Dotxscrew Review – Is this a Legitimate Broker?

Dotxscrew Review

Who hasn’t heard of cryptocurrencies these days? They have been making headlines for quite some time and there has been a lot of talk about the amount of money that can be made in this market. It has piqued the curiosity of many and thousands of people are looking for a platform to start crypto trading. Yes, these assets are very volatile, which makes them risky, but they can be quite profitable. But, where does this Dotxscrew review come in?

In order to start crypto trading, you have to proceed the same way as other financial assets i.e. first find an online broker. As soon as you do a Google search, you will find hundreds of options. Of late, the number of crypto brokers has surged rapidly due to the interest in this market, but this does not mean that you can just opt for a random broker.

You will find that most of them are offering you lucrative trading with lots of crypto assets and other features. However, you should bear in mind that since there is a great deal of interest in the crypto market and the knowledge about this market is not that widespread, it has become a fertile ground for fraudulent schemes and companies.

Moreover, the decentralized nature of cryptocurrencies has also facilitated these fraudsters and the number of crypto scams has skyrocketed. Thus, proceeding with caution should be your utmost priority if you do not want to lose your money. This means that when you come across a crypto broker, you should not forget to do your due diligence. You have to ensure it is legitimate and only then should you sign up with it.

This approach should also be followed when you come across Dotxscrew, which presents itself as an authentic and professional crypto brokerage. You should not just accept the claims they are making and diligently check the facts to ensure there are no discrepancies in their statements. When you do that, you will find just how Dotxscrew is trying to fool you. Read on to find out.

Licensing and Regulation

The most obvious sign of a legitimate and trustworthy brokerage is that it is licensed and regulated to offer its services. You will find that most of the scam brokerages are those that are operating without a license and are not regulated. This means there is no accountability and they do not have to comply with any laws or requirements, making it easier for them to scam their clients.

But, it is also a must to remember that anyone can claim to be licensed and regulated, so you should always verify their status before you trust them. The same applies to Dotxscrew because you will find that they claim to be a licensed and regulated brokerage in the United States.

They have mentioned this in their User Agreement and this claim can be impressive because the US is one of the most strictly regulated markets. Obtaining a license in the US is not easy, as you have to obtain approval from the Commodity Futures Trading Commission (CFTC) and also become a member of the National Futures Association (NFA) and meet a number of other requirements.

But, when you check the online registers of these regulatory authorities for the name of Dotxscrew, you are in for disappointment because it is definitely not licensed or regulated by either. In fact, it is actually breaking the rules of leverage that can be offered to retail traders, which means it is lying about its licensing and regulatory status.

Offer of Bonus

Who does not want a bonus? A trading bonus would definitely attract people and get them to sign up with a brokerage and this is exactly what scams like Dotxscrew count on. You will find that they are offering very lucrative bonuses, such as 200% welcome bonus. Who does not enjoy extra funds for trading? After all, it means more profits.

But, you should note that trading bonuses is not exactly a good practice amongst online brokers. As a matter of fact, it has been banned outright in some jurisdictions because these bonuses tend to have unfair and exploitative conditions. In most cases, they are meant to push people to trade more, which means deposit more.

As far as scammers like Dotxscrew are concerned, they usually use bonuses as a way to prevent traders from making withdrawals from their accounts. This is because these bonuses come with turnover requirements that need to be achieved before withdrawals can be allowed. The turnover if often so high that it is almost impossible to achieve, which means you will not be able to get your money back.

Trading platform

The most valuable feature of an online broker is their trading platform, which you use for trade execution. It offers you the tools and features that can come in handy during trading and help you make good decisions. Moreover, since it is used for execution, it has to be advanced and quick. When you are planning on signing up with Dotxscrew, you want to have access to a decent trading platform.

Unfortunately, you will not find one of the market-leading platforms like the MT4, MT5, or even the cTrader available, which are known to have innovative technologies and cutting edge tools. Instead, you will come across a very basic web trading platform that Dotxscrew is offering that has nothing special to offer to you. It is a common offering amongst scammers.

Payment methods

When you decide to engage in trading, it is understood that you have to make deposits and withdrawals during the process and this means checking payment methods. If you check Dotxscrew’s offerings, you will only find support for crypto assets. Is that a problem? Indeed, it is an issue because crypto payments tend to be final and there can be no refund, whatsoever. This means your money will be gone in case of a scam and there can be no recovery.

Final Words

Since it is lying about its regulation, only supports crypto payments and offers poor trading conditions, you can determine that Dotxscrew is not a legitimate broker.