Beware! ElCurrency is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
Dont put all your eggs in one basket. Open trading accounts with at least two brokers.
ElCurrency is another so-called broker whose attempts at concealing its true intention are more than obvious to us. We have covered dozens, if not hundreds, of similar brokers like it in the past, and what we have come to realize is that many of them rely on the same structure and website template, down to the same letter fonts and filler text content. Its as if these brokers just copy and paste their colleagues websites adding only a new blurry logo and some stock images here and there. We are sure to encounter more similarities as we go. Our advice to our readers is to first go through the review before even thinking of deposit in ElCurrency.
To create an account users must pass a very familiar registration process, in that we immediately associate it with scammer brokerages. We opened an account in the only base current available: tether, a notorious cryptocurrency. As we expected, all the tradeable assets given on the web-trading software we based on some sort of cryptocurrency: Crypto vs Crypto, Crypto vs USDT, Commodities vs BTC, Indices vs BTC
Stocks vs BTC, Assets vs USDT. The leverage was capped at 1:5.
The website is available in two languages, German and English.
ELCURRENCY REGULATION AND SAFETY OF FUNDS
In a classic scammer broker move, ElCurrency puts the responsibility of being regulated into the hands of the user.
The abovementioned clause is basically stating that it is the users own responsibility to see if he or she is allowed to access the broker. Nowhere does it say that the broker is actually holding a license.
The contact address for ElCurrency is located in the Marshall Islands, a location that does not have an FX regulator, and so whether it is located there or not makes no difference.
Furthermore, we have solid proof that the broker is dishonest as we tracked an official warning by Swedens national FX financial overseer, the Finansinspektionen, uncovering that ElCurrency poses a risk to traders.
This broker may offer you at some point the services of AnyDesk, a software allowing a third party to take over your computer, in our case ElCurrency Do not allow it to trick you into using this! To activate the software, the user must give permission to ElCurrency, which is the only barrier standing between the broker having complete control over a users PC.
Clearly, ElCurrency is a very risky UNLICENSED broker, that is also a pure scam!
Its very simple- do not invest in brokers that do not have a regulation! You will be losing all your money to unknown individuals who will use these to unknown ends. What must be remembered is for all users to always check for a license. In fact, this has to be the first thing one does with a broker. The most preferred regulators are the FCA and CySEC. As two of the best overseers in the world, these agencies apply pages of rules and regulations that must be routinely followed if a broker wishes to continue being regulated by either one of these. Furthermore, both the FCA and CySEC offer financial compensation schemes to all users under those brokers that these agencies regulate. The reimbursements are applied when the broker at hand cannot pay its dues, for a number of reasons. CySEC guarantees up to 20 000 per person, while the FCA guarantees up to £85 000.
ELCURRENCY TRADING SOFTWARE
The trading software used by the broker is your typical scammer firm web-trader. This one doesnt even look good. There is an immediate visual barrier created by its poor looks.
Aside for price alerts, time frames, live news, a few chart customization options, there is nothing here to keep a user invested for more than 10 minutes.
ELCURRENCY DEPOSIT/WITHDRAW METHODS AND FEES
The deposit and withdrawal details are taken from both the website and the trading area since the latter is the best source for this type of information.
In the user portal area, the payment methods are claimed to be credit cards, debit cards, Cashier, and PayRetailers. The minimum deposit is $240.
The withdrawal area does not disclose anything. It just asks for an address and an amount to withdraw. According to the Compliance document, withdrawals are paid out in a maximum of 10 days. The same document reveals that the minimum withdrawal amount for wire transfers (a payment method not available for deposits) is $500, and $100 for credit and debit card. There are no withdrawal fees.
In any case, we do not fully trust the legal documents with this information. Withdrawals are very sensitive processes, and illegal brokers are known to postpone them and even deny them! And anyway, readers should not be too worried for this broke should not be invested in, in the first place.
How does the scam work?
Broker scams are well thought of and, even though the most popular formula does not change over time, how brokers approach it differs greatly. To remember is that once you get the feeling that you are being scammed, then you probably are.
The user is subjected to hundreds of online ads per day, some of these owned by illicit brokerages. You probably have seen them too: ads promoting a work-free lifestyle, abiding by your own rules, making money through investments and trading. Falling for these will lead the user to a website (the broker site), ar an intermediate website, where the investor will be pushed to provide contact details and deposit an initial amount. Should clients fall for these and provide their own emails and telephone numbers, they will start receiving phone calls or texts soliciting them to deposit. If the user deposits, then he or she has become the latest victim to this popular scam.
The first deposit is usually the first step to the multi-layered scam. The second part concert the senior scammer, or as they are sometimes referred to, account managers. These will take over your account and disguise their fraudulent intention under suggestions and advice. Their ultimate goal is to initiate more deposits, this time bigger. They will exhaust every ability they have and every opportunity they get, for the sole purpose of taking more of your money.
At some point, the user will realize that things are not right. Its all a matter of time, and not if. However, the broker will almost always predict this, and as soon as the client tries to withdraw, the company will either block the account, close the website, delete the users account, or stall the request for as long as possible.
What to do if scammed?
The very first step to getting your money back is filing for a chargeback with your credit/debit card company. Thankfully, MasterCard and VISA have a 540 day chargeback period.
Wire transfer deposits that have been lost to the scam should drive users to change their bank account details, i.e username and passwords. A different approach would be to contact the bank, for they might have a plan installed for similar scenarios.
Never invest in unregulated brokers with any sort of cryptocurrency! Most digital currencies deposit are still untraceable, even more so with illicit brokerages, even if the world is slowly centralizing Bitcoin and other major cryptos.
Last but not least, please stay away from recovery agents that promise to recover your lost funds through some sort of unknown practice. Many of these are standalone scams or affiliated with the brokers and will ask you for a service fee. Once the charge is paid they will disappear, leaving the client at an even bigger loss!
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