CryptoZone24 is a forex broker and provides CFD trading. It claims to be based out of the UK. The address of the company is believed to be 77, Manchester Road, North West London. Let me uncover the fake claims of CryptoZone24 step by step.
Lying about Address
The address of 77, Manchester Road, North West London does not reflect the physical office location of CryptoZone24. The broker only operates from a virtual address. The absence of a physical address of the company hints at their illegal operations. Below is a snapshot of their fake address:
No Information on Owners
CryptoZone24 claims to be owned by Crypto Limited. The broker mentions in its risk warning that Crypto Limited is operating the trading platform of the CryptoZone24.
Crypto Limited is a separate broker company that is based out of New Zealand. It is not based out of the UK. It does not own any trading services with the name of CryptoZone24. It is a sham claim of the company to use the name of a reputed company to dupe traders. I strongly recommend the traders to investigate the broker before trusting the information provided by them. The screenshot of the actual details of Crypto Limited is attached below.
Counterfeit Link with Australia
The company mentions in its terms and conditions that it is under the governing laws of Australia.
The Australian Securities and Investments Commission is the financial regulator of the brokers operating in Australia. The ASIC has no authority over the operations of CryptoZone24. It can be verified at this link https://sitesearch.asic.gov.au/s/search.html?query=CryptoZone24&collection=asic&profile=asic
No Regulation by the FCA
CryptoZone24 claims to be based in a virtual address in the UK. While trying to search the registers of the reputed FCA of the UK, I found that the regulatory body has already released a warning against this broker.
First of all, CryptoZone24 is not regulated by the Financial Conduct Authority of the UK. It means that this company is not allowed to provide its services in the region of the UK. It also means that the traders dealing with the CryptoZone24 are not covered under the compensation scheme and the security of the FCA. It can be verified at the link https://register.fca.org.uk/ShPo_UnauthorisedFirmDetailPage?id=0014G00002VVvlUQAT
The second set back from the FCA is the labelling of this broker as a “clone firm”. The FCA has found that CryptoZone24 is illegally copying the details of other firms to gain the trust of prospective clients.
The registration number provided by the broker at its website 757895 belongs to Crypto Facilities Limited only. Apart from that, this broker has also copied other details of Crypto Facilities Limited. It can be verified at the link https://www.fca.org.uk/news/warnings/cryptozone24-clone-authorised-firm
Illegal Operations in Italy:
The Commissione Nazionale per le Societa e la Borsa is the government agency of Italy which is responsible for the regulation of the financial service providers there. The CONSOB has blacklisted CryptoZone24. It was illegally operating in the region of Italy with no registration with the CONSOB. You can check the link here: http://www.consob.it/web/consob-and-its-activities/warnings?viewId=ultime_com_tutela
Illegal Operations in Belgium
The Financial Services and Markets Authority (FSMA) of Belgium have issued a warning to its traders against the fraud operation of CryptoZone24. The company is not authorized by the FSMA to provide any services in the region of Belgium. The traders are warned to stay away from the illicit services of the company. It can be verified over the link https://www.fsma.be/en/warnings-illegal-soliciting-savings-public-warnings-foreign-authorities-who-are-members-esma-pol
CryptoZone24 is an offshore unregulated broker. It is not regulated by any of the financial watchdogs. Instead, it has separate warnings issued by the reputed FCA, the CONSOB, the FSMA, etc. The address of the company is not genuine and the ownership details are of a separate company that has no link with the broker.
Your funds wouldn’t be safe in the hands of this fraudulent broker. You should look elsewhere.
Trading Services of CryptoZone24:
The broker is into forex, indices, CFD’s, precious metals, etc. The broker fails to provide any details about the scalping and hedging available on their trading accounts.
Like most of the brokers, CryptoZone24 provides MetaTrader 4 as its trading platform. Trading on MetaTrader 4 is secured as it is reliable in operations. MetaQuotes Software Corporation developed this platform in the year 2005. The marvelous platform offers trading charts, automated trading signals, and many additional benefits to the traders.
Structured Demo Account:
The demo account of the broker claims to yield 98% successful results. It is a rigged account created by the company to attract the traders to invest with them. A demo account should be the simulation of the actual live trading account.
It is advantageous for the trader to execute trades without risking actual money. But CryptoZone24 deceives traders by providing them with a rigged account.
Expensive Trading Accounts:
Before I start the scrutiny of the live trading accounts of the company, I must mention that the company does not provide any details about the spread and the leverage ratio. The ideal spread should start from 0 pips and the leverage must be competitive.
There are 4 types of live trading accounts.
- Micro Account: It starts with the minimum initial investment of 500 Euros. The services offered are daily market reviews and a personal trading coach. Their minimum deposit requirement is 10 times higher than the industry standard. The service of daily reviews is the least useful and the skills and experience of the trading coach cannot be determined.
- Standard Account: The standard account of the company requires 3,000 Euros as the initial minimum investment. Moreover, there is no difference in the services of a micro account and the standard account. The amount of 3,000 Euros is very high as compared to the services provided by the broker.
- Premium Account: It requires a minimum initial investment of 5,000 Euros as a minimum deposit. There is no difference in the services offered to the traders than in the standard account of the broker.
- VIP Account: It starts with the minimum initial deposit of 50,000 Euros. This account comes with additional services like daily market reviews, personal trading coach, daily recommendations, and exclusive updates. The deposit of 50,000 Euros is not genuine as compared to the low-grade services of the broker.
Missing Payment Options and Conditions:
CryptoZone24 fails to provide any details about its methods for transferring funds. The company mentions clearly that it does not deposit funds in the bank.
The company does not provide any details about the minimum withdrawal amount, withdrawal processing fee, and dormant fee. It has complete control over the funds of its traders, this means, they can even freeze your account and steal all your money without even notifying you of these transactions.
The absence of trusted e-wallet partners like Skrill is another red flag. Skrill has stopped working with fraudulent offshore brokers as it has adopted an “anti-scam policy”.
Nil Customer Support:
A single UK based phone number is provided on the website of CryptoZone24. There is no facility of technical support numbers, E-mail IDs or live chats. The broker does not care about the problems faced by the traders but is more interested in extracting money. There is no way available for the traders to seek help.
The company mentions 24*7 support in the trading accounts. But there are no means for the trader to contact the company in case a technical problems arises. In other words, they are lying about their customer support.
Weak Online Presence:
The website of the company is https://web.cryptozone24.com/
The domain of the website is registered in the Netherlands. The owner is successful in masking his details using paid services. CryptoZone24 is not available on any social media platforms. It is a part of their cheap strategy to stay away from the eyes of the regulators and the traders.
CryptoZone24 is given 0.5 over the 5 point rating scale. The lies of the broker start from its ownership, its regulation, and its office address. The four live trading accounts with no actual services are cruel and at the same time sadistically bad to the traders. The broker extends zero customer support to its customers. It is not advised to deal with CryptoZone24.