Warning! LongShortCFD is an offshore company! Your deposit may be at risk.
RECOMMENDED FOREX BROKERS
LongShortCFD may seem like a decent enough broker, but there are elements revealing completely different things. Read the review for more.
Genix System OÜ is the holding company that is operation from Estonia, yet it does not say that it is regulated by that country’s license issuer. The Finantsinspektsioonacts (FI) acts as a regulatory entity for all financial services institutions, with all regulated companies being officially included in an online register. We went through the online registry and found no results of the hoding company, so we can conclude that the broker is not regulated in Estonia.
Furthermore, we get a small hint in the footer revealing that the company is no aimed to be used in any jurisdiction,
basically telling us that the broker is completely UNREGULATED.
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).
The client dashboard revealed a trading terminal. There we got the news that the only tradeable asset is crypto. The leverage for all cryptocurrencies is 1:5.
Languages are Russian and English.
The broker has incorporated a decent enough trading platform that offers pending orders, live tv, active calendar, and some options for customization. Yet, with all it has, the terminal cannot compare to the intricate and detailed MT4, which at times can be overwhelming with options.
In the legal documents there are numerous mentions of commissions, but the broker does not reveal any numbers. The next snip is just one of many instances:
Users can deposit via Vload and Xpate, as per the payment terminal. Vload is a common method used by illicit brokers. However, when we entered an amount to deposit it was converted to dollars from btc.
When we tried to deposit we got an Internal Server Error.
Even if users are able to deposit we do not recommend doing so. Due to the broker’s lack of any regulation, we advise against depositing any amount whatsoever. If traders wish to invest in online forex, they will find that any FCA/CySEC regulated broker will surely do. These agencies are at the top of their game, demanding a strict conduct from brokers, and requiring regular reports on their activities.
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
It may or may not happen, but if an unregulated broker asks you to install AnyDesk or TeamViewer and give them log in details, consider yourself very open to a complete drainage of your funds from all your online accounts. These software allow for anyone to access your PC from another station and go through all your files and vital information, including credit card, bank and alternative payment method details. Thankfully, these platforms are completely legal and will need your own personal approval in order to be used.
LONGSHORTCFD WITHDRAWAL TIME AND FEES
Interestingly, withdrawals are made through wire transfer, credit cards, and btc. There are no withdrawal fee revealed, but as we mentioned, there is talk of fees throughout the website, so the broker might charge withdrawal fees. There is also no mention of the processing times.
ADDITIONAL FEES AND TAXES
We have attached yet another set of clauses that point to commissions and fees, that have not been detailed at all.
There is a conversion fee when a client’s account currency is different from the traded currency. This makes no sense at all, but here we are anyway. There is also a 0.5% commission that the broker keeps.
After 90 days if inactivity the client will be charged with a monthly fee of $30:
The legal documents do not contain any important clauses. Yet we are obliged to warn you that unregulated brokers do not care who you are and what your situation is; all they see is money, and they will trick you into giving it to them every chance they get. It is only logical then, that any attempt at withdrawing will be unsuccessful. The most popular 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.
We strictly advise against giving away an ID and proof address to unregulated brokers: they can be literally anyone with enough time and skill to mask themselves as a broker. Usually, these individuals use the anti-money laundering legislation as front for when traders start to get suspicious. Once this suspicion is confirmed and you file for a charge back, they will use your details against you case.
We are positive that this so called broker will not return your funds; the evidence we have laid out before you work in sync against it. The sound thing to do is to direct your attention and investment to an FCA or CySEC licensed broker where the law is integrated in every aspect of their operations.
HOW TO RECOVER
Filing for a charge back is the best advice we could give you. Immediately contact your bank or credit card company and lay out the circumstances.
Cancel your credit card if you have shared any notable details with the fraudulent broker, especially if you have provided them with the card’s CVV code. If such is the case, annul your credit card ASAP.
Also, beware of self proclaimed “recovery” agencies or agents. These cheeky scammers promise to fix your problem and restore the lost funds. They offer their services in exchange of a small sum from your end, after which you won’t ever hear from them again.
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!
LongShortCFD is a smartly crafted scam, with man elements that can even fool advanced traders. Don’t let this fool anyone. This broker is a scam!