ProuFx is an infamous unregulated forex broker who has caused disastrous financial damage to most of its clients. Many people are still struggling to get their money back from them and recently, they have even moved or disabled their web address without providing any notice.
At Cyber Scam Review, we always look at both sides of the equation before writing any review, but when it comes to this broker, without a shadow of a doubt, we can call them a scam. Forex or any other type of trading on its own is challenging and if you do not end up choosing regulated brokers to fulfill your needs, then you are taking on unnecessary risk which can be mitigated.
Unregulated brokers might offer fancy features and higher leverage, but they also compromise the safety factor and if they ever decide to disappear overnight, all the clients will be left empty-handed. To know everything about ProuFx and its reputation, continue reading our analysis and we will show you the side that they don’t want you to know.
ProuFx Regulation and Licenses
When it comes to choosing online brokers, people have to conduct thorough research and they should double-check everything they see on the web. We always suggest everyone indulge with regulated and licensed brokers as they are known to be reliable and provide the maximum amount of security for your capital.
Offshore and unregulated entities always offer enticing trading conditions, but as expected they never hold on to their end of the bargain. Moreover, most offshore brokers do anything and everything in their power to delay processing the payments and in some cases, they have abruptly refused to pay the clients.
ProuFx broker does not share any detail about their legal status. We don’t have a clue about their incorporation details and they don’t even have the basic courtesy to feature a physical address. In other words, as retail customers we won’t be able to do anything about them in case something wrong happens, and given their traits, it is inevitable.
Moving on to their customer support aspect, the users can reach the representatives via phone and email address. However, be cautious while dealing with them as they are known to employ aggressive sales tactics.
How Does ProuFx Trading Scam Work?
Brokers like ProuFx who are not under the supervision of any regulatory authorities often employ all the unfair trading practices you can ever imagine. They lure in clients by creating some kind of automated bogus trading systems such as Bitcoin Millionaire, Crypto Day Trading bots, etc.
Once the clients are hooked, they will take money from them in the name of investments, and eventually, when they ask for withdrawals, they will delay it as long as they can and in the end will leave them high and dry. As the brokers are located offshore most retail clients will not have any choice other than taking the loss and moving on with their life.
Get in touch with our affiliated Cryptocurrency Forensic Specialists at CNC Intelligence for free by filling out the form below.
Moreover, remember by entertaining unregulated brokers you are not only putting your money at risk, but other confidential information such as personal identification documents, and bank account numbers as well.
Account Types and Trading Conditions
There are 4 types of accounts offered by ProuFx and the minimum amount required to get started with them is $250. The benefits of choosing different account types are not mentioned by them and given the fact that the leverage is capped at 1:100, we don’t see any practical value. As far as the trading platform is considered, they do offer a lightweight web-based interface that contains the most basic tools, but for the vast majority of traders, it won’t be enough.
A lack of MetaTrader support means traders will have a tough time when it comes to using custom tools and indicators. Note that they do not support any algo trading systems either. Nowadays most regulated platforms offer account management services or copy trading facilities to help newbies make money without spending much time in front of the screens.
However, ProuFx doesn’t feature any of those functionalities and at the end of the day, you need to ask yourself whether it is worth it to proceed with them. After all, they do not offer anything truly exceptional, right?
The default charting solution provided by this broker may be useful to beginners, but if you are someone who uses a lot of customized templates and indicators, then you will be disappointed. On the bright side, they do offer a lot of trading instruments, but before you place a trade make sure to check the leverage offered for separate asset classes and fees associated with them.
During our investigation, the spreads on EUR/USD were more than 3 pips which are too high compared to any legitimate broker out there. Due to the high spreads, scalpers can’t make money on this platform, and even for day traders, it is going to be extremely difficult to make considerable returns.
How do Unregulated Brokers scam People?
At first glance, unregulated brokers always make themselves appear like trustworthy entities. They feature the latest features and offer immense margin levels and leverage and other top-notch things for free. However, people need to understand that the whole scheme has a big catch and the amount of risk they are being exposed to is unjustifiable.
Nowadays, many scam brokers hide behind fake trading software and are making a fortune for themselves by looting the public. In most cases, the evidence and the scenario will never be strong enough for filing a criminal case and unfortunately, all of the crooks will walk away without any consequences. While many people try to blame the flaws present in the sector on regulators, that isn’t going to solve any problem.
So, we feel the best way to eradicate the plagues in the segment is just by creating awareness. After all, once people are smart enough, the fraudsters will have nowhere to go and eventually have to give up their activities.
By now, we are pretty sure that you know the classic traits of a fraud broker, but there are a couple of sophisticated techniques they might use to lure in people and rob them silently. Read the following paragraphs carefully to understand the risks involved while dealing with them.
High Degree of Control – From funding, payments, and spreads to the data feed, unregulated brokers have a huge degree of power at their disposal. They can artificially inflate the prices in the short term, hunt to stop losses or widen the spreads to prevent the clients from exiting at favorable prices.
Things we have mentioned above are not only unethical but outright illegal too, but as they are not answerable to any authorities, they will do everything they can to make the most revenue. Trading conditions indeed change depending upon volatility and liquidity, but it should never be huge enough to prevent you from scalping the short-term timeframes.
If you constantly notice that the spreads are high, though the markets are calm, then it is time to find a new broker. Note that most offshore brokers don’t even respond to these kinds of issues and they don’t care about the user experience aspect at all. Now, as you know the entire truth, we hope you will never make the mistake of depositing with unreliable exchanges and platforms.
