Forex Scam Brokers List 2023 ( 500+ Fake Forex Brokers List )

Forex trading is one of the legitimate ways to earn some extra money, perhaps a profession for many. The $6.6 trillion market is growing every day, and forex scams or forex fraud are also on the rise. Therefore, it is necessary to know every detail about the forex trading scams. Most importantly, you need to know the ways to identify scam brokers. Our expert team have identified 500+ fake forex brokers list that you need to avoid. Go through our list of forex scams and stay safe.

While you research for the forex scammer list, it is also necessary to find the best forex broker for safe trading. But if you can categorize the fake brokers, finding safe brokers will not be a problem. Therefore, we will share everything about the scammers as well as the things to look for to avoid scams.

The number of forex scams you can find with just a straightforward search on Google is shocking. There are plenty of forex trading scams criminals out there who wait for novice traders so that they can defraud them. In a market where over $6 trillion moves daily, there are bound to be people who want to take advantage of honest traders.

The forex trading scams you will find are usually simple and prey on the gullibility of people and the need we all have, to make more money. There are significant types of forex scams that exist. Knowing what they are will help you avoid them. 

What are Forex Scams or Foreign Exchange Fraud?

Forex scams or foreign exchange fraud is a kind of trading scheme the targets the traders to defraud them. The scammers usually convince the forex traders by offering high-profit expectations from the trading market. Fraudulent activity in the currency market became common in early 2008.

Typically, scam brokers put the trap on traders in different ways. The main goal of those brokers to lure the money. However, if you get lucky, you might stay safe. So, it is important to know the types of scams and the ways to avoid them.

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Types of Forex Scams

Every time scammers get exposed and enlisted to the list of scam forex brokers, they invent new ways to lure people's money. Hence it is a never-ending process. But the basic scamming types remain the same. So, it would be great if you know the basic types. Hence, you can save your investment. Nevertheless, there are four types of broker scam available. Let's get educated about those.

Forex Robot Scam

The forex robots, use an algorithm, technical signals and computer code, to enter and exit trades. Expert advisors build them within MetaTrader 4 and other platforms. Some are legit. However, a lot of them are not. To be safe, always check the legitimacy.

There are scam brokers lists online. Check them for listed forex robot scams. Signs to watch out for include:

• Unrealistic marketing messages.
• Unrealistically high percentage growth returns
• Scalping strategies that lack diversity
• Employing the services of unregulated brokers.

Forex fraud is avoidable when you do due diligence and check out the candidates you choose to work with.

The forex robot is basically a computer-made algorithm that is programmed in a way that can do trading-related jobs on behalf of the traders. Moreover, some robots can even help to make forex trading strategies.

Usually, robots are your helping hand to make money. However, there are some robots that are good for nothing. Those forex scams robots cannot help you to increase your return. The creators would offer so many deals. But ultimately, you will not get any benefits out of it. The creators sell it anyway and promise big profits for the buyers.

You will lose money through the scam robots in two ways. Firstly, you are buying a robot at a huge price. Secondly, the robot might provide you the wrong direction. Usually, this kind of robot is based on a computer system that finds a trading strategy from the past and shows you an opportunity to make a profit. But, actually, the robot is sending you the info happened in the past. Hence, you are not getting live information. As a result, you will be losing money in terms of investment. To stay safe from the robot scams, make sure you check the fake forex brokers list here on this page before jump for any lucrative offers.

Forex Signals For Sale Scams

Forex Signals are a sort of subscription to get selling or buying alerts for the forex trading market. Scamming through the forex signals is almost identical to the forex robot scam. The only exception is that you have to pay a regular subscription fee to buy and sell the alerts. Like the robots, signal scams required some kind of discretion from the trader.

Typically, the trading signals work as a user guide for the traders that help the users to access the trading opportunities. Forex signal trading occurs when a signal provider sends the wrong signal even after taking the subscription fee. It is because the providers do not have the mechanism to create signals. They just send the signals to take the subscription fee from you. We have collected all the data about those signal scammers and added them to the list of fake forex brokers.

In this version of forex fraud, you will be dealing with individuals who dole out trade ideas that include information like currency pairs, direction, entry price, stop loss and target levels. Always lookout for the following things;

• Subscription fees. Always try out signals that have no paywall before you consider paying for anything else. Use them on demos to test them out.
• Do not take broker-tied signals. Some will offer them but, you have to subscribe with a specific broker. That kind of thing is just a marketing gimmick.
• Unverified claims of good results. If you cannot verify anything that they are telling you, they are most likely lying to you.

