GeneonInvest is an unregulated forex broker based in an offshore jurisdiction. We have a word of caution to anybody considering using this broker to purchase stocks, shares, or cryptocurrencies.
Unlike honest and trustworthy forex brokers, this one is untraceable, and no government agency oversees it.
Over the years, many people have joined forex trading. As the world becomes more interconnected, there is an increasing need for businesses to exchange currencies in order to facilitate international trade.
This has led to an increase in demand for forex trading.
The internet has made it easier for individuals to access the forex market, as it is now possible to trade online from almost anywhere in the world.
This has made it more convenient for people to participate in the business.
Increased market liquidity has also promoted the industry. The forex market is the largest financial market in the world, with a daily trading volume of over $5 trillion. This high liquidity makes it easy to buy and sell currencies, which can attract traders. The forex market is also known for its volatility, which can create opportunities for traders to profit from price movements.
Many forex brokers offer leverage, which allows traders to trade with a larger position size than they would be able to with their own capital alone. This can magnify potential profits but carries the risk of bigger losses.
Sadly, fraudsters have mushroomed alongside the popularity of online forex trading. These forex scammers target naive traders by making extravagant claims and failing to deliver.
One of the main strategies they employ is claiming exaggerated returns or guaranteed profits. Brokers that promise to routinely generate high profits for their clients may claim to do so thanks to a unique formula or access to confidential information. Most of the time, however, a broker will make exaggerated statements like these to get naive traders to open accounts with them.
Spoofing is another tactic used by scam brokers to lure unsuspecting investors into the market. They do this by creating fictitious trades or manipulating prices. If traders base their decisions on inaccurate data, they risk heavy losses.
The broker claims you can trade more than 2,000 stocks, indices, currency pairs, and commodities. They claim to offer these many assets so traders can have unlimited access to the numerous opportunities in the financial market.
They also claim to guarantee no requotes and slippage. Slippage is, however, difficult for any broker to avoid. The broker offers three account types, each with different conditions. We, however, noted that they were vague about their commissions.
They also have bonus programs, although they have not elaborated on them further. This is a red flag. These bonuses are only meant to entice traders to deposit money and invite their friends. It is a common tactic fraudsters use.
At the bottom of the website’s home page, we noticed something suspicious. There are links to AnyDesk and TeamViewer apps. Rogue brokers can use these apps to access clients’ computers remotely. As a trader, you should never work with a broker who wants to access your personal data through your gadget.
GeneonInvest Founders and Team
The broker is silent on who established it, when, and why. This is vital data for any broker. It has a 2020 copyright. From Whois.com, we found that the domain website was started in 2021 and will expire in 2023. The business will thus be in operation for a short time which makes sense since they are scammers.
The broker has also not mentioned anything about their current leaders and employees. Scam brokers may hide the identity of their CEO and employees in order to avoid being held accountable for their actions. By hiding their identity, it becomes more difficult for victims of the scam to track down and pursue legal action against the individuals responsible.
In addition, hiding the identity of the CEO and employees may also help the scam broker maintain anonymity and avoid being detected by regulatory authorities. This can allow the scam to continue operating for longer, potentially resulting in more victims and greater profits for the scammer.
To reach this broker, traders can use an email or access the offices on James Street, Kingstown. However, this is not enough. The broker should have a reliable phone number and a social media link. Today, many people are using these platforms for communication. It will also be an excellent opportunity to get reviews about the broker.
Multiple communication channels can make it easier for traders to contact the broker if they have questions or need assistance. This can be especially important in the fast-paced and volatile forex market, where timely responses to inquiries can be critical.
By being reachable by phone and social media, a broker can demonstrate a commitment to transparency and open communication with its clients. This can help build trust and confidence in the broker.
Social media platforms can also be helpful tools for communicating updates, news, and other important information to their clients promptly.
The first worrying fact about the broker is its location. It is dangerous to work with brokers from St. Vincent and the Grenadines (SVG). In this region, the government makes it explicitly clear that forex brokers do not need a license to operate. Many shady brokers prefer this region due to its lack of restrictions.
Traders may have a more challenging time ascertaining the legitimacy and trustworthiness of a broker headquartered in SVG, even though some legitimate brokers operate from this region.
SVG-based brokers have been linked to numerous instances of fraud. For example, the broker may refuse to process a trader’s withdrawal request, engage in price manipulation, or fail to execute a trade.
The government of Russia, through the Central Bank of Russia (CBR), has flagged GeneonInvest as an illegal participant in the securities market. When such a regulatory body warns against dealing with the broker, the best thing to do is stay away from them.
These are essential to every broker. Companies adjust them frequently to attract more customers. Some of the parameters they look at include spread, leverage, commission charges, and minimum deposit.
For this broker, the leverage is between 1:10 for the mini account and 1:100 for the VIP account. These spreads are considerable and are well within what many regulators demand. Trading with low leverage protects traders from making the common mistake of overtrading and overleveraging.
GeneonInvest has not mentioned anything about the spread. This is where they could impose unreasonable conditions, making trading with them much more difficult.
Deposit and Withdrawal Methods
GeneonInvest accepts VISA, Maestro, Wire Transfer, MasterCard, and Cryptocurrencies. The minimum deposit for a mini account is $250. These values could, however, change when you try to deposit
There are various reasons why the broker has included Bitcoin as one of its preferred methods. They can make transactions anonymously because it is a decentralized digital money. Authorities may have a more challenging time tracking down scam brokers who utilize it to swindle their customers.
GeneoInvest is a scam. Fraudsters are constantly developing new methods of tricking unsuspecting victims, so you should never underestimate them. To emphasize, keep in mind that offshore brokers have no interest in investing your money and care nothing about your success.
To get as much money from you as possible before disappearing entirely is their only objective. If you come across some methods, you should immediately take off in the opposite direction.
All is not lost in the forex market, however. There are many legit, honest, and trustworthy brokers you can work with. Unlike the scammers, these have a legal license and cannot defraud you. In case of any queries, they respond promptly.