Caution! Powerbitfx is an offshore company! Your funds may be at risk.
Powerbitfx Key Facts
🔴 Powerbitfx offers suspicious Binary products. A scam sign!
🔴 Powerbitfx presents false legal information. Red flag!
🔴 Powerbitfx isn't transparent enough. Red flag!
🔴 Powerbitfx creates unrealistic expectations. A disturbing sign!
Powerbitfx products and services
Powerbitfx is a dubious Binary Options broker that's presenting misleading information about the services provided. In fact, they are trying to act as an HYIP promising guaranteed profit, which is actually incompatible with Binary Options. On the other hand, binaries were prohibited and are no longer considered trading instruments but gambling instead. Binary Options broker are known to manipulate prices, so beware.
Traders and investors should stay away from HYIPs. It stands for High-Yield Investment Program, which is considered a type of Ponzi scheme promising impossible return on investments. It’s perfectly in line with the scammers’ practices who create unrealistic expectations to entice people into their crooked games. The legit and trustworthy companies can’t in any way secure more than a few per cent gain annually, let alone per day. Judging by the products and services offered, this business is most probably a scam, so beware.
Powerbitfx company and regulation
Powerbitfx is a fictitious company and an illegal business. However, they claim to be a UK entity, which indicates it's a scam scheme because Binary Options are prohibited in the UK. Powerbitfx is unregulated and a suspected scam, so make sure to stay away. In this section, we'll show you what makes regulation so important, so read on to get some more info about it.
HYIPs are unlicensed and unregulated, meaning that the people standing behind are not abiding by the laws. The absence of regulation makes it possible to conduct illicit activities, and it’s not surprising that most of the HYIPs are pure scam. The Internet is bustling with shady investment businesses selling hefty deals, so be cautious when you see an offer that sounds too good to be true.
The regulation is crucial because the financial authorities impose strict requirements ensuring customer protection, but also push scammers away. However, the US regulation is quite complex, and there are many agencies taking care to supervise the market such as SEC, NFA and CFTC, to name a few of them. The license in the US is costly, the FX broker and some investment companies have to provide 20 million paid-up capital to become authorised financial services companies. Also, the majority have to keep clients’ funds in segregated accounts, which guarantees that the money is only used for trading and investments and not for covering daily expenses.
There are also many reporting and auditing requirements the financial businesses have to follow. The different regulators impose different rules, but transparency is of utmost importance. Bear in mind that the financial market in the US is very complicated, so make sure to be up-to-date with the latest changes in the regulatory framework. HYIPs are shady businesses not abiding by the law, so make up your mind.
Powerbitfx address and contacts
Powerbitfx is allegedly located at 1 Bedford St, Belfast BT2 7ES, United Kingdom, but we can't validate this for there isn't a reliable third-party source to confirm their presence on the address. They do not reveal their actual location, which indicates a lack of transparency, and that's significant evidence of a scam. Powerbitfx also does not disclose contact numbers, which raise suspicions even further.
Transparency is critically important when it comes to investing. The financial authorities around the world are very strict about transparency because it helps fighting scammers. Transparent businesses are less likely to engage in fraud because it would quickly become evident and they would suffer severe penalties as a consequence. The regulated financial companies are compelled to provide the public with their basic corporate information including addresses, contacts and license numbers. This rule is implemented to make it easy for traders and investors to verify that they are dealing with a legit company. It's most probably a scam if you can't validate the company's legitimacy or they are hiding their addresses and contact numbers.
Powerbitfx.com website info
Powerbitfx.com is a domain registered on the 11th of February 2021, so it's two months old at the time of writing. Its IP address is located in the United States: 192.64.117.155, currently co-hosting 100 websites, most of which associated with suspicious Forex brokers.
Alexa doesn't even rank the domain, so it’s a highly unpopular website, which people do not trust. The Alexa ranking isn’t a key factor, but the lack of popularity isn’t a positive sign.
Powerbitfx.com uses protection services to hide website ownership. The latest trend in the privacy policy denies it should be a problem, but considering investment services, we might as well dismiss it as a disturbing sign.
Scam warning
The people running HYIPs are experts at using social media, and they lure people by creating the impression that the schemes are legit and trustworthy. But it’s still a shady business and a scam. The con artists will sometimes operate in a pool, maintaining fraudulent payment systems, creating webpages of fake regulators, abusing genuine companies' names, etc.
Many of the HYIP schemes operate precisely as a Ponzi because many investors can actually withdraw and get money, but in the end, the service will inevitably close and people would be left with losses almost impossible to recover. There are so many of these that some scholars and policy-makers even came up with the term Ponzimonium to emphasise that scam is excessively widespread today.
An example of an HYIP scam is OSGold, which is believed to be a $250 million scam. It was introduced as e-gold imitator providing guaranteed monthly returns of 30 to 45 per cent, and it’s reported that they operated 60 000 accounts at its peak. HYIPs are dangerous, so stay away from these programmes.