Read our FNZEurope review to see if this broker is a scam or legit. Just to clear doubts, this is a fnzeurope.com review.
With millions of people around the world taking greater interest in the financial markets, it is no surprise that the number of brokers offering their services has surged significantly. Their services are essential to the process because they are the ones that unlock the doors of the financial markets for you, but this does not mean that any company will do.
Every market has its share of frauds and this space is no different. Not every online brokerage is going to be authentic, as you will discover in this FNZEurope review.
Just because they are presented as good and dependable brokerages does not automatically make them so, which means you have some homework to do.
Appearances can be deceiving and this is something you have to remember when you are checking out online brokers because there are plenty of them that may appear genuine and professional, but are the complete opposite. It is your job to ensure that you are not committing a blunder when you decide to sign up with a specific brokerage.
Some of these may have very attractive features and services that people find hard to ignore. Therefore, they may not be as thorough in checking other details and this is exactly what scammers count on.
They are known to deliberately present an offer that people will find hard to resist, giving them the perfect opportunity to slide under their guard and con them before they even realize it. Rather than letting their offerings overwhelm you, it is better if you take some time and make some effort to know the truth about a brokerage.
The goal is to ensure that the company you are considering does not have any red flags that could point towards a scam. If it does not, you can move forward and if it does, you can look for a different option.
You should do the same with FNZEurope, which has deliberately chosen its name to imply that it is operating in Europe. It has made great effort to present a professional appearance, but it is nowhere close to it. How can you tell? There are a number of red flags that you will come across when you check out FNZEurope properly. Here are some of them:
False regulation claims
Since regulation is a priority of many traders when they are looking for a broker, a number of companies present themselves as licensed and regulated entities, even if they are not. You will find the same happening at FNZEurope when you take a look.
According to the broker, it has licenses from several regulatory authorities in the European Union, which includes the Cyprus Securities and Exchange Commission (CySEC), the National Securities Market Commission (CNMV) in Spain and the CONSOB in Italy.
Apart from that, you will also come to know that FNZEurope claims that it also has an office in Dublin, Ireland. But, this is simply not true and you can confirm this by running the name of the broker in the online registers of these regulatory authorities.
You will not discover FNZEurope anywhere, which shows it is a false claim. Plus, it is also obvious from the fact that it goes against the regulatory framework in Europe when it comes to offering leverage.
Lies about trading platform
The second red flag that you will discover at FNZEurope has to do with its trading platform, the feature that you use for executing your trades. Suffice it to say, it is the most crucial aspect of a broker and it has to be state-of-the-art for you to be able to have a good trading experience.
This is exactly what FNZEurope is promising its clients in the form of the MT5 platform, which is recognized as the leading one in the market.
But, it turns out that FNZEurope is only lying to its clients because it is certainly not what the brokerage is offering. The only platform you will find is a web-based one that does not come close to the MT5. But, even if it did have the MT5, it would still not be a good brokerage because it is lying about its regulation and this automatically makes the broker unsafe.
The third red flag that you will be able to see at FNZEurope is when you check their leverage ratios. As mentioned earlier, the brokerage is not following the regulatory framework of authorities in terms of leverage ratios.
This is because it claims to offer levels as high as 1:500, which are considered extremely dangerous for retail traders. They can magnify your losses, just as much as your profits, due to which such ratios are not allowed.
Only crypto payments
The payment methods that you are provided by a broker are also relevant because you want to make payments safely and you want to be able to get a refund if there is any need. This is not something you will be able to do with FNZEurope because the only method it offers to you is crypto deposits. You can only make payments in various cryptocurrencies and stablecoins, which cannot be reversed.
Most legitimate brokers will offer their clients a variety of payment options, but scam brokers do not usually follow the same route. After all, their goal is to keep your money and offering crypto deposits is the best way to do so. Plus, crypto deposits are also anonymous and this also helps companies like FNZEurope.
High minimum deposit
The next red flag that you will come across is when you check the minimum deposit that FNZEurope asks for and it is around $1,000. This is extremely high because nowadays platforms are allowing their clients to open accounts for as low as $10. If the broker did want to ask for the standard deposit, it should not be more than $250, but it is asking four times that.
These red flags can help you see the real story, which shows that FNZEurope is not a trustworthy or reliable broker by any definition.