Amaffx is the fishiest broker we’ve encountered for the last couple of months. There is something profoundly wrong with it, but at the same time, many people may get entrapped by the sleek website and the seemingly good offers made by this broker. It’s even registered with a Canadian financial agency, which in our opinion, makes it even more dangerous for traders. Amaffx is a scam, and we are going to explain why in the following review.
Amaffx REGULATION AND SAFETY OF FUNDS
Amaffx is a brand of AMAFX MARKET GLOBAL GROUP LTD, a company incorporated in September 2020 in the UK. Its nature of business is “Other information technology service activities”, and it shouldn’t sell financial services to the public. Still, we diligently checked and found no license in the register of the UK regulator FCA, just as expected. However, that’s just the beginning of the story. Amaffx claims to be licensed in Canada, and indeed it is. It turns out that the broker is registered with the Canadian financial intelligence unit FinTRAC as a foreign exchange dealer. So, at this point, some people can fool themselves and believe it’s a legit entity. Well, it’s not. First of all, the FinTRAC license doesn’t cover leveraged trading and then to operate as a Canadian broker, Amaffx needs to be registered with the Canadian regulator IIORC, too.
Those things considered, we can conclude that your funds will be in danger if you deposit with Amaffx because it’s unregulated. In addition, the broker’s attempts to present itself as if legit strongly indicate it’s fraudulent. In fact, that’s yet another scam scheme, and we are going to prove it in the following sections.
Avoid Amaffx, and check the high-rated EU brokers and British brokers, instead. The European companies are adequately regulated, but most importantly, participating in deposit insurance funds created to protect investors’ money if things go wrong. For example, CySEC brokers’ clients can claim up to 20 000 EUR in case of bankruptcy, while the British guarantees are up to 85 000 GBP. The deposit funds guarantee extra customer protection, and if you can open accounts with European companies, you’d be safe.
Amaffx CFD TRADING SOFTWARE
Amaffx delivers MetaTrader4, which is a top Forex platform, but its distribution is dysfunctional. To draw a better picture of what’s going on, we’ll start with the brokers’ offers. Amaffx offers three types of accounts- self-trading, copy trading and social trading. The copy trading account allegedly comes with some fishy insurance protection that guarantees 90 days of risk-free trading and full reimbursement in case of losses. That’s a scam!
So, as Amaffx provides a dysfunctional platform, they’ll apparently try to entice traders into their copy and social trading business, which is indeed a suspicious MLM scheme. Well, we are just speculating, but what do you think about a broker with an ornate platform displaying the EUR/USD quotes of 2011, as you can see from the picture below. That’s a scam!
That being said, we’d like to offer the high-rated MetaTrader4 brokers and MetaTrader5 brokers on both lists, which deliver the best Forex platforms. The MTs are packed with advanced features such as Expert advisors, many indicators, and excellent charting tools. The software also includes a marketplace with more than 10 000 apps and third-party developed solutions, which happens to be an unrivalled advantage.
As for leverage, the single possible option is 1:500– an insanely risky ratio that can cause severe losses if not carefully used. Still, the broker can’t provide real trading as its platform is faulty, so the 1:500 leverage offer turns out to be fraudulent. In addition, Canadian and British brokers can’t offer 1:500 for their customers, which proves that Amaffx can’t in any way be regulated. What a mess! That’s a scam!
Speaking of leverage, it is so dangerous that many regulators strictly control its usage, so licensed EU, British and Australian brokers have to limit retail clients to 1:30 for FX majors, while Canadian brokers and US brokers to 1:50. Swiss brokers are reliable but not leverage restrained, so risk-tolerant traders eligible to open an account in Switzerland can safely go for it. Leverage is risky, and you’d better use it wisely.
Amaffx DEPOSIT/WITHDRAW METHODS AND FEES
There is no minimum deposit specified, but you shouldn’t put even a dollar there. The funding methods are cryptocurrencies only, which makes the Amaffx even fishier. That’s because crypto transfers are final and non-refundable, so the broker apparently wants to evade dealing with chargebacks. Cryptos can be innovative and convenient, but scammers prefer digital money for the lack of transparency and governance as it helps them remain anonymous. It’s always safer to deposit via bank cards as it’s allowed to dispute transactions and eventually get a refund. In addition, it’s always highly suspicious if a broker insists on Bitcoin funding only. Beware!
Nevertheless, see our lists with Skrill brokers, Neteller brokers, FasaPay brokers, Sofort brokers, and Bitcoin brokers if you have a preferred e-wallet or a trusted payment system. The high-rated companies are well-regulated, and you won’t face scammers, so you can safely open accounts.
Overall, we just exposed Amaffx as fraudulent, so you should steer clear of it as soon as you see it.
HOW DOES THE SCAM WORK
Fraudulent brokers and fishy websites come forth every single day. Nevertheless, most new scam projects represent a modification of common fraud that’s similar from country to country.
Nowadays, scammers are stalking victims mainly on the Internet and social media. Their offers look legit and present exciting opportunities to put your money in the Forex market. To get enticed, people will be reassured the broker can secure high returns and risk-free trading guaranteed by seasoned financial professionals. The scammers intentionally make people believe Forex is harmless, but precisely the opposite is true- you can lose everything if not careful enough.
In the usual scenario, scammers just pocket victims’ deposits and won’t send a dollar back. Sometime after the deposit, clients would ask for a withdrawal or a refund, but the con artists would delay or downright refuse to pay back. Make no mistake, scammers would find excuses to deny withdrawals and would even shamelessly ask for more money to let clients get their money. In the end, when fraud becomes evident, the scammers would simply cut the communication, leaving the victims defrauded. Then, the fraudulent brokers’ website will be abandoned sooner or later, and another one will appear in its place. Scammers are professionals and will carry on forging crooked schemes, so you need to stay alert and always double-check.
WHAT TO DO WHEN SCAMMED
Unfortunately, no one is immune to scams. If you get scammed, the first thing you need to do is to consider the secondary risks. Deactivate your bank card immediately and contact your bank and ask for advice.
Then, report what happened to you, file a complaint, contact the authorities, call the police. Seek help actively!
Remember, it’s crucial not to rush blindly to recover funds because fraudulent chargeback agencies and individuals are stalking, trying to double scam the victims. They ask for upfront payment, take the money but won’t do anything to help you!
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