ZeegosFX Scam
Cryptocurrencies are being regarded as the asset of the future. It remains to be seen whether they will end up replacing fiat currencies, but there is one thing that’s certain; these are not going to go anywhere, anytime soon. With literally hundreds of different ICOs and cryptocurrencies in the market, and the values of top cryptocurrencies hitting stratospheric levels, it is worth considering to invest in them. If you are thinking about dabbling in the world of cryptocurrencies, then you are going to need the services of a broker. The problem is that with so many service providers vying for your attention, it can be quite overwhelming to know which one to select.
Everyone has different requirements so it can be a bit tough to decide which broker you should use. In your search for a broker, you will come across various options and this also includes ZeegosFX. This is a cryptocurrency and forex broker, which is owned and operated by the company called ZeegosFX Ltd. The company claims that it is located in California, USA and is licensed in Belize by the International Financial Services Commission (IFSC). However, there is no legal proof that exists to show that this is the real legal address of the company. No telephone number is provided, which makes it difficult to ascertain the broker’s location.
Is ZeegosFX Regulated?
The simple fact is that for any broker to be able to provide financial services in the United States, they have to carry a license from the local regulator i.e. the National Futures Association (NFA). You need to bear in mind that you can only consider your investment safe with brokers that are regulated by notable financial authorities. These include the NFA in the United States, the Financial Conduct Authority (FCA) in the United Kingdom, the Cyprus Securities and Exchange Commission (CySEC) in Cyprus.
A strict set of rules have to be followed by all brokers who are licensed by the institutions mentioned above. These rules include protecting all client funds by keeping them in segregated accounts, providing negative balance protection to traders, filing regular reports, refrain from giving investment bonuses, allowing external audits and even insuring traders’ funds. It is quite obvious that ZeegosFX is not regulated by any of these organizations, which means you will not be able to enjoy these benefits.
Who is behind ZeegosFX?
Another problem that you will come across when you take a close look at this cryptocurrency broker is that they have not provided any company information. There is no background about the founders, their history or any other information. This means that there is no actual proof that ZeegosFX is a legitimate broker or a valid company and it can be considered a scam.
What Trading Platform does ZeegoFX use?
It is a given that you would want to check out the trading platform that a broker is offering before you sign up with them. This would become a problem in the case of ZeegoFX because it doesn’t provide any information about their trading platform. A legitimate and reliable broker will always inform potential clients beforehand about what trading platform they can expect to use. After all, the platform can make all the difference between a successful and unsuccessful trader. The most popular trading platforms in the market are the MetaTrader 4 and the MetaTrader 5, but ZeegosFX has not clarified what platform they will provide.
Is there a Demo Account Available at ZeegosFX?
Another problem with ZeegosFX is the lack of a demo account. This account type can be incredibly helpful because it allows you to take a test drive before you deposit real money with the broker. Plus, a demo account also lets you try the broker’s trading platform. Yet, ZeegosFX has not offered a demo account so you cannot try out their services and you don’t know if they are following all trading rules and regulations.
What are the Trading Conditions at ZeegosFX?
First and foremost, finding the terms and conditions applicable to trading on ZeegosFX is very difficult as they are not clearly mentioned on the broker’s website. Moreover, when you do come across them, you realize that they are not really the standard terms and conditions that most brokers are known to offer. In addition, the conditions have been stated in a manner that makes it difficult for people to understand them. The only reason they have mentioned these conditions is to make it easier for themselves to freeze or cancel your account, which will cause you to lose all your investment.
What is ZeegosFX offering?
There are three investment plans that are being offered by ZeegosFX, which are classic, silver and gold, respectively. Other than offering a guaranteed ROI between 200% and 400%, no other information has been provided by the broker. Furthermore, the broker has not mentioned what payment methods it accepts, other than stating that it accepts Bitcoins. Most of the cryptocurrency brokers in the market support Visa and MasterCard, as well as e-payment options like Neteller and Skrill. Plus, the minimum deposit requirements that have been mentioned by the broker for the investment plans are between USD 500 and USD 5,000. This is quite high, as compared with other brokers, as the average minimum deposit requirement starts at USD 250.
What fees are Applicable at ZeegosFX?
There is no mention of trading fee on the broker’s website, but there is some unusual withdrawal fee that you have to pay before you can start trading. While it is the norm for brokers to charge some fee, they should keep it reasonable and also provide an explanation for it. ZeegosFX has not done anything of this sort. They are just deducting a sum with every withdrawal, without providing any explanation for it.
Bottom Line
Due to the lack of information and transparency, ZeegosFX cannot be considered a reliable broker. It is an unregulated cryptocurrency broker that cannot be trusted with your investment as it has already received warnings from several regulators as well.