Beware! WTCinversion is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
WTCinversion is a forex broker that is out there to manipulate you with misinformation and scam you.
WTCinversion Regulation and safety of funds
The whereabouts of this company are unknown. Although it tries to dupe you that your funds will be safe by providing misinformation about segregated accounts and compensation funds, it’s nothing but a lie!
Do not trust this broker and do not entrust your hard-earned money to this scammer!
If you are looking for a licensed and reliable forex broker, you should research the brokers in the links that we provide and that are located in the well-established jurisdictions of the EU, the UK, the US and Australia. Only with them, your funds will be safe as there are a lot of measures set in place to prevent scammers from sneaking in and to provide safety for your funds in case the broker is declared insolvent. First of all, brokers must deposit a huge amount of money as initial capital. In the US, the place for big players, brokers must have an initial capital of $20 million, Australia comes next by asking licensed brokers to provide 1 million AUD in the form of initial capital. The EU and UK ask for only 730,000 EUR initial capital but brokers there must contribute to a local compensation scheme from which traders can be compensated in case of bankruptcy, so it’s actually a very good deal. Brokers regulated by the FCA in the UK, contribute to the local financial Services Compensation Scheme from which traders can be compensated by up to 85,000 GBP per person. Brokers regulated by CySec contribute to the local Investor Compensation Fund from which traders can be compensated by up to 20,000 EUR per person. And these are not just empty promises like the ones we find on the WTCinversion’s website.
WTCinversion Trading software
The trading software offered by WTCinversion is a Web trader (screenshot below). It is a basic trading platform that has a menu for the major currency pairs in the bottom of the screen, on the left, there are buttons for executing different transactions. From the top horizontal bar, traders can choose the product they wish to trade with – forex, crypto, indices, stocks, etc. In the middle of the screen is displayed a chart with the price fluctuation of currency pair as per trader’s choice with information about current rate, leverage, maintenance margin, etc., on the right-hand side. In this instance, the image below is displayed the fluctuation in the price of the EUR/USD currency pair. From the bid/ask price, we calculated that the spread is 4.2 pips. We must say that this spread is too high and the implications for traders are that they won’t be able to achieve sustainable profit as high spread increases the cost of trading. In addition to that, as you can see in the information window on the right-hand side, the leverage is 1:200. What is even worse, in the account types information that you can see in the last screenshot, the leverage offered for the different accounts can reach as high as 1:500. High leverage signifies two things – either a big win or a big loss. Tempting as it may look, with statistics showing that around 70% of traders experience loss in forex transactions, chances are that this high leverage will result in a big loss.
In an attempt to protect forex traders from facing big risks while using high leverage, the EU has imposed a cap on leverage and licensed brokers cannot offer higher than 1:30 leverage. Australia will soon follow in those steps and impose the same cap on leverage in March 2021. In the US the cap on leverage is 1:50. For your information, only scammers will offer such high leverage as WTCinversion.
As we mentioned above, the Web trader offered by this broker is rather basic. There are trading platforms far superior to this one, such as MetaTrader 4 and MetaTrader 5 that are preferred by about 80% of brokers around the world. It is not by chance because these platforms offer an excellent package of trading tools and instruments, such as auto trading, a financial calendar, an app market, trading signals, VPS, code base with customs scripts, etc. We want also to mention the charting options that are second to none and offer a plethora of technical analysis indicators that help traders to predict the future direction of exchange rates and make a profit.
Our recommendation to potential forex traders is to choose a licensed broker that offers either of these platforms which will enhance your trading experience.
WTCinversion Deposit/Withdrawal methods and fees
WTCinversion offers 4 different account types – Beginner, Trader, Expert and WIP accounts. The start at rather high amounts for an initial deposit. The screenshot below with the information about the different account types does not show the minimum initial deposit which is to the client’s disadvantage and in our opinion should be highly visible on the broker’s website. The minimum initial deposit is revealed only after you open an account – $250. However, the link to choosing a payment method is broken, so what these payment methods are, is unknown. In the footer of the website, we saw in a horizontal bar VISA, MasterCard, QIWI Wallet and WebMoney but it is impossible for us to confirm whether these are real payment methods or not.
While perusing this broker’s legal documents, we could not find any information about the withdrawal methods, fees or deposit/withdrawal processing time. Such information is simply missing and no self-respecting forex broker will make such an omission in crucial legal information!
And the fact that this broker offers bonuses is another proof that we may be dealing with scammers as licensed brokers normally do not offer such incentives. On WTCinversion Terms and Conditions document, we found that this broker offers 100% First Deposit bonus. However, if you are a newly-coined trader, you should know that bonuses are not free gifts and they usually come with difficult to fulfil conditions attached to them. In this case, to withdraw the bonus, the trader must first execute a minimum of 10 trades. We advise our readers to never start trading with a broker that offers bonuses or other incentives.
How does scam work?
If scammers make a movie, it will probably be called “Dream on”. They make everything sound credible and build their scam on your dreams of getting an easy and quick profit. People get duped if they decide to deposit money into one of the scammers’ schemes. What you probably do not know is that your hard-earned money goes as commission to the scammers. Next, you get inundated by daily calls. First, the scammers congratulate you for joining their business, next they try to persuade you to invest even more money. After all, the more money you send, the bigger money fall you can expect. This of course is not how things work. By the time you realise that no money is coming your way, it might be too late. All you want now is to get your money back and get out of there but the scammers have other plans for you and they won’t late get away so easily. Now they try to delay you so that you miss the deadline for a chargeback.
What to do if scammed?
If you get scammed, our advice is to act immediately and if you have paid your deposit via credit/debit card you may still have a chance. Visa and MasterCard allow you 540 days time limit to file for chargeback which gives you a fighting chance to recover your money.
However, if you have used bitcoin or bank wire for your payment, the chances of you recovering your money are really slim.
Cancelling your credit/debit card in case you have given the scammers your CVV code may be another good idea. Also, make sure to remove from your PC any software that my give scammers access to your private data stored on your computer.
Whatever you do to recover your funds, beware of the so-called recovery agents. Please make sure that you are dealing with a genuine one by checking their credentials and company’s information transparency. Otherwise, you may fall victim to another form of scam.