As with the other kinds, there is a list of scam forex brokers that you can check out before you sign up for anything.

Forex Trading Investment Scams

There are many adverts online that promote forex trading investment scams and funds. They are very slick marketing campaigns and salespeople who sell you phantoms and unverified results of their fund. It is the ultimate forex pyramid scheme. So you need to find a best forex broker to start your secure trading.

They ask you to send them an investment and then sit back and enjoy returns. If you send the money, you will never see the return. If you call, they will say they have never heard of you and never got funds from you.

Checking the fake forex brokers list for these people can save you a lot of pain and trouble. They can do this or, they can open an account for you with a shady broker who is not regulated, and after two or even one trade, they will wipe out your account.

They will blame it on the market when in fact, it is all in their company. Without regulation, it is near-impossible to get your money back.

Pyramid Scheme

It is a way to earn money by registering new paying members for a certain lucrative scheme. The theory is that the scheme owner doesn't trade, and the main source of income from the registration fees. So, whenever the new investor pays any fees, the owner earns money. Hence, the second layer of investors will then recruit more investors under them to earn a profit, for this reason, called a pyramid scheme. That's how the process will go on.

So, the more investor you can collect, the more commission you can earn. The higher level of the pyramid you are, the more money you can earn when new recruiters join under your subordinates. This kind of investment does not actually create any value to your portfolio; rather, you slowly become a broker from the forex scam list. It is just taking money from other people and pass to a higher level and continue forex trading scams.

The pyramid scheme is also called multi-level marketing (MLM). Nevertheless, this kind of scheme is totally illegal. So, if anyone or any brokers tries to attract you through it, you should avoid it. To identify such schemes, you can check out the fake forex brokers list.

Forex Ponzi Scheme

Ponzi schemes are usually a type of fake investment management firm. Unlike the pyramid scheme, people don't pay any fees. Instead, the investors will put their money into a scheme. The owner will attract the investors to invest through a forex expert or guru. The experts are also known as forex money managers.

However, there is a real forex money manager who works with regulated best forex brokers and trades for the clients using the clients' funds. So, the Ponzi scheme act to work like that, but they don't make any investment after getting the investment. Instead, the schemer will make payment to early investors after taking investment from other investors who invested later. If the schemer gets continuous investors, the system will run like that. But you don't need to worry about scamming by the Ponzi schemes as we also put them on the list of scam forex brokers. 

Indirect Forex Scams

Apart from the main forex scams types, we have mentioned above, there are some other types of forex scammer list out there too.

Point Spread Manipulation

It is a computer-manipulated bid-ask spreads offering that favors the broker. It usually occurs by increasing the spread of bid and sell price to 7 to 8 pips, while the regular spread is 2 to 3. Through this tempering, the broker can earn money, and the trader loses. However, this kind of scam is largely available in the USA, but some offshore brokers may also run these scams.

Fake Brokers

If you are unsuccessful with a broker, it doesn't identify the broker from the fraud forex broker list. Sometimes, a bad relationship with the broker or emotional attachment may lead you to a loss. But these situations are totally fine and normal. But there is still a list of fake forex brokers who offer nothing to the traders, and you cannot make a single penny from them.

Signs of the fake brokers are.

Liquidity

If a broker lacks enough capital to cover the trades, the trader will surely lose money. However, it is not a direct scam activity. Lack of liquidity increases the risk of bankruptcy; thus, the trader's money remains at risk.

Price Slippage

The difference between the expected price and the actual price is called price slippage. Usually, when a broker initiates a trade, it offsets a somewhat identical position to reduce the risk. Then the broker makes the trade for the second position when the offset position is known. If the offset position is better, the trader's position should be better too. Alternatively, if the position is worse, the trader will also face the same. But the scam brokers will not pass the profit to the trader earned from the better position.

Churning

Usually, brokers earn a commission from trading activity. Therefore, brokers tend to work on unnecessary buy or sell or influence traders to trade to earn commission from trading. This kind of activity is known as churning.

Prohibiting from Withdrawal

Usually, the traders should have access to their funds all the time. However, some brokers may put restrictions on accessing the fund. If you cannot access your fund when needed, you might be going to face trouble. This kind of policy is a red flag while choosing the broker.

Commingling of Accounts

If you invest through a managed fund, you don't have control over your money, and you might not be able to track your money. Therefore, the broker might use your fund for their own purpose. However, the true regulated broker allows you to track your fund in the managed account.

Now that you know the types of basic forex scams, you should know the ways to identify them via the scam broker list.

