Among the latest unauthorized investment services on the Financial Conduct Authority’s blacklist are four brokers.
My Coin Elite
Its official website says that My Coin Elite is a cryptocurrency exchange. The exchange will let you trade with over 250 tokens. The fee per trade is 0.82%.
But in reality, My Coin Elite is not a real cryptocurrency exchange, it is a broker that will let you trade with contracts for difference (CFD). This means that you don’t become the owner of the cryptocurrency you buy, you just trade with derivatives.
This means that My Coin Elite needs a license to be able to operate legally, but it doesn’t have it. The company claims to have offices in Australia, United Kingdom, Germany and Switzerland, but it obviously is not true, because it is not registered nor licensed in any of these countries.
The Financial Conduct Authority has placed My Coin Elite on its blacklist, because the broker is operating illegally without the necessary authorizations.
Nexus P Capital
Nexus P Capital is a broker that is using the Sirix platform to trade with fiat currencies on Forex and with cryptocurrencies.
There are six different types of accounts with minimum deposits starting at 2499 euros. The leverage is between 1:50 to 1:400, it depends on the account.
The problem with Nexus P Capital is that it is an anonymous and unregulated broker. On its website you won’t find any address or information about any license.
The Financial Conduct Authority has confirmed that Nexus P Capital is offering its services illegally, because it has no license whatsoever.
Royal GTX is a brokerage company that offers trading with fiat currencies, commodities, stocks and cryptocurrencies. It uses contracts for difference for this purpose.
The minimum deposits for live account with Royal GTX start at 250 euros. Ironically, spreads are bigger with the most expensive account that require a minimum deposit of 50,000 euros.
The main issue with Royal GTX is that it is completely anonymous, the broker provides no address, only a phone number and an e-mail address.
The FCA has confirmed that Royal GTX is not regulated, it is an unauthorized investment service that you should stay away from.
Wize Capital will let you trade with currencies, stocks and commodities. To start trading with real money you will need at lest 250 euros as the minimum deposit for opening a live account.
Wize Capital claims to be based in Serbia, but its phone number leads to the United Kingdom. That is why the Financial Conduct Authority had a look at Wize Capital and found out that it is an unregulated broker that is not authorized to provide any kind of financial services.
Wize Capital is operating illegally and it is recommended to stay away from it.
My Coin Elite, Nexus P Capital, Royal GTX and Wize Capital are unauthorized and illegal brokers. Deposits with these companies are not protected, stay away from them.
For trading you should use regulated brokers only. Start on a free demo to practice trading with virtual money.
Before trading with real money, you must understand the risks and have a proper strategy.