FXYtrade Review – The Prominent Issues with the Broker

FXYtrade Review

Financial markets are lucrative by their nature, so it is not surprising that with the advent of online trading, millions of people all over the world have taken an interest in them. While some people have enjoyed success, others have had to struggle and have also suffered hefty losses. The reasons for these can vary, but one of the most notable ones is their inability to choose a good broker for their needs. Just because there are thousands of companies offering their trading services in the market doesn’t mean you can choose any platform at random. This FXYtrade review can tell you why.

You will quickly learn that no two companies can offer you the same services. There will always be differences and not just minor ones. The only way you can learn about them is by studying a brokerage carefully and then you can decide how you wish to proceed. It is not just about finding the right fit; it is also about ensuring that you are not trapped into some fraudulent scheme. Indeed, a number of companies masquerading as brokerages are just a sham.

In reality, their aim is to steal your money and disappear, something that has happened quite a lot in the financial markets. You just need to run a search to find out just how common it is. The question is why people continue falling into these traps if they are aware they exist. This is because these scammers have well-designed websites that promise all the right things and this can make it difficult to learn their true nature and intentions until it is too late.

You will find that FXYtrade is an excellent example of such a brokerage because at first glance, you will find everything you need available on their website. They have a variety of assets and offer you all the relevant information that a legitimate and professional brokerage will share, such as leverage, spreads, order execution details and details about their regulation.

But, a closer look shows that FXYtrade is not what it claims to be because there are lots of issues you will come across. What are they? Some of the prominent ones are highlighted as follows.

The regulatory claims are false

Dealing with a licensed and regulated brokerage should be your priority when trading online because they can offer you safety and reliability that you cannot find elsewhere. You do not want to take the risk of being scammed and this is something you don’t have to be worried about with a licensed and regulated brokerage. When you check out FXYtrade, you will find that it claims to be licensed by several regulatory authorities and they will undoubtedly impress you.

First off, it claims to be regulated by the Financial Conduct Authority (FCA) in the UK, one of the most renowned regulators in the world. It also claims to be under the oversight of the CONSOB in Italy and the European Securities Markets Authority (ESMA). Next, FSYtrade also claims to be authorized by an organization called the ‘Financial Authority’ and the Prudential Regulation Authority (PRA).

There is no doubt that this will leave anyone impressed, but you have to dig into the claims to verify their authenticity and this is where things get sticky for FSYtrade. A check of the online registers of the FCA and CONSOB show that the brokerage is not listed anywhere. You can also use the company names it mentions on its website, such as JPT Ltd., or FXY Trade & JPT Ltd, to search and not find it mentioned.

This alone shows that you are dealing with a scam, but there are more issues you will find. The ESMA claim is also false because it does not regulate individual brokers, but serves as an umbrella organization for all regulatory authorities in the EU. There is no entity named ‘Financial Authority’ in the UK or elsewhere and the PRA regulates credit unions, building societies, investment firms, insurers and banks in the UK, so all of these claims of FXYtrade are also just a way to mislead people.

The anonymity is a problem

The fact that FXYtrade is lying about its regulatory status is a major issue that cannot be ignored, but things only get worse from that point. This is because you will find that the brokerage is completely anonymous.

When you go through its website, you will find it devoid of any company information. There is no corporate address given, or any corporate background to tell you who you are dealing with. As a matter of fact, the FXYtrade website does not even have a phone number or an email mentioned in its contact section, which shows you are not dealing with a genuine company at all.

The trading platform is no good

Even though you will find that FXYtrade makes big promises of offering a user-friendly, time-proven and multi-functional trading platform to its clients, it certainly does not fulfill its promise. In fact, it goes as far as claiming to offer the MetaTrader 4 (MT4) trading platform as well, which is undoubtedly known as one of the top trading solutions in the market.

However, once you register with FXYtrade, you are in for disappointment because what you will find is a basic and over-simplified web trading platform, which is commonly provided by many scam and shady brokerages.

Third-party payment methods

A look at the payment methods that you can use on the FXYtrade website shows that it supports major credit and debit cards like VISA and MasterCard and also allows you to use cryptocurrencies like Bitcoin. The problem is that when you try to use a credit card for payment, you have to use a third-party payment provider to do so, which does not help the broker’s credibility at all.

Using an obscure payment provider makes it unsafe and if you use Bitcoins to deposit with FXYtrade, it means that you will not be eligible for a chargeback.

Ending Thoughts

These prominent issues with FXYtrade can help you see that it is not the kind of brokerage that can help you achieve success in the financial markets.