Identifying the Forex Trading Scams

As you know, scammers always change their scamming strategy to continue their dishonest practice. Nonetheless, there are a few kinds of stuff that can work as a clue to understanding a scam.

Provide Guarantee to Success or Huge Profits

Since you came to know about the forex scams, you already have a significant idea about the forex market. Therefore, you should know that forex is extremely volatile, and it can be changed through too many factors. Nothing is fixed in this continuously changing market. Hence, no one can guarantee anything in the forex, not even guarantee huge profits. So, if anyone tells you about guaranteed profit or success through the forex trading platforms, they certainly put a trap to scam.

Unsolicited Marketing

It is another way to identify fraudulent behavior. Persistent and unsolicited marketing falls under this. If you see some broker push you to purchase a service or a product within a short period of time and information, it can be a good sign that the broker may turn out as a scammer. No broker should or can push you to buy something. So, you have to be careful if such a broker has personal information from you. It is because you may become a victim of identity theft. If you feel anything pushy and uncomfortable, you should do that immediately.

No Background Information

Usually, the best forex broker has substantial proof of their service. However, some brokers may show you screenshots or pictures of the different charts to prove themselves, which are super easy to make. Scammers follow a technique. In this case, they never show the losses; they only show the profits. So, whenever you ask about the background info about a specific period from those charts, they will certainly fail to produce.

Nevertheless, it is possible that they show a chart from the demo account. And, if you are new to the forex industry, you may fall for it. So, it would be wise if you don't rely on such limited information. Before taking any decision, ask the brokers about their background and proof. If they refuse or take a long time, or remain vague, it can be one of the forex scams!

Protecting Yourself from Scam Brokers

If you are a newbie in forex investing, you will surely find it hard to differentiate between a realistic trading scenario and an unrealistic one. The only thing you can check initially with the list of forex scams. Further, for the advanced level, you can check the regulatory body as well as check with more scam brokers forex list available online. But you rely on our list of scam brokers. Although checking the regulation is not the full proof strategy, it will help you at the beginning stage.

Checking the regulators will help you to keep yourself away from the Ponzi or pyramid schemes. Below is more detail about protecting from the fraud broker list.

Check Reviews

You have the internet in your hand. Hence, you can easily find information about a broker online. So, you should check the reviews of the intended broker, service, or even the signals before you decide to pay for it. But you have to be careful while checking forex broker reviews as there are some fake reviews too. You may check the reviews for our site or check the reviews from real users in different forums or social media.

Check the Location

Due to globalization, any broker can operate anywhere in the world. So, the offshore robots or the brokers that are created through unnamed entitles are likely not to be regulated. This means you may not get full support from them in case of technical difficulties. And if they turn out to be forex scams, you will not get your money back. Moreover, you cannot even file a complaint about a certain list of forex scams as they are not local and are not regulated.

Generally, it is safe to choose a broker or forex trading platforms from your country. It is because you can verify them physically. Also, you should have a better idea about your country. However, it is not obvious that offshore traders are always pursuing scammers. You just need to verify them properly before signing up.

So, it is highly essential to know a broker's or service provider's location along with the headquarters. Also, check the regulatory status based on their location.

Regulators to Check to Identify the List of Forex Scams

Forex does not have a central regulation, and different countries or parts of the world have different regulations. Nevertheless, the goal for all the regulators is to ensure the safety of the trader. That being said, let us know the details of different regulatory bodies based on the location.

• USA Regulators: the USA is very strict about forex trading scams. Therefore, they have several regulatory organizations to protect the traders from scammers. The Community Futures Trading Commission (CTFC) is a government agency that also works as an independent entity. It works as per the Community Exchange Act to prevent any sort of fraudulent activity.

National Futures Association (NFA) is another US regulatory body that works as a self-regulatory body in the USA to deal with forex.

BASIC – The Background Affiliation Status Information Checker (BASIC) is a free service from the NFA that allows traders or investors to check information of specific companies or persons. Hence, it is the best way to check forex scams in the USA.

• UK Regulators: FCA – The Financial Conduct Authority (FCA) is a regulatory organization in the UK. It regulates and provides licenses to all the brokers operates in the UK. So, if your broker is located in the UK, you can check their data and verify through the FCA. This can also help you to identify the fake forex brokers list UK.
• Other Regulators: Apart from the USA and UK, there are other forex regulatory bodies too. You may search for the regulatory bodies from a specific country. Nevertheless, Australia, Germany, Cyprus, Austria, New Zealand, Dubai, and South African have their own regulatory bodies. If you find any broker from those countries, you can easily search for their regulatory status.

