SotFX’s website is strangely dark. Different dealers use different ways to stand out, and it looks like SotFX has chosen a dark website. There are a lot of things that raise suspicion that this company is a scam.
For example, the process of signing up is quick and easy, but the website doesn’t let anyone sign up. They will not let you visit the website, so you’ll have to rely mostly on what they say.
This SotFX review will help you decide if you should trust them or not:
License and Rules for SotFX
The Marshall Islands, which are in the ocean, are where SotFX is based. Offshore areas don’t have financial officials, so shady brokers and scams have moved there. Without a regulatory body, traders in this area don’t have to worry about what will happen if they do something wrong.
So, it’s clear from these facts that SotFX is a broker that isn’t controlled. It is not licensed to work as a forex exchange.
Be wary of brokers who are not licensed and are not controlled. The FCA and CySEC have strict rules and laws, but these brokers don’t follow them. Because they are not controlled, these brokers can use shady methods to steal your money or information and get away with it.
Regulators keep a close eye on registered brokers to make sure they don’t do anything that hurts their clients. If a broker does something that hurts their customers, the clients can get insurance money from their regulator. For instance, CySEC will pay €20,000 if the broker files for bankruptcy. Regulators make sure that the broker keeps the money they use to run their business separate from the money their clients use to trade.
Brokers that aren’t regulated don’t offer these perks, which is why it’s very risky to trade with them. If you want to keep your money and information safe from thieves, it’s best not to trade with brokers who aren’t controlled.
SotFX’s trading rules
Checking the trade rules of a broker can tell you a lot about how trustworthy it is. Before you sign up with a broker, you should always check their trading terms. It makes sure you don’t choose the wrong dealer. Let’s find out if the buying conditions at SotFX are good or not:
SotFX says on its website that it has MT5, which is not true. Even though they don’t offer this trading tool, they show a picture of it to make it look like they do. This is a clear sign that SotFX is a scam because it is false promotion.
Metatrader is always the best tool to use for trading. Metatrader 4 and 5 are two of the most famous trading platforms in the forex market. This is because they offer a wide range of benefits. MT4 gives you real-time and historical data, as well as online quotes and interactive charts, to help you make better trading choices. Other trading sites don’t give you these kinds of tools.
So, look for companies that offer either MT4 or MT5.
SotFX doesn’t state its minimum deposit requirement to its clients. They have kept it secret, just like they have done with most of their trade rules.
Given how sketchy they’ve been so far, it’s pretty clear that their minimum deposit demand isn’t good.
You shouldn’t trust agents who ask for a lot of money upfront. It’s generally a sign that the broker is trying to scam people. Because most brokers who are licensed keep their minimum deposit low so that more people can use them.
Untrustworthy dealers set their minimum deposit limit high so they can quickly steal a large amount of money.
Use of Credit and Spreads
The broker doesn’t talk about the amount of power it gives its clients. When traders hide the leverage they offer, it’s usually because the leverage they offer is bad and very high.
Most of the time, brokers who offer very high leverage rates, are scammers. The UK’s financial regulator, FCA, doesn’t let its brokers give their buyers more than 1:30 leverage. They added this rule to make sure that clients don’t lose their money because their leverage levels were too high. If your debt ratio is very high, you could lose a lot of money.
Untrustworthy forex brokers keep their leverage rates high so they can get their clients to take on a lot of debt.
The difference in the EUR/USD currency pair is 0.5 pips, which is in line with the industry average and is very competitive. But the fact that this broker has a competitive spread isn’t enough for me to suggest their services.
Payment Methods & Fees at SotFX
Methods of Transaction
SotFX doesn’t tell its customers anything about the ways they can pay. Another sign that they are a scam. Brokers who are regulated tell their clients everything they need to know about the payment methods they accept. That’s because they want to make things easy to trust and clear. SotFX doesn’t seem to want to earn the trust of its users.
SotFX has kept all of its information about fees secret. This is a common trick used by shady dealers because, most of the time, they charge unfair fees and don’t want the user to find out. By hiding details about their fees, they can make sure you won’t find out about them. If a new dealer joined, the broker would keep charging unfair fees.
Even though SotFX’s website didn’t say anything about bonuses, one can’t say for sure that they don’t offer them. Also, shady companies like SotFX use bonuses to attract new traders to their platforms. It wouldn’t surprise me if they started giving bonuses to their clients as well.
In the forex business, everyone knows that you should never trust a broker because they offer bonuses. Remember that the broker owns the money you get from a bonus, not you. Also, forex bonuses let the broker put secret limits on withdrawal requests, making it impossible for the client to get their money back.
Bonuses are often used by people who try to scam people in the forex market because they help them get new customers. Be careful with brokers who give a lot of bonuses.
Is SotFX a scam? Yes!
By now, it should be clear that SotFX is a scam. There are many types of scammers in the forex market. Most of the time, crooks in this field try to get new traders and traders with little experience to sign up for their platforms by making false claims and offering bonuses. They get the user to sign up for their website and agree to terms and conditions that seem fishy. People usually don’t read the small print when they sign up with these agents, which is where their unfair terms are hidden.
Then, they either charge hidden fees or come up with a reason to take the money put by their users out of their trading accounts. By setting a high minimum deposit, they make sure that each person gives them enough money to steal a good amount.
Before signing up on a new broker’s website, the best way to avoid these scams is to do a lot of research. You should look online to see if the broker is regulated, has a license, has an address, and has a good name. Some brokers even pay for fake reviews to make it look like they have a good image on the internet.
SotFX Review: Conclusion
You should go somewhere else and find a broker who is approved and has good trading conditions.