Key takeaways
- Fraudsters use whichever market is fashionable: forex, shares or crypto.
- Guaranteed returns, pressure and payment in crypto are shared warning signs.
- A fee to withdraw your own money is the clearest sign of a fake platform.
Forex scams
- Unregulated brokers offering extreme leverage and deposit bonuses, then refusing withdrawals.
- Signal and mentor schemes selling "guaranteed" trade calls or steering you to a particular broker.
- Managed account offers promising fixed monthly returns.
Stock scams
- Boiler rooms cold-calling with shares in obscure companies.
- Pump and dumps hyping thinly traded shares online.
- Clone firms copying real brokers' names and registration numbers.
Crypto scams
- Fake trading apps introduced by online contacts, showing fake profits.
- Impersonated support asking for codes or recovery phrases.
- Wallet drainers and fake airdrops.
Common thread
Unsolicited contact, promises of easy returns, urgency, secrecy, unusual payment methods and blocked withdrawals. If you see two or more, stop.
If it happened to you
- Stop paying anything further.
- Contact your bank or card provider.
- Keep all evidence.
- Report to the police and your financial regulator.
- Ignore offers to recover funds for a fee.
Verify providers with how to choose a broker.
Common questions
Are all trading signal services scams?
Not all, but none can guarantee profits, and many earn money from referrals rather than results. Treat claims of consistent winning with great scepticism.
How do I check a firm quickly?
Search the regulator's register and warning list, then compare the firm's contact details with the register.
Sources
- UK FCA ScamSmart
- U.S. CFTC fraud advisories
- U.S. SEC Investor.gov