Lack of Transparency – Transparency is something that legitimate firms love and fraud platforms hate. The number of ways the unregulated firms are going to break the law and breach your trust is literally not countable and tation might occur in many ways.
For example, the firm you are dealing with might make all of their team member’s profiles anonymous, bluff about their top trader’s performance, etc. If the platform is selling info products or semi-automated trading systems, then don’t believe any of the statistics they display without checking it.
Though past performance doesn’t guarantee future results, it is good to know the variables beforehand.
High-Pressure Marketing Tactics
Almost all of the unregulated brokers hire skilled salesforce who can get them results. While there is nothing wrong with hiring professionals, quite often they use fake narratives and trick naive people into depositing with them. Clients in most cases will not have the faintest idea about the risk they are exposed to and at the end of the day, they will sooner or later lose all their capital.
The conflict of interest between the firms and their customers is sky-high and the only way they will be able to make significant money will be to loot them one way or the other. If you ever feel like you are being pushed towards making a huge commitment, then take a step back and think it through. Remember, no regulated broker would treat their customers in that way and anyone who follows the steps mentioned above doesn’t have your best interest in their minds.
This is one of the favorite tricks employed by most unlicensed firms. The crooks understand the psychology of their customers very well and do their best to exploit it. Welcome bonus schemes are banned by regulators in most developed countries as the policies associated with them bring more harm than good to the clients.
While the bonuses might help brokers retain customers, it prevents the end clients from making a withdrawal before meeting certain criteria. Moreover, the policies are not easy enough for the average trader to understand and as a result, the retail side always ends up on the wrong side of the equation.
The easy money-grab opportunities might catch our attention most of the time, but do not let your emotional side take over. Always read the fine print and if you don’t understand the concepts well enough, then do not accept it for any reason.
Recover funds from ProuFx Scam
ProuFx’s website is down for a long period. The user feedback clearly shows that many people lost their money to them. It is indeed sad to see the victims not taking any legal action against this firm to get their money back. If you have lost funds to them in the name of investments or managed account services, then reach out to us via the contact form at the earliest.
Our team has immense experience in this sector and we will show you the best path towards getting your money back. In most cases, a simple chargeback might be sufficient to get the money, but unless and until we have all the information, we cannot comment on the methods you should employ. So, make use of our services and don’t worry about anything else as our services are all free and we also never charge for consultations as well.
Cryptocurrency deposits might be hard to trace. However, thanks to the forensic tools provided by many intelligence companies the process has become much simpler and that’s a positive sign from every client’s perspective. We truly believe in the coming days, it will be next to impossible to get away with crypto frauds and if regulators do a good job of educating the masses, it will only fuel the change in the sector which we all need.
ProuFx and Associated Brands
Our firm has been exposing fake investment schemes and online scams for a long period. As we are constantly searching for new scams that are going viral online, it is easier for us to spot the patterns. ProuFx broker has a layout and payment structure that is similar to other scam brokers such as KontoFx, KayaFx, and Libra Markets.
The striking amount of similarity is highly unlikely to be just a coincidence which means all these firms have something in common. The exact thing or trait that brings all of the firms mentioned above is unknown, but we can guarantee you that it is not a good sign.
Whenever a bunch of scams work together, it will bring nothing but financial destruction to all the clients involved which is why you should never take chances with them in the first place.
Over the last couple of years, it is really hard for scammers to control negative comments about them online. There are a lot of popular forums which are specifically designed to help customers share their experience with online services and products. After all, in this digital era, nothing can be hidden for long.
On Trustpilot, we found more than 250+ reviews about ProuFx and more than 60% of them were negative. Check out the agony of the clients down below and come up with your judgment.
Unfairly treated. I was called to be updated about a new website since I was unable to login to my account .unfortunately the new website is nowhere to be found. I wonder why proufx keep changing its website. I can’t even talk to my manager because he never respond to my email .I was not forewarned about the website change. Where is proufx?
Do not have anything to do with this company. You will lose all of your money,
They will not let you get a refund when you request it.
Dishonest bunch of criminals.
Deposit and Withdrawal
ProuFx requires a minimum deposit amount of $250 to open an account. The minimum withdrawal amount is unknown as the platform doesn’t disclose any information. In case you are wondering, the funding and payment methods include major credit or debit cards and wire transfers.
Lack of e-wallet support means the clients are forced to input their sensitive information and given the characteristics of this broker, it is not worth the risk. Processing time for any transaction is unknown and just like every other fraud platform out there, this one also aggressively pushes the client towards accepting their trading bonuses.
At first glance, their trading bonus offers might seem reasonable, but keep in mind that there will be a lot of hidden conditions and requirements with them. So, for your good, do not accept any bonus offers, or else you will never be able to get your money on time.
ProuFx Review Conclusion
ProuFx is an obvious fraud operation that is designed to loot retail traders. Their platform showcases all the unfavorable trading terms and conditions. Moreover, the customer reviews about this firm are concerning, to say the least.
On top of all the hardcore data, their web page closely resembles the well-known scam brokers such as the KayaFx, KontoFx, UproFx, Libra Markets, etc. So, after seeing a lot of verified information, we recommend our readers avoid this broker at any cost and use only regulated brokers.
Have you lost your hard-earned money to the Proufx Trading scam? Do you need help to recover your funds? Fill out the Contact form below and we will get back to you ASAP.
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