Besides, other countries also have regulatory entities; you just have to find them based on your intended broker. Most importantly, a huge percentage of forex scammers are located in African nations. So, make sure you check the fake forex brokers list South Africa if you come across an unknown broker.

Ask for a Proof

When a broker offers a lucrative service, you should ask for proof. Relying on the brokers' presented data can be vague. Hence, you might ask for more proof of their claims. That's how you can protect yourself from the list of forex scams brokers. If the broker can produce reasonable proof, you may get convinced. However, this technique should not be applied by newbies.

Educate Yourself

The best way to stay away from robot or signal scammers is to learn forex. Educate yourself about forex trading scams, so that you don't need to rely on anyone else. You can become your personal advisor by learning forex trading. Even this can help you to identify fake forex brokers list too.

So, take as much as education on the forex market, currency behaviors, news reports, etc. By learning the trading, you can surely verify all those bold claims by the brokers we have mentioned earlier.

To educate yourself, you can consider creating a demo account with any regulated best forex brokers. Furthermore, with your education, if you can identify a scam, don't forget to report forex scams to the proper authority.

The Common Ways the Scam Brokers Attract their Victims

Forex trading scams usually mimic the sales approaches of a reputed broker or investment firm. Thus, it becomes difficult to identify who is real and who is included in the fake forex brokers list. But the contacting method of the forex scam list and the real broker remains the same. Therefore, you may get a phone call, email, mail, or even a referral. Many regulatory brokers also use the same methods. Therefore, you may forget to check the background of the broker or organization that contacted you. Let's see more detail on the common method to contact you by the scam brokers.

Telephone

It is the most conventional way a seller reaches out to the customers, and forex brokers are no exception. You might get a call from a broker that is included in the fake forex brokers list or investment firms with all the lucrative offerings. The offers could be so real that you might fall for them.

Email

You may also get a series of emails to explain their offers for you. Even most of the time, you will get free trading offers too. Well, the real traders also do the same sometimes. So, you can identify the scam brokers by checking their names with the regulatory body.

Mail

Some fraudulent sellers from fake forex brokers list sends the offerings to a bona fide mailing list. Usually, this mail includes an immediate pitch to earn money from forex overnight. Again, check their name and verify with the proper authority.

Advertisements 

Sometimes some forex trading scams take a step ahead to look more real. They use newspaper or magazine advertisements to attract the traders. In this way, they are not calling you or asking you to register with them. Instead, you are going to them by your will. Before you fall for such advertisements, you have to conduct an investigation before investing.

Referrals

It is one of the oldest methods. Through this way, a forex scammer list of brokers will come closer to you through your friends and family. Initially, they will provide huge profit to a trader and then ask them to recruit more investors by offering referral money. So, the person will then tell his friends about the profit and make them believe. That's how the forex scams through referral work.

Reputable Business

Some forex trading scams are more real. Through the profits from previous forex scams, they take posh offices and decorate professionally and introduce themselves as a reputable investment firm. Further, they might sponsor the local charity.

However, at this point, it is difficult to identify if the broker is included in the list of forex scams. But you can check the duration of their business and their financial statements. Further, you can also check each individuals' details from different sources. And obviously, the regulatory body will be the first option of your source.

Techniques Used by the Broker Scam

Scamming techniques vary from time to time. The scam brokers use multiple techniques to compete with their forex scams. If one technique fails, they go for the next one, and they continue trying until they get a fruitful one. Following are the most common techniques for forex scams.

Low Risk or No Risk

To act as real, some advanced broker from the list of forex scams may come across to you and explain about low risk or even no risk about trading. However, most of the time, the pitcher will tell you about the low risk instead of no risk. Then gives you time to rethink. And, it is possible that you will trust them as they give you time explaining about no risk at all. It is a simple technique played by the brokers to gain your trust.

Urgency

The forex scams broker might push you with urgency. For example, they will open up an exclusive offer for a limited time. Hence, if you don't sign up or buy within a certain time, you might not get it. It is because the scammer wants your money as quickly as possible. They remain in a hurry so that you cannot manage any time to think. So, you may fall due to the urgency without thinking.

However, the real broker will never show your urgency. So, if you feel any urgency from a broker, it is likely to be one of the scam brokers.

Offer Large Profit

Usually, forex scam listed brokers offer a reasonably large amount of profit that looks real. Usually, the offerings are not unrealistically huge, so that you can trust them easily. So, if you have proper education on forex, you can identify the offering and decide for yourself.

