With more than $6 trillion in daily trading volume, the forex industry naturally attracts scammers。These scammers often position themselves as forex brokers。Unlike legitimate brokers, their main purpose is to steal customers' money。

Thanks to easy access to information and strict regulation, foreign exchange scams are no longer as rampant as they were a decade ago。However, their persistence suggests that traders can still be fooled。

The following is a list of blacklisted forex brokers that have been officially flagged as fraudulent:

24FX	Tradaxa	NWFB	GOptions	ForexCT	City Credit Capital
4xp (closed)	TreadeFred	Opteck	GQFX	FOREXer	DV Markets
ACFX	Varengold FX	OptionRally	Index Capital	FrontStocks	ECMarkets
AGM Markets	Vector Securities	Panteon Finance	ITRADER	FW Markets	FinFX
Alfa-Forex	Vertical Markets	Real Trade Group	Lucror FX	FX-Trend	FOREX MMCIS (closed)
AlfaTrade	VerumFX	RFXT	MaxFX	FXcast	Forex-Metal
Atiora	Vipro Markets	RVD Markets	MaxiMarkets	FxPrivate	ForexCent
AXEForex	XGLOBAL Markets	STForex	MRC Markets	fxUP.me	Global Markets Group
Belarta	youtradeFX	SunbirdFX	MyTrade	FXVIP	NewForex
BFSforex	Z.com Trade	Super Trading Online	NAS Broker	GAINSY	TOPFOREX
Boston Merchant Financial	ZarFX	Tenko FX	NetoTrade	Global Clearing Group Ltd	ZebraFX
Circle Markets

There are many reasons why these brokers are on the list。These reasons include, but are not limited to, lack of supervision, failure to meet obligations to traders, difficulties in withdrawing funds, and manipulation of transactions.。

Types of Blacklisted Forex Brokers

Blacklisted Forex brokers are those that have been flagged for engaging in unethical or fraudulent activities, or for having a history of poor customer service and regulatory violations.。

While the exact list may vary by source and regulator, here are some common types of blacklisted forex brokers:

1.Unreliable brokers

This is a type of blacklisted broker who will quickly grab your funds and then fly away at night to escape responsibility。They come faster, and if they have already succeeded, they go faster.。

The way they work is to build a website that usually looks very simple。On the site, they will falsely claim that you can easily make high profits, or anything that will attract you to invest。But once you deposit the funds, they declare bankruptcy or nothing and disappear without a trace。

No matter what they say, you'll lose everything.。It also makes no sense to visit their website because the website is closed at this time。In fact, the scam is everywhere, with many websites shutting down less than a year after they went live.。

2.Ponzi scheme

Forex trading is not a pyramid scheme, but some so-called brokers do operate as pyramid schemes.。Just like any other MLM, they promise you a fantastic life where you can quit your job and travel the world while money keeps flowing into your bank account。This is how foreign exchange pyramid schemes usually conduct business.。

First, they will ask you to pay an entry fee, and then they will ask you to buy their products such as training videos, trading signals and other products to improve your trading skills。Forex trading is not profitable.。Instead, what you have to do is actually recruit more investors into the program and ask them to buy the company's products so you can earn commissions。

3. Bucket Shops

Bucket shops refer to brokers with unethical trading practices.。Unlike "overnight rich" brokers and MLMs, Bucket shops do have normal trading activity, albeit maliciously.。

In general, the term bucket shops is associated with brokers engaged in illegal trading.。Scalping itself is the act of a broker illegally profiting from a client's trade, such as frequent misquoting or re-quoting, executing orders, etc.。

For example, a trader with 0.Buy EUR / USD at 8294。The broker confirms that the transaction has been completed, but in fact, the order will be at a price of 0.Execution at 8298。

The 4-point difference is retained by the broker as their own profit; this fact is never revealed to the trader。

How to Identify Blacklisted Forex Brokers

In this day and age, anyone can get information in minutes。Identifying blacklisted brokers is not as difficult as it used to be。

But traders, especially novices, are still easily fooled。Crooks are also evolving to deceive unsuspecting victims。In addition, not all blacklisted brokers have stopped doing business.。Some of them may still be available on the Internet。

No matter what method they use, you can identify blacklisted forex brokers by these suspicious features。

1.Promise high profits

Brokers with this characteristic are undoubtedly scammers who try to trade their short promises for your money。It is an accepted fact that Forex trading does not guarantee profitability, let alone high profits。

