Defigroups Key Facts
🔴 Defigroups offers questionable crypto related investment opportunities – a clear sign of a scam!
🔴 Defigroups forges crucial contact information – beware!
🔴 Defigroups lacks a license for the provision of its services – a huge red flag!
🔴 Defigroups's domain is incredibly obscure – another off-putting detail!
Defigroups products and services
Defigroups provides invesmtnet plans with promised rates of returns between 10 and 17% monthly. This is more than what most banks would grant you in an year – Defigroups is simply trying to pocket your deposits.
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.
Defigroups company and regulation
Defigroups is not a licensed company – it does not present us with a single document to counter this claim. Therefore we can only assume it to be operating illegally.
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.
Defigroups address and contacts
Defigroups provides us with the following address – Switzerland Chemin des Limites 1A 1293 Bellevue. Let us ask you – how can it have an address in Switzerland without a license to operate in the country? The answer is incredibly simple – it does not.
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.
Defigroups website info
Defigroups' domain has been created rather recently – in May of 2020. This is a red flag, and when you pair it with the fact that Defigroups' domain is also staggeringly unpopular, you see that the company displays two of the most common signs of a scam there are. The owners of the domain are also fine with breaking the principles of transparency outlined above by concealing themselves from WhoIs lookups.
And lastly, the domain itself is hosted on the 172.67.165.59 IP from the States – though there are over 700 other domains there, we could not connect any of them to Defigroups.
Scam warning
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.
Saber Fathi
Due to the trust, my capital in Trust Mining was destroyed, it was a complete scam, after a few days, our group’s profile was blocked, they asked for a deposit to open our account