Beware! AvalonPrime is an offshore broker! Your investment may be at risk.
AvalonPrime Key Facts
🔴 AvalonPrime offers questionable cryptocurrency related investment opportunities – a clear sign of a scam!
🔴 AvalonPrime fakes crucial contact information – beware!
🔴 AvalonPrime lack any license for the provision of its services – a huge red flag!
🔴 AvalonPrime's does not even show up in WhoIs lookups – another off-putting detail!
AvalonPrime products and services
AvalonPrime is a scam – it is also one that is not distinct from literally hundreds of other such companies. AvalonPrime offers high profit margins to its investors – their most modest claim is to be able to earn a 20% profit on your deposit within a day. This is clearly impossible and AvalonPrime is after your deposit in actuality.
People should always be cautious when dealing with businesses offering enormously high yields because it's scammers' trait to promise big and create unrealistic expectations. In reality, regulated financial companies cannot secure more than a few percents annually with their fixed-income products. There is a huge discrepancy between these offers and the regulated companies standards. Judging by the products and services they sell, we suspect it's a scam, so beware.
AvalonPrime company and regulation
AvalonPrime claims to be an UK company. However, just saying that is far from enough – we expect a license from the British FCA which the company simply lacks.
The US financial services regulation is very complex in the USA. Derivatives markets regulation is a responsibility of CFTC and NFA. Forex brokers and most of the investments companies have to be NFA members and CFTC registered to operate in the USA. On the other hand, securities markets are controlled by the SEC, a government independent agency responsible to maintain the integrity of the financial markets.
While SEC focuses more on the procedure regulation insisting on financial reports and management discussion and analysis, NFA and CFTC impose pretty straightforward requirements. To become authorised the companies have to provide 20 million USD in paid-up capital, which is considered a guarantee that the businesses can survive in turbulent times and pay whenever they have to.
Other customer protection measures include clients’ accounts segregation and leverage restrictions for forex brokers- 1:50. Also, CFTC brokers’ clients are not allowed hedging, which is one of the very unique US features. Unfortunately, the cryptocurrencies regulation is still inept, so traders and investors should be wary when dealing with crypto offers.
AvalonPrime address and contacts
AvalonPrime provides us with an address line from the UK – 107 Image Court C/O Jpc Financial Ltd 328-334 Molesey Road Walton On Thames Surrey England KT12 3PD. However, we believe that address not to correspond to the company's whereabouts – as we made clear it does not hold an FCA license, and therefore it cannot operate in the UK legally.
Transparency is crucial when talking about brokers and investment companies, and it's part of the regulatory framework. The regulated companies are open to financial authorities following certain transparency rules, so it's generally unlikely to conduct fraudulent activities. They are also bound to provide the public with crucial information about themselves, making it easy for traders and investors to confirm the company's legitimacy.
AvalonPrime website info
AvalonPrime's website has been registered extremely recently – probably under a month ago. We know that because it does not show up in WhoIs lookups.
AvalonPrime operates on an IP address from the States – here is the address itself – 188.8.131.52. And although it does host over 220 other domains, none of them are connected to AvalonPrime as far as we can tell.
Of course, SimilarWeb does not even show the traffic that AvalonPrime has – it is under the minimum threshold for the service.
Finally, as AvalonPrime does not appear in WhoIs lookups, we have no way of verifying who owns it – therefore the company fails to live up to standards of transparency once more.
We paid utmost attention to the regulation and transparency in the sections above because it’s mandatory for trading and investments. Pretty much each company offering financial services have to be authorised by the local financial authority.
However, some entities operate unlicensed and intentionally run investment fraud. It would be best if you only dealt with companies authorised by the regulators, so always check to make sure they are. Bear in mind that if you trade with unauthorised businesses, you won’t be protected, so it’s very likely to suffer losses almost impossible to recover if things go wrong.
Online scam is trending nowadays with fraudulent websites popping up literally every day. The financial authorities increase the number of warnings issued year after year, but the dangers are still out there and growing exponentially. You’ll realise the hazards when you consider OneCoin scam- it’s still impossible to calculate the total loss, but it’s regarded as 15 billion worth fraud. Make sure to trade with licensed and regulated companies to avoid off-putting losses.