CoinBriteFX, Fraudulent brokers have a way with words that can make you feel like you’re dealing with the Wolf of Wall Street, which is why they are so dangerous. This newly registered scammer’s website has already been torn down. Despite that fact, we’ve still managed to find a thing or two about its operation and malicious intentions.
Before we start exposing the fraud, here’s an interesting, yet alarming fact – the phone number that the scam broker provided (+1(000)14130415) is the same as the one posted by another trickster that we had previously covered – Opendealbroker! Could this indicate that the same masterminds are behind both of these investment scams?
Keep reading this CoinBriteFX review to discover its tragicomic attempt to appear legit and licensed and the truth behind its arrogantly presented offers.
|Leverage||Up to 1:500|
|Headquarters||210 Sansome St #240, San Francisco, CA 64104, United States|
Regulation and Security of CoinBriteFX
Where to even start with this one? Not revealing the name of the owner company on the “Home” page is certainly not a good look. It is even worse if two completely different entities are mentioned in the legal section. In this case, our fraudster included CoinBriteFX Ltd and DCX TradeHouse Ltd. One might start wondering if they’re doing this on purpose for fun.
Let’s proceed to the alleged licenses. CoinBriteFX says it is regulated by the International Financial Services Commission (IFSC) in Belize. Maybe the broker thought that Belize is part of California. The same goes for its imaginary license issued by the Financial Supervisory Commission (FSC) of the Cook Islands. This authority does not even care about Forex.
For the broker to be able to operate in the US, it needs to be licensed by the Commodity Futures Trading Commission (CFTC). What comes as no surprise is that this company is nowhere to be found on the websites of the aforementioned institutions.
Trading Platform at CoinBriteFX
The integral part of trading is the platform, right? Then why not invest the most effort into one that is at least functional to a certain degree with decent tools?
What we’ve got here is a disgraceful browser-based platform with an inauthentic chart and limited options. It may seem simplified because the scam broker designed it like that in order to facilitate manipulation.
CoinBriteFX Trading Instrument
There is little to no information about the trading instruments that CoinBriteFX used to offer while it still had its website. What we do know is that it used to offer trading Forex pairs. Also, the spreads listed were practically from zero, which is tempting, and the leverage for retail traders could be set as high as 1:500.
That’s quite overwhelming since the maximum allowed leverage in the EU and Australia for retail traders is 1:30 and in the US, it is 1:50. Note that this only applies to major currency pairs, i. e. the ones that our scammer claimed to offer.
CoinBriteFX Deposit and Withdrawal Methods
All lies aside, CoinBriteFX accepts only payments via crypto – Bitcoin, Ethereum and Litecoin. There is also mention of a Hong Kong-based processor called “PerfectMoney,” but there is no option for it. Having all this in mind, you might start wondering why a broker would limit its payment methods to just cryptocurrencies.
Well, one of the reasons is anonymity because scammers prefer it. The other, it’s hard to track down and difficult to get a refund, although it can be accomplished. CoinBriteFX could not make up its mind about the minimum deposit so it set it at $1,000 in the “Account types” section and $500 in the FAQs.
How The Scam Works
This pesky fraudster was clever to include bonuses in order to attract clients but regulated US brokers are banned from offering them. These bonuses are designed to prompt you to keep investing. Another way for the scammer to ensure you’re not getting your money is to impose various perplexing clauses that would prevent you to do so.
This one, for example, stated that the minimum withdrawal amount was $10,000 and there was probably a condition somewhere in the legal section saying that the bonuses do not count in the earned amount. That’s how most of these fraudulent brokers roll.
Best Performing Forex Brokers
We’ve taken the liberty of forming a table that consists of the best brokers in the business. Ditch the obvious fraudsters and stick to these reliable providers.
Check out the difference in the minimum deposits required. In addition, each of these has a license and will provide neat security for your funds.
|FXTM Broker||Cyprus, UK, Mauritius||4.5||$10||Forextime.Com|
|OctaFX Broker||Cyprus, SVG||4.4||$100||OctaFX.Com|
|FP Markets Broker||Australia, Cyprus||4.7||$100||FpMarkets.Com|
|XM Broker||Cyprus, Belize, Australia||4.7||$5||XM.Com|
|HFM HF Markets Broker||Cyprus, UK, South Africa, UAE, Kenya||4.3||$5||HFM.Com|
|FBS Broker||Cyprus, Belize, Marshall Islands||4.85||$100||FBS.Com|
- CoinBriteFX is an unregulated broker that intended to steal your money;
- Given the multiple contradictions found on its late website, it’s safe to say that a cyber fraud was at play;
- The phony broker used to accept payments only via crypto;
- Its offer regarding bonuses and leverage violated US regulations;
- There were discrepancies regarding the minimum deposit amounts.
FAQs About CoinBriteFX Broker
Is CoinBriteFX Legitimate Broker?
CoinBriteFX is not a legitimate broker due to a lack of an official license.
What is the Minimum Deposit for CoinBriteFX?
The minimum deposit that CoinBriteFX requires clients to make is $500.
How Long Does it Take to Withdraw from CoinBriteFX?
CoinBriteFX did not mention anything about the time required to perform withdrawals.