Review of the Weltrade broker fraud scheme: reviews from deceived clients
How to protect your investments from risks?
To protect investments from various threats, it is recommended for an investor to diversify their portfolio across different assets and carefully choose a broker. In this article, we will discuss a forex broker to avoid trading with – Weltrade. Our website weltrade.com will explain in detail why you should stay away from it.
Information about “Weltrade”
The weltrade team supposedly consists of 65 professionals with international experience. The broker claims to actively listen to its clients and continually improve its services. The official website weltrade.com states that the organization has been in the market for over 13 years. However, “Weltrade” itself was founded in 2012. In this review, we will delve into why such a discrepancy exists.
The owner of this broker is the company Systemgates Ltd. The organization has changed its legal address several times: initially located in Cyprus, then in the Seychelles, and currently in Saint Vincent and the Grenadines. The actual address is Suite 305, Griffith Corporate Centre, PO BOX 1510, Beachmont, Kingstown, Saint Vincent and the Grenadines. Founded in 2006. IFSC license (Belize, offshore).
We also note the license IFSC – International Financial Services Commission of Belize. It was founded in 1999 and involves monitoring the financial sector activities. To obtain a license, the necessary documents must be submitted, and fees ranging from $500 onwards must be paid. Those seeking a license must regularly pay an annual fee starting from $2,500, depending on the type of operation.
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To obtain the license, you need to fill in the statutory capital provided by the Central Bank of Belize. Often these amounts are insignificant (a few thousand US dollars). Subsequently, the broker holding the IFSC license must provide reports and comply with regulations before the regulator, who in turn monitors the company’s operations.
In reality, IFSC is a fake commission without real powers. Over 20 years, no broker or financial institution has ever faced its sanctions. This means that during its long existence, the Commission has never penalized or revoked a company’s license. This indicates that not a single offshore fraudster has been punished for deceiving clients.
Evidently, the broker Weltrade is a rebranded fraud System Forex. This is confirmed by the inconsistency between the claimed 13 years of experience and the founding year of Weltrade (2012). Such events indicate that there are no “former” participants in fraudulent activities.
Reviews about the activities of System Forex are hard to find due to the time that has passed since the company’s active operations. However, some old records have been discovered:
Having been subject to the broker’s deception for many years, it is unlikely that anything has changed after the rebranding. The rebranding was probably undertaken to cover tracks and attract new clients. Possibly, all positive reviews are paid for.
Key provisions of the client agreement
The most important document defining the legal status of the relationship between the broker and the client is the service agreement. At Weltrade scammers, it is called “Public Offer Agreement”.
In the first point of this confusing document, Weltrade reserves the right not to refund money to clients.
Additionally, there is an absurd point 1.14, stating that scammers may not withdraw funds from clients, the amount of which is less than $10,000.
Point 4.21 states that Weltrade may stop trading for clients on a Micro account and demand to switch to more expensive accounts, essentially legalizing scamming for larger sums.
The standard point 5.8 is present in all fraudster contracts. After being deceived, the only way for a client to resolve the issue is through a court in the offshore state of Saint Vincent and the Grenadines. This is a Caribbean state where, essentially, the client will have to deal with payment after being scammed:
Scam scheme and other details about Weltrade
Based on an analysis of extensive information for our review, it can be affirmed that scammers from Weltrade have no connection to the international over-the-counter market. Specific information about liquidity providers for this company was not found. Several references mentioned LMAX, but this data is unconfirmed, and there is no information about this on the official website weltrade.com. It is noted that LMAX itself is a scammer in the Forex market.
If Weltrade does not have a reliable liquidity provider, where do the quotes come from? The obvious answer: they are manipulated to extract large sums from clients.
It is important to highlight the participation of the British company Newstar in payment operations of the forex broker Weltrade, whose authorized capital is equal to 1 pound:
We will provide you with a screenshot of the registration certificate of the Newstar company:
Client reviews overview
There are many negative comments online about both the forex broker Weltrade and its predecessor – System Forex.
A user named Alexander also claims that the charts on weltrade.com have no relation to reality:
A trader shares an opinion on Weltrade, calling it a typical pyramid scheme. According to him, the broker simply redistributes clients’ funds, taking the difference for themselves:
Another trader expresses concerns about server issues and poor customer service at Weltrade:
In the search for reviews for our review, an interesting comment was found detailing complaints about scammers from one investor:
One review describes a blatant theft of clients’ funds. The trader describes how scammers cunningly seize traders’ funds without changing quotes:
The last two reviews focus on another scheme of extracting money from traders at “Weltrade”:
In one review, a former client compares the activities of the forex broker to a casino, where there are manipulations with quotes and spreads:
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Conclusion
Forex broker Weltrade is a former fraud System Forex. This company consistently deceives users interested in trading. There are numerous reviews and comments online about this dishonest entity, scamming residents of CIS countries and other states for over 10 years.
Weltrade.com is a fraudulent project in the forex market, unable to provide anything other than deception. Therefore, it is strongly recommended to stay away from this company!
Author: Yegor Tishchenko
Read also: Review of the broker IronFX and customer reviews.
I had a highly unpleasant experience with Weltrade broker. Their lack of transparency and customer service was both disappointing and unprofessional. Unfortunately, I ignored reviews from previously deceived clients and hoped they had improved their service. I was wrong. Their so-called trading platform is nothing short than a well-planned fraud scheme. Hidden fees were constantly being deducted from my account with no rational explanation and withdrawing my funds was practically impossible. Every time I raised a concern with their customer service, I was met with vague responses and empty promises. I would strongly advise against this broker. Proceed with caution.