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There are certain aspects of GlobalSpotFX that have the ability to lure many traders in. This suspicious broker applies a lot of promising elements to its operations, and seems legitimate. Yet, we cannot be so easily mislead. Read the review to discover what GlobalSpotFX really is.
GlobalSpotFX has not mentioned anywhere on its website that it is regulated by an efficient agency. The Terms and Conditions talks quite a lot about how the website and the broker's services should be used only by users whose jurisdictions allow for GlobalSpotFX which makes sense in a very shallow way, but does not disclose anything else.
As you see, the users are themselves told to check if the company is legal in their country, but the information does not go beyond that. If this were a legitimate broker, it would state that there is at least one known regulator that has licensed it. In GlobalSpotFX, there is no such thing. Thus GlobalSpotFX is UNLICENSED, therefore making this alleged broker a risk to any invested money!
Investing in unregulated brokers is the digital equivalent of throwing your money away for the wind to disperse it. It’s obvious that no one would do such a thing. Go with brokers that are regulated by trustworthy organizations like the FCA or CySEC. These entities work closely with the law, enforce it when called for, and have strict requirement for those under their gaze. Not to mention that those under their jurisdiction are members of compensation funds that cover victimized clients’ losses of up to £85 000 (FCA) and €20 000 (CySEC).
We were able to get access to the live account section without any issue. There were were presented with a trading platform. The EUR/USD spread we got was 2.7 pips; a very unfavorable cost of trade, only profitable for the broker. The leverage is capped at 1:500, which is the typical leverage cap for offshore brokers. The trading platform, revealed Forex Pairs, Commodities, Crypto, Shares, Spot Indices, and Indices.
Languages are English, German, and Italian.
Here we encountered a lie. The dashboard for registered users presents us with an MT4 browser option, and an MT4 desktop download button, yet as we clicked on either one, we were redirected to a totally different platform, bearing no name, yet seeming familiar to us, as some previous illegal brokers have offered it.
So there is no MT4 at GlobalSpotFX. However, the current trading terminal is by no means bad. It lack the intricacies of the MT4. but it holds on its own. Clearly being directed towards novice users, this trading platform nevertheless has multiple time frames, chart customization, pending orders, etc.
GLOBALSPOTFX MINIMUM DEPOSIT
The client dashboard offer payments only through PayeCard, with a minimum requirement of $1. It's surprising to see an unregulated broker with just one payment method, and it not being bitcoin, or other crypto.
We would not deposit with this one if we were you. This broker is clearly not legitimate and not regulated, meaning that who knows what they will do with your investment. Traders should deal exclusively with brokers regulated by exemplary agencies such as the FCA or CySEC, for they oversee a brokers activities from head to toe with a severe case of diligence.
DON’T PROVIDE YOUR CREDIT CARD CVV CODE
The CVV code is the one thing that separates a buyer from a product. Without it, one cannot complete a purchase, even if him/her has given all other necessary information. By giving this detail to someone else, you are essentially inviting them to use your funds for their own means. And be warned that unregulated brokers most certainly plan to do so.
DON’T PROVIDE ACCESS TO YOUR COMPUTER AND BANK ACCOUNT VIA ANYDESK OR TEAMVIEWER
Be sure to never give AnyDesk or TeamViewer access to your PC to unverified agents. These 2 platforms allow for your PC to be taken over by a second party, often times for help or guidance, but in the case of these brokers for the sole purpose of looting your bank account(s) and personal information. However, in order to do so your consent is needed, and this is the only thing standing in the scammers’ way.
GLOBALSPOTFX WITHDRAWAL TIME AND FEES
Withdrawal processing times are scheduled for a period between 3 to 5 days.
And as is typical for unlicensed brokerage firms, there are claims of withdrawal fee, that are left undisclosed. Therefore, we do not know their exact value.
However, users should absolutely be aware of the ridiculous fact that GlobalSpotFX does not allow for the withdrawal of any profits. We are seeing this type of condition more and more often:
ADDITIONAL FEES AND TAXES
If a user wishes to withdraw a bonus or deposit+bonus, he or she must complete a huge trading volume requirement of 150 times the initial deposit.
Furthermore, user are not allowed to file for a chargeback, which is the most effective way to get back any lost funds to an unlicensed broker. GlobalSpotFX deems chargeback a “fraudulent activity” and punishes users for issuing one by blocking a users's account, and seizing all profits. Here is the entire clause:
With these clauses, a user will surely look for a legal path to fight GlobalSpotFX. However, the broker is prepared for this by introducing the classic indemnification provision. Basically, users cannot hold GlobalSpotFX responsible for any financial damages.
Unlicensed brokers utilise smartly crafted tactics to keep you as invested as possible into their schemes of deception, the most popular one being the denial of your withdrawal request. The most common excuses for denying your withdraw requests are usually smart and for the most part scripted. These include but are not limited to loopholes in the T/C, asking for more deposits in order to withdraw, or just prolonging your pending withdrawal by claiming that the market will suddenly propel, multiplying your winnings by unrealistic proportions.
If a broker is unlicensed, never give you ID and personal details to it, because the broker will use these details against you once you file for a chargeback. Furthermore, any allegation held against the brokerage will be easily refuted if they have in their possession a copy of your ID and proof of address.
The most important thing to note is that this broker will not return your deposit, nor will it pay your winnings. It never had this intention in the first place. The best advise is to walk away from it, and go straight for a regulated broker. The FCA and CySEC are the top non-US license issuers, and those under their gaze are bound by the law to put the security of users’ funds as pivotal priority.
HOW TO RECOVER
Filing for a chargeback is the best advice we could give you. Immediately contact your bank or credit card company and lay out the circumstances.
Any details you might have shared with the broker, most notably the CVV code, are sure to be used against you, thus you should swiftly cancel your credit card ASAP.
At some point or another you might stumble upon a “recovery” agent or agency that promises to retrieve all your money back. This sounds all too good to be true, and that’s because it isn’t. Before proceeding with the recovery they will ask a payment for their services. If you choose to indulge them, they will disappear with the money without a hint of remorse.
The last line of defense for these indecent folk is more like a desperate cry: often times they will comment on reviews and cite the whole ordeal as a conspiracy initiated by competitive brokers against them; at times even claiming that reviewers are anything but objective, and that no one writes good reviews. The absurdities are limitless!
GlobalSpotFX is clearly a risk to all investments. There is no reason for anyone to deposit here!
GlobalSpotFX compared to other brands
United Kingdom, Cyprus, South Africa, Mauritius
Cyprus, Saint Vincent and the Grenadines