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UK’s FCA flagged KontoFx, WiseBanc, and Crypto Options Trader

Oct 04 2018
By
Jonathan Smith

 

The Financial Conduct Authority (FCA) keeps adding more and more unregulated brokers to its warning list. Some of the recently flagged ones are forex brokers KontoFx and WiseBanc, as well as crypto binary options broker Crypto Options Trader. The FCA alleges that they have been  providing financial services or products in the UK without its authorization.

 

Almost all firms and individuals offering, promoting or selling financial services or products in the UK have to be authorised by us”, the UK financial watchdog states in its official warnings. “However, some firms act without our authorisation and some knowingly run investment scams.”

 

KontoFx and WiseBanc both offer trading in wide range of financial instruments, including Cryptocurrency CFDs on some unproven web-based platforms. The websites of those brokers have not specified important trading conditions, such as the spreads or the leverage offered, as is often the case with scams. That being said, judging by the user reviews on KontoFx and WiseBanc uploaded on Forexbrokerz.com, these brokers have swindled a lot of traders out of their money.

 

The third broker flagged by the FCA, Crypto Options Trader, does not appear to be any different from them. This binary option broker focused on the crypto currency market has not even bothered to disclose the name of the company behind the brand.

 

Doing a due diligence check before investing in a forex or crypto broker is a must nowadays, when financial markets are plagued with fraudsters. This means looking for the company names of the brokers on their websites and checking whether the they are licensed in the respective jurisdictions. It is also a good idea to google the broker name to see whether there have been regulatory warnings against it or any user feedback.

 

The UK financial regulator keeps a Financial Services Register, where investors can look up their (potential) broker’s name.

 

>> Check out a list of brokers authorized by FCA <<

 

 

TAGS: FCA  warning  KontoFx  WiseBanc  Crypto Options Trader  regulation 
Broker Country Regulation Platform Min Deposit Review
Cyprus, UK, Mauritius CySec, FCA, FSC MT4, MT5, Web $10 Review Website
UK, Bulgaria FCA, FSC Web €29 Review Website
Australia ASIC MT4, MT5,
IRESSTrader
$100 Review Website
Cyprus, Australia CySec, ASIC MT4, MT5 $5 Review Website
UK, Australia, South Africa FCA, ASIC, FSCA MT4, Trading
Station,
NinjaTrader
$50 Review Website
UK, Cyprus, UAE, South Africa FCA, CySEC, DFSA, FSB MT4, MT5, FxPro
Markets,
cTrader
$100 Review Website
Cyprus CySEC MT4, MT5, Web $1 Review Website
Belize IFSC MT4, MT5 $100 Review Website
Cyprus, UK, South Africa, UAE CySec, FCA, FSCA, DFSA MT4, MT5, Web $5 Review Website
Cyprus, UK CySEC, FCA MT4, MT5 $1 Review Website
UK FCA MT5 $5 Review Website
UK FCA MT4, Web, MT4
for Mac
$100 Review Website
Australia, UK ASIC, FCA MT4, MT5,
cTrader
$200 Review Website
UK, Cyprus, Dubai FCA, CySEC, DFSA MT4, MT5, Web,
PrimeTrader
$100 Review Website

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