Completely Untraceable
Little to no information is available about this dubious company. There is no corporate data to be found. Our sole lead for investigation stemmed from the company’s default language and Spanish name.
Upon inquiry with the Spanish state regulator, CNMV, we discovered that Elmercado FNX has never been licensed by them, and a warning has been issued against the company.
To ensure that the company was not authorized by any Tier 1 regulatory bodies like FCA, NFA, CONSOB, BaFin, and CySEC, we consulted these institutions. Convinced that the company is merely a fictitious online scheme designed to defraud traders, we strongly advise steering clear, similar to the caution we extend regarding Teslabtx.
Optimal Deception Tactics
The individual orchestrating this scheme appears to be well-versed in online fraud, as they have been quite successful in manipulating traders from Spain and Italy.
According to WhoIs data, the domain was registered very recently in August. The engagement of boiler room agents likely plays a significant role. Relentless calls, emails, and unsolicited messages promoting investment platforms and trading campaigns can be particularly bothersome for inexperienced traders.
These scam agents exhibit remarkable patience, especially when it comes to extorting money. Regrettably, whatever promises they make are nothing more than fabrications. Exercise caution and refrain from engaging in risky deals.
Fabricated Ratings Mask Hidden Agendas
Swiftly boosting positive ratings and cultivating a favorable public image is easily achieved by procuring services from review-selling networks. This is how a blacklisted firm like this one manages to secure an average rating of 3.8 out of 5 on Trustpilot and 4.4 out of 5 on Sitejabber.
However, the manipulation becomes apparent upon closer inspection of the reviews. They appear overly generic and seem to be written by individuals with no ties to the Forex world or experience with the subpar services offered by this brand.
Manipulated Trading Conditions
Once again, we must caution our audience about the risks associated with trading under increased exposure. CNMV’s blacklisting of this fraudulent entity is justified not only for its disregard of the current EEA regulatory law, which limits leverage to 1:30.
The Elmercado FNX scam promotes a starting leverage of 1:100 and a final ratio of up to 1:400. Additionally, no information on trading costs is disclosed. Legal documents, however, state that the company can unilaterally alter trading costs and conditions without prior warning, potentially increasing or decreasing spreads on any instrument.
Unspecified Bonus with Harsh Terms
While there may not be an explicit declaration regarding bonus availability, the terms and conditions shed light on the matter. The bonus is added to your total account balance by the company, leaving you with no option to accept or reject it.
Moreover, a substantial trading volume requirement must be met to withdraw funds from the credited account, calculated as (bonus amount / 4) x 50 = number of lots.
Subpar Features
The promised features and tools, supposedly empowering traders for Forex success, are nothing more than basic options that fall short of industry standards. The seemingly comprehensive web trader is non-functional, specialized trading accounts are nonexistent, and the instrument range varies from one page to another.
Deceptive Distribution
Both the fundamentally useless web terminal on this domain and the one provided by Teslabtx pale in comparison to leading software like MT5 and cTrader. While user-friendly at first glance, these terminals lack basic functionality and tools.
The alleged simplification of navigation seems to come at the cost of cutting down useful tools, rather than offering better customization options for distribution and layout. Under the guise of providing a more understandable environment, the scammers attempt to sell a stripped-down product devoid of essential components and purpose.
Market Access
There’s nothing commendable about the average and basic selection of instrument groups offered by this fraudulent broker:
- Forex (EUR/USD, USD/AUD, EUR/GBP)
- Indices (Dow Jones, Nasdaq, DAX, CAC)
- Commodities (Cotton, Sugar, Wheat, Gold)
- Shares (Tesla, BMW, Ford, Ferrari)
- Crypto (BTC, ETH, XRP)
Lack of Account Options
The website, shrouded in obscurity regarding critical information and offer elements, fails to disclose available package types. With no provision for trial testing of the platform, it can only be assumed that one live trading account is provided.
Unfortunately, concrete details about the included options and tools, including deposit requirements, remain elusive.
Withdrawal Request Handling
The firm remains opaque about withdrawal conditions and fees, with scant and dubious information provided. The client panel suggests a minimum of 7 business days to process a payout request, but without substantial proof.
Similarly, claims about a $50 minimum withdrawal amount and fee-free credit card withdrawals lack credibility. The client area displaying only BTC channels for depositing hints at potential severe violations of AML rules.
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