Binance-AutoTrade Review – The Hallmarks of a Scam

Binance-AutoTrade Review

Everyone has heard of online scams, as they have been happening for as long as the internet has been around. But, the question is why have they continued to happen when there is so much awareness?

It is because these criminal elements have gotten smarter and now have access to greater resources to carry out their activities.

They know just what weaknesses to prey on and are able to disguise themselves so well that most people do not realize they have been trapped until it is too late. This Binance-AutoTrade review is the perfect example of one such scam.

It is understood that people have to use the services of an online broker to trade in the financial markets, which means they will open an account and deposit their funds. Since these criminals want to steal your money, they set up fraudulent brokerages.

Distinguishing between legitimate and fraud brokers is not as simple as it sounds. As mentioned above, they go to great lengths to disguise themselves, which makes it a big challenge for traders to identify them. If you are unable to do so, it is likely that you will end up a victim of a scam broker.

What does this tell you? It shows that you should never take anything for granted when it comes to an online broker. Regardless of the amazing services and features a company may be offering, you should always do your homework and ensure everything is just as presented.

If there are any loopholes in their story, you should immediately step back because taking the risk is not worth it. This can work wonders in the case of Binance-AutoTrade that has put in a lot of effort to convince people of its legitimacy.

According to the Binance-AutoTrade website, it is regulated in six jurisdictions, caters to millions of traders and has its headquarters in the United States. It also claims to offer you a profitable and reliable source of income through trading 500 instruments, including forex currency pairs, crypto, oil and precious metals on their ‘advanced’ trading platform.

As appealing as it sounds, you have to check everything and this is when you will discover that Binance-AutoTrade has all the hallmarks of a scam.

What are they? You can find out below:

False licensing claims

The lack of licensing of an online broker is considered a sign of a scam and it is even worse when a company lies about its licensing. This is exactly what you will find in the case of Binance-AutoTrade that has made false claims about being a regulated and trusted broker.

The licensing and regulation of a brokerage is of the utmost importance because it adds credibility to it and ensures that you are dealing with a company capable of offering quality, security and transparency.

None of this is possible with Binance-AutoTrade because the license certificates that it has posted on its website from Mauritius and Belize are fake.

They belong to a company named Binance Autotrade International, but if you check the online register of the International Financial Services Commission (IFSC) in Belize and the Financial Services Commission (FSF) in Mauritius, you will not find the brokerage, or its parent company listed.

Moreover, Binance-AutoTrade also claims to have its headquarters in the United States, but you can check the registers of the Commodity Futures Trading Commission (CFTC) and also the National Futures Association (NFA), you will not find it anywhere.

This lack of regulation indicates that you are dealing with a virtually anonymous broker because its credentials cannot be verified.

Lack of a trading platform

What is the most important feature that an online broker offers its clients? It is the trading platform that has to be used for trade execution, which is also equipped with trading tools that are designed to help in making profitable decisions.

You obviously want to have access to the best trading platform and Binance-AutoTrade claims to offer an advanced solution to its clients. In fact, it goes as far as mentioning the MT4 platform, which is one of the top ones in the market.

However, this is all a blatant like because it turns out that Binance-AutoTrade does not have a functional trading platform at all. Once you have registered yourself with the broker, you will find a funny-looking dashboard that is meant to create the illusion of a trading platform to fool people and nothing more.

This is another hallmark of a scam because without a platform, there can be no trading, which means there is no point in signing up with the broker.

Terrible trading conditions

The trading conditions that an online broker provides directly affect your profitability, so you have to check them out to know what kind of returns you can make. The terrible trading conditions that you will find at Binance-AutoTrade are yet another hallmark of a scam.

The spreads offered by the broker start as high as 3.3 pips, which is three to four times more than the competitive brokers in the market.

Secondly, the leverage that you are offered at Binance-AutoTrade goes as high as 1:5000. These leverage levels are considered extremely dangerous and further prove that the broker is lying about being licensed.

This is because regulatory bodies have imposed cap on the leverage that can be offered to retail traders, which is 1:50 in the case of US, where Binance-AutoTrade claims to be headquartered.

Only crypto payments

Last, but not the least, another hallmark of a scam that you will come across at Binance-AutoTrade is the fact that it offers you crypto payments. Scammers prefer this method because crypto deposits are final and do not qualify for a chargeback.

In addition, they also tend to be anonymous, which works in the favor of scammers because they can steal your funds and conceal them. You can only make deposits in Bitcoin, Ethereum, Litecoin, USD Tether, Ripple, Bitcoin Cash and a few others.

Final Thoughts

These hallmarks of a scam can be found in Binance-AutoTrade and confirm that the brokerage is not legitimate.