Virtual-Fxtrade Review – Reasons to Stay Away from this Broker

Virtual-Fxtrade Review

While online trading is undoubtedly simple and tempting, the search for a broker can be quite exhausting. No, it is not because there are not suitable options available, but because there are just too many of them and having to choose one can be a huge challenge. Yes, there are differences that exist, such as in the number of instruments, the type of trading platform, the spreads and leverage and the quality of services, but that is not all. You will learn from this Virtual-Fxtrade review that there are other reasons why you need to get to know a broker before signing up with them.

If you have taken an interest in online trading, the chances are that you have also learnt about the scams and frauds that happen in this space. After all, this is the internet and cybercriminals are rampant, which means you have to be careful at all times. This also applies when you are hunting for a broker because masquerading as legitimate platforms is one of the top tactics that these fraudsters use and those who don’t know better will fall for it.

Therefore, when you are checking out various brokerages, you have to bear in mind that they could also be fraudulent. Hence, this decision cannot be made in a hurry, or without proper research, or else it will cost you a lot in the long run. You don’t want to see your hard-earned money go down the drain, especially when you want to use it to make more. The broker you choose can play a vital role in this process, which means you have to be thorough in your research.

This goes for Virtual-Fxtrade, one of the brokerages you will come across when you begin your search. At first glance, it ticks all the right boxes, but there are plenty of reasons for you to avoid this broker. Some of these are mentioned as follows.

Lack of licensing and regulation

Any brokerage worth their salt will be licensed and regulated in the jurisdiction they are offering their services. Why? It is because a license adds credibility to their services and also gives peace of mind to their clients. A regulated brokerage can be held accountable and upholds standards of services by complying with laws and rules. In this way, it is able to offer a secure trading environment to its clients.

So, is Virtual-Fxtrade regulated? To know the answer, you have to know where it is based and you will find an address on its website that puts it in the United Kingdom. The UK is one of the well-regulated environments in the world and its regulatory authority is the Financial Conduct Authority (FCA). It has stringent requirements due to which its license is considered very valuable.

No broker in the UK can operate without a license from the FCA, but when you check its online register to see if Virtual-Fxtrade is listed or not, you will not find its name. This shows that the broker is either lying about being located in the UK, or it is operating illegally from there. Does that make it the kind of broker you want to trust? Of course, it doesn’t. Thus, it is the first reason for you to stay away from this platform and there are more to come.

Malicious bonus policy

The fact that you are offering a trading bonus by Virtual-Fxtrade in itself should be a reason for you to avoid this broker altogether. Why? This is because trading bonuses have been banned in a number of jurisdictions, including the United Kingdom. This is where Virtual-Fxtrade claims to be based, which means that it should definitely not be offering you any bonuses, yet it is doing so.

Moving on, you need to know why these bonuses were banned in the first place. Shouldn’t a bonus be a good thing? Yes, it should be, but they got banned because they came with strings attached, which were mostly aimed at blocking withdrawals. This is exactly what the bonus policy at Virtual-Fxtrade does. You will find that you have to have a certain turnover before you will be permitted to make withdrawals after getting a bonus.

Essentially, a $100 bonus will require a turnover of $1 million, which is downright impossible for even the most professional traders to achieve. This means that Virtual-Fxtrade is only looking for an excuse to block your withdrawals and nothing more. It is an excellent reason to avoid the broker.

No trading platform

Another reason for you to run in the opposite direction from Virtual-Fxtrade is the fact that it does not offer you a trading platform of its own. Considering the fact that the trading platform is vital to trading and you cannot trade without it means there is no point in opening an account with Virtual-Fxtrade when it does not offer you one.

You will find a distribution of the MT5 trading platform on its website, but as it turns out, this does not belong to Virtual-Fxtrade at all. The broker does not have a server on it and it belongs to a different brokerage named Admiral Markets. As for Virtual-Fxtrade, it is offering some sort of chart that does not come with a trading option.

Hence, there can be no trading at all and there are no conditions available, which makes this brokerage a fraud.

Only crypto payments

Last, but definitely not the least, you should avoid Virtual-Fxtrade because your money will not be safe with the broker. It only supports crypto payments and these are not eligible for a chargeback. This means that you will not be able to get a refund if you want your money back and the broker can just keep your funds. It is why crypto payments are the only funding method available on fraudulent platforms.

Final Thoughts

These are some very strong reasons for you to stay away from Virtua-Fxtrade because you do not want to be conned at the end of the day.