Confidence

The pro-level scammers sound confident about trading and show a good knowledge of particular trading activity as well as alert you about forex trading scams. As a result, you become confident about your investment and fall for them. Usually, this technique makes you understand that they are doing you a favor by offering you the investment opportunity, and you are lucky to have them. Normally, this kind of scammer doesn't show any kind of urgency.

Sometimes, scammers refuse to give you the investment opportunity so that you request them. It is another way to gain trust.

Information You Can Ask to Turn off Forex Scammers

It is normal to get offerings from different forex brokers. But you will not know if the broker is categorized as a broker scam or not unless you ask for some information from them. You may ask for the following information to check the broker's validity.

• Try to find out how they get your name.
• Risks on their proposed plan.
• Written explanation of their investment policy.
• Ask them to talk to your attorney or financial advisor.
• Location of the organization.
• Name of the related officers.
• Ask for references.
• Written risk disclosure statement.
• If the offering is validated by the regulated exchange.
• Regulation's information, including the license number.
• Track record.
• Duration of the business.
• Ask for another representative
• Ask about their commission and fees.
• Liquidation process
• Dispute resolving process.

Despite all the precautions and education, you may still lose money from forex scams. In that case, what should you do?

Things to do if You are a Victim of Scamming 

It is nearly impossible to recover your money from scammers. If you get scammed, the only thing you can do is report forex scams to the regulatory body or proper authority. Thus, the regulators can alert the traders and brokers about the scamming organization. However, in some cases, your money might get recovered if the authorities can find the scammer.

That is why we suggest not to trust any broker initially and check the forex scam list first. Instead, you can make a small investment to check them out. Further, you may also make a series of small investments to validate the broker scam activity.

Red Flag Checklist at a Glance

• Unbelievable profit claims
• Do not show live trading data, instead show the historical data only
• No relevant performance info
• Ask for a large investment
• Unregulated offshore office
• Claims to offer a secret formula
• No contact details on the brokerage page
• Poor reviews

Avoid Dishonest Brokers At All Costs

If you detect just one lie when looking through a broker’s credentials to see if they can be the one for you, just run away. There are multiple fake forex brokers lists that you can look through to make sure that if someone is a fraud, you know who they are.

The regulatory bodies of the world are an excellent place to start. They include:

• ASIC – Australian Securities and Investments Commission
• BaFIN – The Bundesanstalt für Finanzdienstleistungsaufsicht (Germany)
• CFTC – Commodities and Futures Trading Commission (United States)
• CySec – Cyprus Securities and Exchange Commission
• FCA – Financial Conduct Authority (United Kingdom)
• FFMS – Federal Financial Markets Service
• FINMA – Swiss Financial Market Supervisory Authority
• FMA – Financial Market Authority (Austria)
• FSA – Financial Services Agency
• FSB – Financial Services Board (South Africa)
• Financial Services Commission – BVI
• Financial Services Commission (FSC) – Mauritius
• IFSC – International Financial Services Commission
• FSP NZ – New Zealand Financial Service Provider
• ISA – Israel Securities Authority
• MFSA – Malta Financial Services Authority
• SEBI – Securities and Exchange Board of India
• VFSC – Vanuatu Financial Services Commission
• UAE – Abu Dhabi Central Bank

If a broker says that they are regulated, check that out here and make sure that you do not fall into these traps from dishonest brokers.

 

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Why You Need To Be Educated on Forex Fraud

Forex trading in itself carries many high risks and losses are almost always inevitable. Retail speculators are continually trading without enough capital by using high leverage and gambling addiction.

Speculators who trade without skill are playing against the whole market, which has near-infinite capital, and they almost always go bankrupts because of this lousy strategy.

To be fair, a large number of forex scam cases are a result of weak trading and not scam brokers. If you spent more time developing a proper trading methodology, you would become better and quicker in your decision making.

When you are a trader, you cannot afford to make mistakes. Always stay ahead of the curve by getting correct and useful information.

Final Thoughts

The increasing rate of forex scams makes the traders doubt the real brokers too. Therefore, many potential traders refrain from forex trading activity. If you are one of those potential traders, you may check all the 500+ scam brokers we have listed here. Moreover, we also have honest forex broker reviews on different regulated forex brokers from all over the world.

DO NOT trust the ridiculous claims by the scam brokers. Instead, check the list of scam brokers and stay away from them.

 

Whenever a new scammer emerges in the forex market, we add them to the scam broker list on this page. So, if you see any new broker, you can look that out here. Furthermore, if you know any forex trading scams that are not listed here, send the information to us and report forex scams; we will add them up.