Beware! PrimeQX 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.
We are reviewing PrimeQX, a shady broker that’s apparently operating a scam scheme. We accuse them because of a number of reasons we are going to share with you in this article. To start with, PrimeQX falsely claims to be a trading name of a licensed British business and also to be CySEC regulated itself. Both assertions are fraudulent, and that’s significant evidence of a scam. Find out what you need to know about this shady business in the full PrimeQX review.
PrimeQX REGULATION AND SAFETY OF FUNDS
As already mentioned, PrimeQX is introduced as CySEC regulated, which is a falsehood. They do not have a license and knowingly want to mislead people by falsely claiming to be regulated. On top of that, they fraudulently present themselves as a brand name of a UK licensed company. Your funds are not safe if you deposit with PrimeQX because it’s a clone firm and a scam.
The clones are scam businesses that abuse legitimate companies’ details while trying to make their scheme appear legit and trustworthy. It’s a common type of fraud but very dangerous indeed because many people may actually believe they are dealing with a legit business, while the opposite is true. Make sure to double-check the brokers before making any deposits whatsoever.
Stay away from PrimeQX and see the high-rated EU brokers and British brokers instead. Europe has created a safe regulatory environment where deposit insurance funds protect traders’ money in case of insolvency or fraud. For example, CySEC brokers’ clients can claim up to 20 000 EUR in compensation, while the British guarantees are up to 85 000 GBP per person. The European FX market offers high-grade security, so don’t hesitate if you are eligible to open an account with EU or UK regulated brokers.
PrimeQX TRADING SOFTWARE
PrimeQX can only deliver web-based trading software, which can’t offer any significant advantages. However, PrimeQX yet again makes fraudulent claims by offering MetaTrader4 accounts. They can’t provide with MT4, so that’s even more evidence of a scam. Beware.
While talking about trading software, see the high-rated MetaTrader4 brokers and MetaTrader5 brokers on the lists. We recommend these because MetaTrader is the leading retail FX platform delivering sophisticated trading tools such as Expert Advisors, Algo Trading and many complex indicators. The platform also features a marketplace where you can find more than 10 000 apps you can benefit from.
The EUR/USD spread is seemingly favourable- 0.7 pips, which is generally in line with the industry standards. Nevertheless, this broker is a scam suspect, so don’t get too excited. Considering spreads, that’s the Buy/Sell difference, which also forms part of the trading costs. Therefore, lower rates create better trading conditions and significantly improve profit potential. Still, you shouldn’t waste your time with brokers like PrimeQX because the FX market is highly competitive, and it’s easy to find reputable companies to trade with.
The maximum possible leverage is 1:200, which is a ratio considered too risky for retail traders. If not properly used, 1:200 may inflict heavy losses that are too challenging to recover. In fact, leverage is so risky that many financial authorities even imposed regulations to keep it under control and help traders reduce losses.
As a result, EU, British and Australian brokers are limited to 1:30 for FX majors and 1:2 for cryptocurrency pairs. In contrast, the Canadian brokers and the US brokers are not allowed to provide more than 1:50. Most of the high-leverage brokers are poorly regulated offshore businesses, so be cautious.
PrimeQX DEPOSIT/WITHDRAW METHODS AND FEES
The minimum deposit with PrimeQX is $250, which is in line with the offshore brokers’ requirements, but twice as high as the regulated industry’s standards- $100 on average. There are three funding methods available- Credit/Debit cards, Bank Drafts and Wire Transfers. From those, bank card deposits are considered the safest options because it’s allowed to file for chargeback within an extended period of time.
Anyway, see some Skrill brokers, Neteller brokers, FasaPay brokers, Sofort brokers, and Bitcoin brokers if you have a preferred payment system. The high-rated brokers on the lists are strictly regulated, so you won’t come across scammers.
There are no withdrawal requirements, and the request processing time is 2 days free of charge. However, as there is a number of fraudulent statements throughout the website, we can’t validate any of their withdrawal conditions.
The inactivity fees are as follows: after only 30 days of inactivity, an account becomes dormant and will be charged $36 per month. That’s unfair.
PrimeQX offers bonuses, but the additional conditions are unjustified. Traders need to execute $20 000 in turnover for each bonus dollar to become eligible to withdraw, which is a requirement way too challenging to meet. Be careful with trading incentives because bonuses are not free money but a leverage tool, further increasing the risks. In this case, PrimeQX deliberately puts traders in an even riskier environment and force them to lose their money.
Overall, PrimeQX is a shady brokerage and a clone firm, so stay safe and avoid it.
HOW DOES THE SCAM WORK
The Forex scam is a popular type of fraud that’s rather distinctive because it’s effectively a process. In the usual scenario, the victim clicked on an ad, then received a phone call, and at some point got convinced to deposit money. To make people accept their fraudulent offers, scammers would present deals that sound too good to be true, bonuses, get-rich-quick schemes and so on. Their imagination is very rich, and they would invent as many stories as possible to get the deposits wanted.
But the money transfer is not an end; that’s the beginning of the actual Forex scam. Gradually, scammers would manipulate the victims and would urge them to invest more. For example, the con artists would not allow people to trade but would pretend to manage the account instead of the traders. They’d then falsify the trading results to show victims massive profits and ask for more money, promising to generate a fortune in no time. However, if the victim asks for a withdrawal, that won’t happen. Scammers would come up with a story that the unfortunate trader needs to deposit again if they’re going to pull money out. Those criminals won’t stop asking for more, whatever the situation.
In the worst case, the victim would believe in the scammers’ falsehood and deposit repeatedly. Sooner or later, though, the scam would become evident, and that would be a signal for the fraudsters to cut the communication and disappear. They would abandon the website and would create a new one, carrying on with their criminal activities.
WHAT TO DO WHEN SCAMMED
Unfortunately, no one is immune to scam. If this unfortunately happens, the first thing to do is to protect yourself from further risk. Contact your bank and explain what happened to you so that they can give you instructions and help you, if possible, recover your money.
Report what happened to you, file a complaint, contact the financial regulator, contact other government institutions related to trading and investing, call the police if you feel necessary. Seek help actively!
Remember, it’s crucial not to rush blindly trying to recover your funds because many scam chargeback agencies and individuals are trying to double scam the victims. They ask for upfront payment, take the money, but won’t do anything to help you!
Share online your experience; it’s important to protect others, as well. Be responsible!
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