to the FCA, Scammers are posing as authorized businesses using genuine company logos and other identifying information. They have categorically said they have not licensed LeadtradeSfx to conduct business in the UK.
FCA noted that fraudsters are exploiting the details of firms they authorize to dupe individuals into believing they work for a genuine, licensed company. The FCA warned that fraudsters often use this method when contacting people out of the blue, so you should be especially vigilant if you have received a cold call. Be wary that scammers may give out other bogus facts or blend these with some authentic details of the registered firm. Over time, they might switch to a new physical address, email or phone number.
These scammers have copied Admiral’s logo and some of its text. However, if you sign up, you’ll be taken to a dashboard that looks strange and asked to deposit bitcoin, both of which are red flags that you’re about to be scammed.
Never, ever put your hard-earned cash on the line with untraceable websites that are rife with conflicting and deceptive information. You should look into one of the many companies that operate legitimately under the watchful eye of reputable regulatory authorities, such as the Cyprus Securities and Exchange Commission (CySEC) or the Financial Conduct Authority (FCA) in the United Kingdom.
Before entering a trade, it is essential to have a thorough familiarity with the state of the market. The spread, leverage, minimum deposit, and commissions are some of the variables involved. This is what a trader considers when choosing a broker to work with. Most investors like brokers who offer tighter spreads. Be wary of brokers, though, who offer spreads that are too good to be true.
The company offers a leverage of up to 1:500. This is reasonable. However, just because it gets one thing right does not mean it is legit. Furthermore, there is no telling whether this is the case when you open an account. There are also low spreads from 0.8 for the EUR/USD pair. This is quite enticing. However, market conditions keep changing, and no broker can guarantee fixed spreads. In case they change, you can lose your money due to slippage, especially when there is major economic news.
Deposit and Withdrawal Methods
To fund your account, you can only use Bitcoin. Financial con artists frequently act in this way. Because cryptocurrencies provide some anonymity for the scammer while also preventing the victim from requesting a refund, they are the preferred method of payment.
It’s no surprise that bitcoin is the only currency accepted by LeadtradeSfx. Once a bitcoin transaction is recorded on the Bitcoin ledger, the money is gone permanently, as with all crypto payments. Once the payment has been made, it cannot be undone, even if you later discover that you have been the victim of fraud. There is also no way to verify the identity of the owner of the bitcoin wallet you are using to send money.
Although the broker advertises compatibility with MetaTrader4 and MetaTrader5, none of which are actually available for use. Once you sign up, you will get a strange dashboard. Once you sign (which we highly discourage), it’s plain to see that besides making a deposit, you can’t do anything else, including making a trade. Although they have a demo account, you cannot start using it until you register.
LeadtradeSfx is a scam. Do not fall for these smooth-talking con artists by providing them with your email or phone number. Instead, look for legitimate, trustworthy brokers if you’re interested in the financial market. Before doing business with a Forex company, we recommend that you do your homework and research about them. Be very careful not to fall victim to clone websites. Always double-check that you are on the correct company website.