Is FizmoFX a Scam? Fraud and Account Suspension of Traders

Introduction

If you're a trader looking for new opportunities, you'll find hundreds of platforms that advertise themselves as safe and profitable options. But things aren't always as they seem. The FizmoFX platform, which we'll discuss in this article, is a prime example of the risks faced by traders who fall into the trap of unregulated platforms.

In this article, we will shed light on the unethical practices of FizmoFX and share what WikiFX has found through its evaluation and important information.

FizmoFX on WikiFX

WikiFX is a trusted source for evaluating brokers in the Forex market. FizmoFX has received an alarmingly low rating of 1.12/10. Here are some key details:

Is FizmoFX a Scam?

According to a victim‘s report, they were prevented from withdrawing their funds and their account was banned with the claim that they violated community rules. In correspondence with FizmoFX’s support team, their requests were met with further delays and repeated accusations.

• First issue: Their account was suddenly banned after attempting to withdraw funds.
• Platform's justification: FizmoFX claimed the trader violated “community rules” without offering any clear explanation.
• Outcome: Their funds remained withheld, and no assistance was provided by customer support.

Fraudulent Practices and Risks of Dealing with FizmoFX

Based on the information and complaints collected, several concerning practices emerge:

1. Lack of Transparency: The platform does not clearly outline its policies to traders.
2. Withdrawal Issues: Withdrawal requests are delayed or outright denied without logical justification.
3. Exploiting Weak Laws: The platform registers in poorly regulated regions to protect itself from legal accountability.
4. Unprofessional Customer Support: Complaints are handled in a dismissive and unprofessional manner.

Concerning Claims and Practices of FizmoFX

FizmoFX presents itself as a reliable broker and claims that all its accounts operate under an ECN/STP system, which supposedly provides traders direct access to the bank markets. It also claims to use liquidity providers like banks and investment funds.

However, the truth is far different: these claims seem to be false, as the platform does not operate as a true broker and is considered a fraudulent entity with the primary goal of deceiving clients.

Exposed Fraudulent Practices:

• Trade Manipulation: The platform resembles what is known as a “Dealing Desk” or “Kitchen Broker,” a term used for platforms that internally manipulate clients' trades to make profits at their expense.
• Main Objective: Drain customers' funds without offering any legitimate or reliable trading services.

FizmoFX's Claim of Registration in Saint Lucia: Fact or Fiction?

One of FizmoFX's claims is that it is registered in Saint Lucia and operates under international company laws. The platform displays a registration certificate on its website, claiming registration number 2024-00270, which gives the impression of being a legally trustworthy entity. However, upon verifying this claim, a completely different reality emerges.

Analysis of the Claim and Registration Certificate:

• Displayed Certificate: The platform shows an official-looking certificate, but its authenticity cannot be independently verified. This document raises doubts about its validity and its connection to legitimate regulatory bodies.
• Absence of Name in Saint Lucia‘s Records: When searching for the claimed registration number 2024-00270 in Saint Lucia’s official regulatory records, no results were found that match this number or suggest any legitimate entity by the name of FizmoFX exists.
• Exploiting Weak Regulatory Laws: Choosing jurisdictions like Saint Lucia to make such claims may be a tactic to exploit the lax laws and lack of strict oversight.

What This Means for Traders:

• These claims suggest an attempt by the platform to legitimize itself using questionable documents.
• The absence of official registration means traders have no legal protection if they fall victim to fraud.

Important Advice:

• Dont be fooled by appearances or certificates displayed on websites.
• Always verify registration through official regulatory bodies.
• Dealing with an unlicensed broker puts your funds at significant risk, so avoid platforms like this.

This information further supports the low rating given to FizmoFX by independent review sites like WikiFX, proving that engaging with this platform carries substantial risks.

Why You Should Trust WikiFX Reviews

WikiFX is a platform known for its reliability and accuracy in evaluating Forex brokers. It offers the following benefits:

• Data Transparency: It provides details about licenses, user reviews, and risks.
• Continuous Updates: Broker ratings are regularly updated based on new complaints and reports.
• Warnings for Traders: It aims to protect investors from falling victim to fraudulent schemes.

Frequently Asked Questions (FAQ)

1. Is FizmoFX a reliable platform?

   No, the platform is unregulated and does not have any legal licenses.

2. What risks might you face with this platform?

   Risks include losing money, being unable to withdraw funds, and falling victim to fraud.

Conclusion

Protecting the legitimate rights and interests of forex traders is always the primary concern of WikiFX. WikiFX exposed this case to the public to remind all traders of the potential risks.

WikiFX keeps track of developments, providing instant updates on individual traders and helping investors avoid unscrupulous brokers. If you want to know whether a broker is safe or not, be sure to open WikiFXs official website (https://www.WikiFX.com/en) or download the WikiFX APP through this link (https://www.wikifx.com/en/download.html) to evaluate the safety and reliability of this broker!