Social media and trading forums would lead you to believe that online trading is purely lucrative. It is profitable, yes, but there is a side that they rarely address; 95% of all traders fail. Also, shortfalls, like online trading being subject to market anomalies and taking a toll on traders’ psychological well-being, are not acknowledged, at least not enough. The worst side of this venture is a fraud, unleashed by dubious brokers like Crypto Masters Limited.
How do these frauds happen in a market that is regulated? Fraudsters disguise themselves as genuine, guarantee trade returns, and say virtually anything investors love to hear. If investors do not cross-check these claims, they onboard, and the next thing they know is they have lost their deposits or cannot withdraw. The culpable broker usually disappears without a trace, and it takes much luck to get a refund.
Some common red flags you should look for include a lack of regulation, a vague investment plan and missing trading terms. Also, beware of brokers dishing out freebies and bonuses, as they ultimately use the incentives against you. Missing addresses and contact information signal suspicious operations, as does falsified identity.
In this review, we dissect this broker to prove it is unsuitable for you. We also share some boxes that all trusty forex brokers must check. Take a look.
Cryptomastersltd.com Review
This broker promises optimal trading services for basic and advanced traders. As per the products page, traders on this platform can trade forex, crypto, indices, metals, commodities, and shares. The alleged benefits of trading on this platform include advanced security, safe & fast withdrawals, speedy executions, and various funding methods. Investors also get market analysis and trusted methods.
The broker also guarantees no hidden fee, as if we are supposed to take its word for it! How can we establish that when the T&Cs remain noncommittal about the applicable fee? There is no compelling reason to trust this broker with our money.
This broker is operating anonymously. They provide an email address which is not an ideal communication model for financial institutions. A phone number would have been better. Additionally, rarely will con artists reply to trader's inquiries.Â
The company provides a fake address. They are not authorized to operate in the United Kingdom. The above is also weird as it betrays the broker’s lousy customer service. If you have a pressing issue about your trading account, you must wait for them to call; never mind that trading is delicate on time. We should remind you that if a broker looks suspicious like Crypto Masters Ltd, avoid contacting them. Such brokers lack professionalism and will use those contacts to nag you with endless calls so that you invest.
 According to Whois, Crypto Masters Limited registered its domain on 13 June 2022. The domain expires in June 2023. The broker only intends to be in the market for one year. Most scammers know that their survival in the market is short-lived as the authorities could neutralize them anytime. Moreover, the broker knows it can vanish anytime it steals from traders.Â
As a precautionary, go for legit brokers with a rich historical experience and proven track record; in most cases, longer operational years denote credibility. Avoid newbie brokers as they barely test the waters, and you have no reference framework to gauge their suitability.
Most reliable brokers accept conventional payment methods alongside digital ones. It is up to you to choose the most convenient. But even as you choose, there are facts we want to bring to your attention. The first is that credit cards are the best payment method (in this space), as you can file for a chargeback.
 Secondly, avoid brokers restricting you to crypto payments as you cannot reverse the transactions or identify the recipient. The broker’s website suggests it accepts wire transfers, debit/credit cards and cryptos. It is typical of scam brokers to advertise payment methods they don’t actually offer. So this should not fool you.
After depositing, traders can choose any of the four available plans; beginners, medium retirement, and VIP. Apparently, these plans are based on available spreads. However, we suspect the broker used a plan from another broker. Why? Whereas Crypto Masters Limited avails cryptos; this plan suggests crypto trading is not allowed. Also, Crypto Masters Limited promised an MT4 platform while this plan lists web trading. We pay attention to details like these for objectivity because such mishaps signal a broker is not genuine.
Several omissions got our attention. The broker has not specified the minimum deposit amount. This creates a leeway for the broker to keep asking you to top up. True to this, we found reviews where investors trading with the broker complained that it constantly asked them to add more funds even when margin levels didn’t warrant that. Also missing is the withdrawal fee and minimum withdrawal amount, except for $50 for credit cards.
This broker claims to offer an MT4 trading platform. MT4 is one of the most acclaimed platforms that traders like. No wonder the broker wants to convince you that it offers the platform. We say convince since, upon trying to access the problem; we realized it was a web trader.
A web trader is rudimentary and seriously compromises your trading capabilities. It has fewer indicators and timeframes and limits you to basic functions. On the contrary, MT4 affords you the maneuverability that allows you to place multiple orders, auto trade, customize trading scripts, predict price movements, and manage risk. It has built-in technical indicators, open charts, expert advisors (EAs) and more timeframes.
The broker’s T&Cs are available but vague in many areas that interest traders. The included parameters prove that this cannot be a regulated broker. First, the broker has a spread of 2.5 pips. This spread is pretty high, considering the industry standard is 1.5 pips.
Additionally, the brokers offer a leverage of upto 1:400, a prohibitive level if you ask us. See, most traders are lured by high leverage, forgetting that it can magnify your losses as much as it can your profits. Most regulators impose leverage limits to shield investors from the seemingly hidden trap. The US and Canada brokers cannot exceed the 1:50 limit, while those in UK, Australia, and Cyprus cannot go beyond 1:30. This tells you that the broker is not in any of the above jurisdictions.
The broker offers a bonus, but as mentioned earlier, bonuses come with strings attached. For this broker’s case, the trader must attain a trading volume of 25 % of the bonus amount before accessing this bonus and the profits. Scam brokers use this ploy to bar you from withdrawing your funds too soon, making it convenient for them to steal them. For this reason, most financial watchdogs explicitly forbid awarding bonuses and promotions.
It is hard to determine the oversight under which a broker falls if location details are missing. What is not hard, though, is figuring out that a broker is unregulated by just looking at their terms and parameters. As noted earlier, we ruled out Crypto Masters Limited being in US, UK, Australia, Cyprus, and Canada regulations due to violating leverage. To reinforce this, we found that two reputable financial regulators, FCA(UK) and CNMV(Spain), had cautioned the public against them. This confirms that the broker is unregulated and probably operating from an offshore zone.
If a broker is unregulated, avoid them. They will expose you to unnecessary risks and will eventually steal your money. You won’t be compensated for this loss as the guarantee scheme(FSCS) does not cover traders of illicit brokers. Also worrisome, you won’t have legal recourse since this broker does not answer to authority.
We may not have all the pieces to tell that a broker is regulated, but we can tell which is not. Crypto Masters Limited is unregulated, and you should stay away from it. It is so unfit that two financial watchdogs have warned the public. If nothing else convinces you to ditch it, the FCA and CNMV warnings should.
Trusty Forex brokers connect you to your investment goals. They abide by rules to protect you. They also give you a fair trading environment where your efforts count, and funds security is guaranteed.
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