Beware! R24Capital is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
R24Capital does something that has now become one of the oldest tricks in the book: it opens its home page with a panoramic view of Hong Kong, which is very impressive and especially empowering to novice users. Yet for us, its a very clear sing that R24Capital is up to something that it does not wish anyone to know. It’s the classic old story of broker trying to solicit unsuspecting users. The only difference her is the look of the website. Thus do not expect to be blown away if you are familiar with unlicensed brokers. However, if your are here to check on the legitimacy of R24Capital, we urge you to read the review.
The registration process uses the most popular template, one that we have completed more than a hundred times, with more than a hundred unlicensed brokers. Naturally, the leading user area is also familiar, and thus the same familiar principle applies to it as well. However, when we found ourselves in the user area, we still had to complete a tedious process of opening a live trading account.
While doing so, we were given the chance to open an account with a leverage as high as 1:500.
In the end, we seemed to have been able to open a live account with none other than the great MT4.
The trading software disclosed a EUR/USD spread of 4.2 pips, which is disappointingly high and quite worthless to all traders. Though, the broker can easily profit from it. The available tradeable assets are forex currency pairs, cryptocurrencies, commodities, and indexes.
Please note that we found evidence of spread commission, although the broker is not really clear on these ones. With commission applied to an already useless spread, users will be left at an even bigger loss.
The website is available in English only.
R24CAPITAL REGULATION AND SAFETY OF FUNDS
The broker is allegedly located in Delaware, United States, and holds two licenses: one from the NFA and the other from the U.S. financial system called the MSB (money services business). Of the latter we have not heard it before, meaning that either the company made it up, or it existed a while back but no longer functions or has been rebranded.
As for the NFA license, it does not exist. For a broker to function in the US. let alone thrive, it must hold a license from the NFA but also by the CFTC. It does not work otherwise. And, the States being the most regulated FX environment in the words, only a handful of multi billion dollar FX businesses function there. Not only is the competition impossible to surpass, but R24Capital does not possess even the most basic of requirements, let alone the, for example, $20 million capital prerequisite.
R24Capital has lied, and is therefore completely UNLICENSED! It is a risk to all investments!
To deposit in an unlicensed broker is the equivalent of throwing your money away for no reason. We always say that the first thing to do when dealing with any broker is to check for a license; this should be your priority! Usually, we would go for either an FCA or CySEC regulated brokers or other respected overseers. These regulators all employ harsh rules and impose very severe penalties on those brokerages that do not abide by the scrupulous rules. Furthermore, some agencies, like the FCA and CySEC, include reimbursement schemes to all users of brokers under their wings. These compensation funds schemes, as they are called, are put into action once broker cannot pay their clients back to bankruptcy. CySEC guarantees up to €20 000 per person, while the FCA guarantees up to £85 000.
R24CAPITAL TRADING SOFTWARE
Somehow the company was able to acquire the MT4, whose functions and features are surpassed only by its successor.
Some of the main MT4 tools include stop/loss and take/profit, pending orders, chart customization options to make your trade game better, price alerts, live news of the market, one click-trading, EA’s, and so much more.
R24CAPITAL DEPOSIT/WITHDRAW METHODS AND FEES
The minimum deposit required is $100 as seen in the depositing office. There is also a 3.5% fee applied to all deposits. Once we confirmed our payment order, we were redirected to 5PAY, a not too good looking e-payment method. Users can also deposit directly to a bank account!
As it turns out, withdrawals can only be achieved through a wire transfer. There don’t seem to be any fund transfer fees, but we advise user to stay cautious.
Do not invest your money or time in R24Capital. You will regret it!
How does the scam work?
The straightforward way into an investment scam is through the thousands of online ads that flood our browsers and social media sites. These are those familiar ads that promise impossible returns and luxurious lifestyles as a result of investing.
Succumbing to such ads will lead to either the scammer investment site, or to an intermediary source with close ties to this and other fraudulent websites.
In either case, the user will be asked to provide a phone number and probably an email address. The purpose of these is for the reps of the scam to be able to contact the client and push for initial investments. This is the first wave of the fraud, and is usually done by the rookie team.
The second wave is the pros, sometimes those behind the whole scam. These are charming and cunning individuals, whose communication skills can potentially result in the users to invest a second, or third, or even fourth time.
Basically, the scam continuous until the client realizes that she is being scammed. At that moment, when she wishes to withdraw or has questions for the scammer, it is already too late.
The culprits will easily ignore all requests or stall them. There are times when unlicensed brokers even terminate entire accounts, and on rare occasions entire websites are closed!
What to do if scammed?
The safest way to get your money back is to file for a chargeback using your credit or debit card provider. MasterCard and VISA have a chargeback period of 540 days. However, this only applies if you have deposited through a card.
Wire transfers are more difficult to reimburse, although some banks may have a specific plan for such times, so we advise users to directly contact their banks and ask them for help. What’s crucial is for users to change their bank account user names and passwords as soon as possible.
As for any funds invested through a cryptocurrency wallet, be sure that they are lost! Crypto transfers are untraceable!
And finally: never trust recovery agents or agencies. These are fraudsters who will ask for money in return for nothing. Do not trust these!
Rich Snippet Data