Velocity Trades Review: Velocitytrades.com Forex Scam

Velocity Trades (Velocitytrades.com) is an offshore based broker whose offices are in St. Vincent and the Grenadines. VelocityTrades is offering a minimum deposit of $10 to anyone who signs up. They claim to have over 100 trading instruments and over five payment options. All these are empty claims meant to drive investors into signing up. Velocitytrades is another online trading platform with a problem. The review exposes the scam within. Read this genuine VELOCITY TRADES Review and get more information.

About Velocity Trades

The company claims its aim is to offer clients with the best trading execution in the industry. Scam brokers will in most occasions post their experience and have no results to show. And this is one of the main reasons to stay away from this platform. Velocity Trades is another well-designed website meant to throw off investors. Before signing up, there are few features to make you want to stay away.

Online trading can be a lucrative way of making money if the right experts are used. With honest brokers by your side, safe trading is guaranteed. Brokers such as Velocity Trades have no trading background. They hurriedly create a website and use cloned information to fool newbie investors. Thanks to our years of investing and trading, we do know how to spot a scam from a mile away. VelocityTrades is a scam that must be avoided at all costs. There are victims who wish they did not sign up with the platform.

Assets Found on Velocity Trades

Among the listed assets found on the platform include commodities, Forex, Stock Indices, and VPS. The commodities listed include Crude Oil, Gold, and Silver. The minimum deposit accepted by the broker for commodity trading is $200.  Low margin requirements of from 100: 1 are set by the broker. They claim to have over 50 currency pairs with competitive spreads available. In terms of transaction sizes, the broker claims to be flexible.

Stock indices quoted on their product’s page include FTSE100, Hangsen Index, S&P500, among others. The broker claims to offer low spreads from 1 pip with low margin requirement of 1 percent. Velocity Trades is promising free market research and commentary on this asset. The broker also offers Virtual Private Server trading on their platform. A minimum deposit of $2,000 is required to get this service. The broker also promises custom configuration to members who prefer a customized profile.

Business Owner

Velocity Trades Limited is the company that claims to be behind the brokerage firm. They are situated in St. Vincent and the Grenadines making them an offshore brokerage firm. These brokers have a bad reputation for blocking withdrawals from investors. And this is another solid reason to stay away from this platform. They are simply not worth the money or time. VelocityTrades also claims to have offices in Kuala Lumpur, Malaysia.

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Domain Details

Whois.net has revealed the actual date the website was created. Velocitytrades.com was created on 12^th March 2017. These brokers have been in existence for over three years and fail to have a valid trading license. Thanks to domain registers, one can know how long a broker has been in existence. With the records, it is clear velocity trades is not planning to get a valid trading license.

License and Registration of Velocity Trades

Disclaimer at the footer of their homepage does have some registration number. Remember scam brokers will do or say anything to make their platforms appear legit. These scam brokers are posting random numbers to act as a valid registration number. Traders should be warned offshore brokers rarely get a valid trading license. They are using random numbers to throw off prying eyes.

Scam brokers know for a fact no one bothers to confirm license details. A legit broker will post details of their license for all to see. They post copies of their license certificates and documents for all to see. With no valid evidence of their license, it is clear they do not comply with trading regulations. Most European regulators plan to issue an alert over the use of this broker. These include BaFIN, CNMV, CySEC, and FINMA. With an alert out, it will be easier to warn unsuspecting investors.

Restrictions of Velocity Trades

Account Details

Velocity Trades is furnishing traders with four account types to choose from. These account types include Cent, Classic, Standard, and ECN. The broker has used a low depository requirement for almost all accounts. Scam brokers will use low depository asking price to entice newbie investors. The industry has set $250 as the acceptable minimum deposit to start trading. These brokers will lure investors to deposit with their low funds and later ask for huge amounts. They claim the higher the depository amount, the more investors increase their chances of winning.

Bonus on Offer

Before you start the signup process, there’s a hidden agenda with these bonuses. Scam brokers use them to block withdrawal requests. Before withdrawing funds, the broker insists members must pay back the bonus offered. And this is what drives investors into lodging complaints with regulators. Regulators are planning to ban the use of bonuses in the future.

Contact and Customer Support

Members can use email or request a callback. The problem with emails is they tend to be one-sided. Brokers may decide not to respond to email especially if the reference is withdrawal. Phone numbers listed are virtual phone numbers and no one seems to pick them up.

Deposit and Withdrawal

Depository channels include Bank Transfer, MasterCard, Neteller, and Skrill. The depository process is fast and takes less than ten minutes. It is not a good enough reason to sign up with the broker. Withdrawing funds has become one of the biggest challenges facing investors. And this is why we must expose the broker for who they really are. Scam artists who create a trading website just to accept deposits from investors.

Trading Terminal

Velocity Trades is using a custom-built trading platform with no tests done on it. They are unstable and offer no security from third-party attacks. The case is true with its platform as it does not have any security software. Lack of DDoS protection and SSL encryption is proof we are dealing with a terrible platform.

Safety of funds with Velocity Trades

VelocityTrades is pooling funds in one account which is against trading regulations. Members have been depositing funds straight to the owner’s bank account. And this is a good enough reason to stay away from the platform. Segregation of funds is not taking place as mandated by the trading rules. Expect no compensation when the platform winds up, they don’t participate in a compensatory scheme.

Scam or Legit Velocity Trades

After carefully reviewing all the evidence, it is clear Velocity Trades is a scam. Stay away from their affiliate programs and mark their promotional emails as spam. Warn your loved ones from giving away personal information to their call agents. These scam brokers will sell your personal information to third parties. VelocityTrades is another offshore broker who uses misleading information to lure investors.

Verdict

Adding the broker to our scam blacklist will protect our esteemed readers. Keep reading our reviews for more on online trading products and services.

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Wishing all investors and traders a safe trading experience.