Capital Zone Review – Is this Broker Safe?

Capital Zone Review

With the number of scams that have been taking place left and right in the trading space, it is natural for people to be a bit hesitant about online trading. But, there is no denying the convenience and ease it has to offer, so it is best for you to approach the task with caution.

Most of these scams involve fraudulent brokerages that may present themselves as genuine platforms, but are only out to con people out of their hard earned money. This Capital Zone review shows you one such brokerage that tries to trick you into believing its story.

The reason that people fall for their story is because it is extremely convincing. These fake companies hit just the right notes when it comes to designing their package and this drives people into opening an account.

Unfortunately, they learn their lesson after they have suffered losses and you do not want to be in that category. So, what should you do? You do not want to face the same consequences and the only way to avoid it is by finding a reliable and safe broker.

Indeed, there are plenty of those to be found and they can help you in enjoying a profitable and smooth trading journey in the long run. The only real challenge is finding them because a lot of fraudulent brokers present themselves as authentic ones to get more victims.

The same is the case with Capital Zone because it seems to have a fairly good-looking website with a good trading platform and extensive Terms and Conditions.

It seems to offer you a speedy sign up process, which is exactly what people want when they wish to start trading.

Most importantly, you will find that Capital Zone also claims to be regulated, which is considered the sign of a legitimate brokerage and it offers multiple accounts and top-notch customer support, which round out the package nicely.

But, is it really what it appears to be? Unfortunately, this is not the case and you will come to this conclusion after you have taken its story apart. Let’s get started:

The licensing and regulation

As mentioned above, the regulatory status of a brokerage can be used to determine if it is legitimate, or not. A company that is licensed and regulated can be trusted because it adheres to standards and policies and its activities are also monitored by a third-party authority.

In addition, it can also be held accountable in case of any issue and action can be taken against it. It can offer you safety of funds and peace of mind when you are trading online.

Therefore, prioritizing regulated and licensed brokers is the smartest decision for traders. Scam brokers are well-aware of this, so they hide their true nature by pretending to be regulated and licensed, something that Capital Zone is also doing.

According to the brokerage, it claims to be licensed by some of the world’s most renowned regulatory bodies, such as the Financial Conduct Authority (FCA) in the United Kingdom, the International Financial Services Commission (IFSC) in Belize and the Financial Services Commission (FSC) in Mauritius.

While the FSC in Mauritius is not exactly a reliable regulatory authority, given that they oversee an offshore jurisdiction that is not known for its tough rules and policies, the other two authorities are quite well-known and well-respected too.

But, when you run the name of Capital Zone in their online registers, you are not going to find the brokerage. This is evidence that the broker is lying about its regulatory status and no authentic company would ever do so.

In fact, when you go through the offerings of Capital Zone, you will find further evidence that it cannot possibly be licensed.

Terms and Conditions

You have to go through the Terms and Conditions of a broker before you open an account with them because these dictate what policies you will be complying with and what you can expect from them.

It is essentially a contract that you sign with the broker and checking them can save you from surprises. First off, you will find that Capital Zone is offering trading bonuses, which is already a big problem.

This is because brokerages registered in the UK cannot offer these bonuses, as they are banned by the FCA, so you get proof that Capital Zone is indeed lying about its regulation.

Secondly, you will also find that the bonus policy in the Terms and Conditions of Capital Zone does not really offer any clarity. They are vague at best and this is a worrying sign because these bonuses usually come with strings attached due to which they had gotten banned.

It makes it likely that you will learn about the strings later when you use Capital Zone’s services and this can result in you losing your money.

Trading platform

The most important feature of any online broker is their trading platform, but Capital Zone is unable to offer you the industry leading platforms known as the MT4, or the MT5. The only platform that you do find is a basic web trader that is common amongst a lot of scam brokers.

It does not come close to offering the trading tools that you would get from cutting-edge platforms and this will always be a disappointment.

Minimum deposit and payments

The fact that Capital Zone demands a minimum deposit of $1,000 is also a sign that the broker is not safe. No legitimate brokerage would ask such a hefty amount upfront from their clients.

The maximum is $250 and these days, companies have chosen to waive off that as well. Nowadays, they allow people to open accounts for as low as $10.

Moreover, only Bitcoin and Tether deposits are supported at Capital Zone and this also adds to the problem because there will be no chargebacks possible. The high deposit and no refund policy indicates exactly what the brokerage is up to.

Conclusion

Capital Zone cannot be categorized as a safe broker for any trader because it is lying about its regulation, not offering chargeback, demanding too much money and is vague in its bonus policy.