In addition, it is worth noting that only a small number of beginners are able to consistently make a profit in Forex trading。

2.claim no risk

In foreign exchange trading, risk and profit coexist。The greater the risk, the greater the profit。How can a trader make a profit if the broker claims no risk？In addition, the amount of risk a trader needs to face is not determined by the broker.。

It all depends on each trader's strategy, planning and risk management。Conversely, brokers that offer high leverage but do not remind you of high risk should also be avoided, especially new traders, as they may lose money on such trades。

3.No Reputable Regulation

If the above points do not attract attention, then checking the regulation of the broker is one of the easiest ways to determine whether the broker is legitimate.。

Regulatory licenses are essential。We can't stress this enough。Any reliable broker holds at least one license issued by a well-known regulator。

Here are some of the largest and most reliable financial market regulators。Be sure to carefully check the regulatory situation of brokers on the website of the regulator, as the possibility of fraudulent brokers fabricating regulatory situations is not small。

Country	Regulator
UK	Financial Conduct Authority (FCA)
USA	Commodity Futures Trading Commission (CFTC)
Australia	Australian Securities and Investments Commission (ASIC)
Switzerland	Swiss Financial Market Supervisory Authority (FINMA)
Canada	Investment Industry Regulatory Organization of Canada (IIROC)
Cyprus	Cyprus Securities and Exchange Commission (CySec)
Japan	Japanese Financial Service Authority (JFSA)
Hong Kong	Securities Futures Commission (SFC)
Singapore	Monetary Authority of Singapore (MAS)

4.Unprofessional practice

These acts take many forms。One of the most common is that you often get a call from a forex broker you know nothing about, and that person will help and help you make a big profit。

Don't waste time on this phone。If someone asks you for credit card information, it's 100% a scam.。Another sign is that if you have trouble withdrawing money, the broker will give you thousands of excuses。

5Platform in question

Reliable forex broker will provide good performance platform for clients。They may use third-party platforms such as MT4, MT5, cTrader, or they may build their own proprietary platforms, or even both。

On the other hand, fraudulent brokers don't pay high fees for platform licenses, much less invest time and money to build proprietary platforms.。

6.Suspicious business

Brokers who focus only on binary options but promise high profits cannot be trusted.。Binary options are very risky and cannot be relied on for a long time。So do brokers that do business around PAMM accounts。

7.false rating

Ratings can be easily manipulated, so even if brokers have five-star ratings and positive reviews, they must be cautious。This is especially true for brokers that only display their ratings on their websites or any third-party sources that actually belong to them.。

Find out if their ratings are credible by finding unbiased, unsponsored reviews on reliable media。

8.No SSL certificate

SSL certificates are often overlooked by traders and are a must-have aspect of a legitimate broker's website。It establishes a secure connection to the server, preventing brokers from stealing your information。

If the broker does not have this certificate, most browsers will warn you that the connection is not secure。If you receive this warning when opening the broker's website, it is best to leave immediately and never come back。

Use this list to avoid blacklisted forex brokers

Whether you have already registered a Forex broker or are about to register a broker, we provide you with a checklist to assess the reliability of your broker:

(1) My broker holds at least a license issued by a well-known regulatory body such as FCA, ASIC, CFTC, etc.。

(2) My broker website has SSL certificate。

(3) My broker provides reliable trading platforms such as MT4, MT5, cTrader, etc.。

(4) My broker does not interfere with my withdrawal of funds。

(5) My broker will not ask for my debit / credit card information。

(6) My broker will not make unrealistic promises and claims。

(7) My broker has responsive customer support。

(8) My broker receives high ratings and reviews from multiple reliable and independent sources。

(9) My broker accepts standard payment methods such as Visa / Mastercard, wire transfer, PayPal or Skrill。

(10) My broker's operations do not rely on additional services such as binary options, PAMM, etc.。

If the full score is 10, then it can be said that your broker is reliable。However, if less than 7 items are checked, we recommend that you look for a better alternative。

The Last Word

Before you sign up with a broker, be sure to conduct a thorough study of the broker according to the above list provided by us。After finding a broker, do not immediately invest all your money。

We recommend that you try the demo account for a while before entering the real account.。First put in a small amount of money, make a few transactions, and then try to withdraw the money.。Only if the process goes well can you invest more。

After all, in Forex trading, be careful not to make a big mistake。