Lot-Forex Review: A Cloned Broker (Lot-forex.com)
Lot-Forex is selling itself as a leading Forex broker with over a million active accounts. Lot Forex is making a bold statement by saying they have won many accolades over time. From what we’ve seen, this is a broker who is targeting European investors. With the default language set to Russian, this is probably targeting Eastern European investors. We did our research on the broker and found some disturbing features. Read this thorough Lot-forex.com review and find out more about the broker.
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A Closer look at Lot-Forex set-up
What we see from their presentation is that Lot-Forex is a CFDs and Forex broker. The platform claims to deal with US and UK stocks mainly. It comes with high leverage of 1:1000, which is a risky amount for retail trading.
Most regulators in Europe have a cap to the leverage to protect investors. It seems that Lot Forex is not in the business of adhering to regulatory rules, which is a problem. By already flaunting regulatory rules, we expect trading with the broker to be gruesome.
Assets and trading instruments found on lot-forex.com
According to its product page, the platform deals with several instruments. These include Bonds, Crypto, Energy Carriers, Forex, Metals, Indexes, Products, and Promotions. The broker has made sure to cover leading trading assets to attract more investors into the fray.
What we do notice is that the broker is obviously lying with the overall presentation. The website’s design is similar to a legit broker’s website, Hot Forex. And this is where things start going downwards for the broker.
Business owner
Their presentation claims that the platform has over 200 employees from all over the world. We could not find even a single LinkedIn profile from any of the employees. The disclaimer at the footer of their homepage claims the platform is located in Lamaca, Cyprus.
We don’t understand why the broker would have Russian as their default language. The broker wants to use the Cypriot reputation. Cyprus is home to the most reputable brokers; LotForex is not one of them.
Comments from members and user ratings LotForex
Most trading chat rooms have had users crying over this broker. Immediately you deposit with the platform, there’s a high chance this is the last you will see of your funds. And this makes the platform a high-risk investment option.
Smart investors know better than to sign up with a platform that has no user ratings. We could not find any ratings on the website or the broker’s experience. And this is a pointer that we are dealing with a sinister online trading platform.
Domain insights lot-forex.com
Their IP address is indeed located in Limassol, Cyprus. The exact date the website went live was 4th December 2019. It has been in the industry for over two years with no user ratings. The platform has made six changes to its IP over the past two years.
We do find it amusing that no one has even posted an article on the platform. With no digital footprint, we are sure that the platform is dormant. It’s more of a bait to entice users to deposit funds hoping to score big.
Features of Lot-Forex
Account Details
Lot-Forex is furnishing users with six account types to choose from. The six include Micro, Premium, Zero Spread, Auto, PAMM, and VIP. LotForex is using a high minimum deposit as opposed to the regulator’s choice of $250.
The broker insists on a minimum deposit of $1,000 for their basic account, which is Micro. There’s a daily profit percentage with each account, which makes us doubt the broker's legitimacy. No broker will guarantee or promise daily income to investors. The market is volatile and does not allow for such assumptions.
Contacting support
There’s a chat tab at the bottom right-hand side of the website. The only problem is that whoever is on the other end might take ages to respond. Trying to contact them using their contact page is also a hassle. You can send an email, make a phone call, or Skype with the owner.
Using Skype avenue, we saw a profile with their support. The problem is that the support did not accept our invitation. These scam artists don’t want anyone to make direct contact.
Deposit and withdrawal conditions
For the payment methods, Lot-forex.com has decided to keep members guessing. There’s no information on how to deposit or withdraw funds. You don’t get to know when exactly you can make withdrawals. And this is left out for a reason.
Once they suspect you want to leave the platform, it gives them time to block your account. Access to most accounts is an obvious strategy used by unregulated brokers.
Trading platform
Although the broker claims to have MT4 and MT5 trading platforms, it’s not the case. The trading servers are not owned by this broker but by MetaQuotes. What this means is that they have a download link from the MT4 and MT5 creators.
You can’t use the two platforms on their website. Members can only download the platforms and use them in a demo setup. There won’t be any trading going on with the platform.
Registration and Regulation of Lot-Forex
Lot-Forex is not registered in any European jurisdiction despite them claiming to have a valid license. The broker claims to have a valid license from CySEC, which we had to look into. It turns out that the license does not belong to them.
The platform is using another platform’s license details. It’s a clear breach of industry regulations that should be reported immediately. The broker is using false documents to fool investors that they are fully regulated.
Even the license document they post has a notable flaw. The font on the owner’s name does not match that of CySEC. One can easily see that the broker is obviously trying to have their names on a blank certificate.
These are online scam artists who will do or say anything to try and make you sign up. Beware of such tactics, which lead to most naïve investors losing a huge chunk of their funds. We hope authorities will look into the broker and shut the entire website down.
Safety of funds with lot forex
With the broker already flaunting industry rules, there’s no way the safety of funds isn’t a guarantee. You will most likely lose your money with this platform. It’s best to stay away from such websites as they lack any transparency.
The broker does not insure any deposits made by investors. There’s no minimum capital deposit made to regulators to protect the investor. We are also sure the broker does not segregate accounts.
Scam or Legit Lot-Forex
Lot-Forex is a scam that’s trying to use another platform’s license details. You won’t be making any money with an unregulated broker. Chances are you won’t even get to withdraw your balance from the broker.
Their leverage is high, and it’s a plot to make you sign up with the broker. Please stay away from it or risk losing your hard-earned money.
Closing remarks
We won’t be recommending a broker who is using false documents. An unregulated broker is a high-risk investment option that’s not worth it.
Start trading safely with commendable and transparent brokers who have a ton of experience. With credible brokers, you stand a chance of making realistic profit margins.
We wish you all the best in your trading.
