AAX Review – What are its Flaws?

AAX Review

The internet has changed our lives in innumerable ways. It has provided a lot of conveniences that no one could have imagined and opened up new doors for people. But, for all its advantages, there have also been some issues that everyone has had to deal with. It has also become a hive of different types of frauds and scams that occur with increasing frequency. One of the most common types of scams to have happened is in the world of online trading. Shady, fake and fraudulent brokers have become rampant in the space, as this AAX review highlights, and this has led to losses for countless people.

A little bit of research will tell you that these fake companies have exploited people from all over the globe who were just looking to take advantage of the opportunities the financial markets have to offer. It can be a hefty price to pay, when all you want to do is make money. Hence, it is not surprising that people want to know how to steer clear of these scams and fraudsters and to achieve their goals. Your priority should be to know a brokerage inside and out before you decide to open a trading account with it. That is the only way to reduce your chances of getting exploited.

Once you make the effort of learning and ins and outs of the company, you will uncover and understand its flaws. Then, you can decide if these flaws are something that can be accepted, or an indicator that you are dealing with a bogus company. Indeed, there are some flaws that are just unacceptable because they show that the platform is fake and one to be avoided. Nonetheless, you should bear in mind that you cannot find the flaws right off the bat. The first glance at the AAX website gives you the impression of a friendly and professional brokerage is offering you lucrative opportunities associated with crypto coins.

You will find that AAX is offering a state-of-the-art platform, seems to have offices in the Asia Pacific region, including both Singapore and Hong Kong. It also claims to be registered in Malta and UK as well and that it is trusted by over two million crypto traders. All of this sounds fantastic and you think AAX is the broker for you. But, before you decide, you have to learn its flaws and the ones you find are downright unacceptable. What are they? Let’s go over them:

Lack of regulation and licensing

The licensing and regulation of every online brokerage is of the utmost importance because it tells you whether you are dealing with a genuine company, or a shady one. This licensing and regulation depends on where they are based and AAX claims to be based in a number of regions. First off, you will find that the broker claims to be owned and operated by a company named AAX Limited, which is located in the offshore jurisdiction of Seychelles.

It should be noted that an offshore registration does not have the same value as that of other regulated jurisdictions because it cannot offer protections at the same level. Therefore, this does not help much with the credibility of AAX. In addition, as mentioned earlier, the broker claims to be operating in a number of countries, which means it should have a license to provide its services in these regions.

However, when you go through the online register of the Financial Conduct Authority (FCA) in the UK, the Monetary Authority of Singapore (MAS), or the Malta Financial Services Authority (MFSA), you will not find AAX, or any of the company names it provides mentioned. As a matter of fact, it cannot be found in the registers of the Seychelles Financial Services Authority (FSA) either, which means it is not licensed or regulated anywhere. This is a major flaw that you cannot and should not accept.

Problem with withdrawal policy

Before signing up with any online broker, it is a good idea to go through their Terms and Conditions because you should know what you are getting into. This outlines the policies they expect you to comply with and the charges and fees you have to pay. When you check out the Terms and Conditions of AAX, you will come across their withdrawal policy, which poses a big problem.

A look at the withdrawal policy of AAX shows that the brokerage has the right to refuse processing your withdrawal requests if they believe your crypto wallet is at ‘High Risk’. Moreover, they can also set withdrawal limits, or can deny your withdrawal requests for other reasons as well. This is not something any legitimate broker would ever do because it is your money and they will never stop you from accessing it.

Absence of a decent trading platform

One of the most important features that an online broker offers is their trading platform because you have to use it for your trade execution. A look at the trading platform available at AAX will only leave you disappointed because they are providing you with an unproven and basic web trading platform. It is an oversimplified platform that is severely lacking in terms of tools and features that you would get from renowned trading platforms like the MT4 and MT5 that can be found when you look at professional companies.

Unreliable payment methods

A look at the payment methods that are supported at AAX will show you another flaw because they do not have any conventional ones available. You can make your payments via crypto coins, or use a bunch of e-wallets like Epay and Advcash. The problem with these options is that none of them give you the option of filing for a chargeback. Payments made via these methods are considered final and irreversible, which means you will not get a refund in case of any issue.

Conclusion

These are the flaws that you will come across at AAX and can help you ascertain that this is not a broker you want to have any dealings with.