Elbrobaxfx Review – Reasons to Steer Clear of this Broker

Elbrobaxfx Review

There are countless people who want to start trading in the financial markets, but are apprehensive because they have heard of the stories about fraudulent and shady brokerages. When you are investing your hard-earned money, you do not want scammers and criminals to walk away with it. It can be quite devastating and to ensure it does not happen, most people don’t bother trading at all. But, why miss out on the opportunities because of such frauds. Instead, you can do some research to ensure you are opting for the right brokerage. One way is to check this elbrobaxfx review before making a decision.

If you look into the reasons why people usually get scammed is because they do not check a brokerage thoroughly before using its services. You should bear in mind that every company, whether legitimate or a con, will do its level best to convince you that their services are the best. It is your job to research and determine if they are genuine, as they claim, or just trying to lure you in. Once you do that, there is a very low chance of you falling into a trap.

You should do this with elbrobaxfx as well, which is presented as a secure trading platform. In fact, the broker leaves quite an impression, given that it claims to be one of the most beneficial and successful companies that can be found in the world of forex trading and investing. Moreover, it is promising profits to its clients, no matter how much experience they have and the most important feature is that elbrobaxfx claims to be licensed and regulated in the United States. All of this makes elbrobaxfx sound like a fantastic brokerage, which is suitable for just about anyone.

However, the reality is quite different and you can find a ton of reasons to steer clear of elbrobaxfx when you take a closer look. What are these reasons? Some notable ones are:

Reason 1: It is not licensed or regulated

One of the most prominent claims of elbrobaxfx is undoubtedly about its licensing and regulation. After all, even novice traders understand that having a license, particularly in the United States is a pretty big deal. The financial authorities in the US do not grant a license to just any brokerage, as there is a certain criteria to be met and conditions to be fulfilled. Hence, the fact that the broker has succeeded in obtaining a license is definitely impressive.

But, when you scour through the elbrobaxfx website, the first thing you will find missing is details about the company that owns and operates the brokerage. This information should always be mentioned and every licensed and regulated brokerage does so. Another problem you will come across is that they claim to be regulated by the Securities and Exchange Commission (SEC) in the US.

The issue is that the SEC is not the institution that is responsible for the oversight of brokerages in the country. That is the task of the Commodity Futures Trading Commission (CFTC) and a search of its online registers shows that elbrobaxfx is not listed. Likewise, it does not have a membership of the National Futures Association (NFA) either, which is yet another requirement for a broker to be licensed and regulated. The fact that it is making false claims about licensing and regulation is reason enough to steer clear of elbrobaxfx.

Reason 2: It offers guaranteed profits

If you are looking for more reasons to cut off elbrobaxfx, you will not run short at all because there are plenty. When you check out the broker’s offerings, you will find that they appear to be guaranteeing their clients profits between $3,000 and $16,000, depending on the account they open. This should immediately be considered a warning because there is no legitimate brokerage that will ever make such claims.

The financial markets are unpredictable and volatile, which means there is a great deal of risk involved. Even the best traders cannot guarantee you profits, so when elbrobaxfx does so, you should immediately be suspicious. Rather than making such claims, genuine platforms usually warn their clients of the potential risks, so they know what they are getting into.

Reason 3: It has unfavorable trading conditions

You need to know what kind of trading conditions to expect when you sign up with a brokerage and taking a look at those available elbrobaxfx only gives you more reasons to avoid it. First off, they have a minimum deposit requirement of $500, which is quite high. Most platforms usually permit their clients to open a micro account for as low as $10 these days. Even if you consider the average minimum deposit, it is between $200 and $250, which still makes it significantly higher.

Secondly, the leverage ratios that elbrobaxfx offers are also worrying. Yes, ratios of 1:500 may seem attractive, but they also multiply your risks. Moreover, you should remember that elbrobaxfx claims to be regulated and licensed in the US, where brokers cannot offer leverage of more than 1:50 to retail traders. This is further proof that it is lying about its regulatory status.

Reason 4: It does not have a trading platform

Another reason to steer clear of elbrobaxfx is the complete lack of a trading platform. Since this software is a must for executing your trades, its lack of availability is enough for you to avoid the brokerage. You cannot do any trading at all without the platform, which renders the purpose of a brokerage moot. All you find is a funny looking dashboard on their website that has no option of trading.

Reason 5: It only accepts bitcoins

Last, but not the least, the fact that you can make payments at elbrobaxfx only in bitcoin is yet another concern because this method is a favorite of scammers. It is permanent and irreversible because there can be no chargebacks and this makes it a risky method for traders.

Final Thoughts

These are some excellent reasons for you to steer clear of elbrobaxfx because it is not an authentic brokerage by any definition.