RFXoption Key Facts
🔴 RFXoption offers questionable investment opportunities – a clear sign of a scam!
🔴 RFXoption does not provide actual contact information – beware!
🔴 RFXoption lack any license for the provision of its services – a huge red flag!
🔴 RFXoption's domain has been registered only recently – another off-putting detail!
RFXoption products and services
RFXoption is another shady company that offers incredibly profitable investment plans – in the case of this particular one, they include profits of at least 9 times your deposit – RFXoption claims to be able to net you $4000 with a measly $400. This is clearly impossible to achieve.
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.
RFXoption company and regulation
RFXoption provides us with a certificate of incorporation with the UK Companies House – however, that certificate is in the name of another company. And even if it weren't the House does not license companies like RFXoption – that is the job of the FCA, so the document is simply not the appropriate license for RFXoption to provide its services.
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.
RFXoption address and contacts
RFXoption does not provide us with the bare minimum when it comes to contact information – a physical address. It has only given us a phone number, +12244078567, that is most likely automatically generated using specific software.
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.
RFXoption website info
RFXoption's website has been registered in late November last year – how did it manage to be the recipient of 170 awards as it claims, then? Simple, it did not and it is not.
RFXoption's domain is hosted on an IP address from the States – 220.127.116.11. This address co-hosts 428 other domains, none of which connected to RFXoption as far as we could tell.
What's more, the domain is staggeringly unpopular, with SimilarWeb not even indexing it. This is the final nail in the coffin of RFXoption's claims to be a world renowned institution.
The owners of the website have shielded themselves from WhoIs lookups – this desire to remain anonymous could mean that they are trying to dodge responsibility for the scam they are running.
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.