Kowela Swindle | Revealing Forex Fraud, Fallacious DMCAs & CNMV Warning
Kowela is an offshore forex broker which has received several reviews calling it a scam.
The company has shady trading conditions and has even received a warning from Spain’s CNMV.
CNMV, the National Securities Market Commission (Comisión Nacional del Mercado de Valores) is the governmental agency in Spain, to regulates finances in the securities market.
They claim to offer a large variety of currency pairs and commodities you can trade. However, the company’s suspicious nature suggests they might not be as reliable as they make themselves seem.
In the following Kowela review, I’ll give you a detailed overview of this forex broker and help you understand why you should avoid trading with them:
About Kowela: Is It Regulated?
Kowela doesn’t share any information about its license. Clearly, they don’t have a license and are an unregulated broker.
The only thing they share about themselves is the name of their company. Also, their company “Kowela LLC” is based in St Vincent and the Grenadines. SVG is a highly notorious region in the forex industry as it has very lenient regulations.
Furthermore, there is no proof that Kowela is actually based in St Vincent and the Grenadines because the company doesn’t share any physical address. Their address is Suite 214, Kingstown, St Vincent and the Grenadines.
Without a physical address, you can’t verify if the company is actually located in the country it claims to be.
This is a huge red flag and adds further to my suspicions that Kowela is not a regulated broker.
You should be extremely cautious of unregulated brokers as they don’t follow laws and regulations. Furthermore, because they don’t have a license, they don’t get the protection of a serious watchdog like FCA or FINMA.
In many cases, consumers who start dealing with such brokers end up losing a lot of money through the broker’s dubious tactics. For example, many clients of the unregulated broker Tiger Trade Copy complain about losing their entire deposits instantly.
Many reviews of that broker complain about how they show ‘rigged’ trades to dupe traders to make you invest more, only to steal your entire funds.
However, the red flags of Kowela don’t end here. It has plenty of additional issues:
Spanish Regulator Issues A Warning Against Kowela
Spain’s CNMV (Comision Nacionel del Mercado de Valores) has issued a warning against Kowela. CNMV is a prominent financial regulator and it only issues warnings against scams and unregulated financial services providers.
(Source)
The warning states that Kowela doesn’t have a license to operate in Spain. Without a license from CNMV, it is illegal for Kowela to offer its services in its jurisdiction.
Financial regulators all across the globe issue warnings against forex scams to alert investors.
For example, OmegaPro is a crypto scam that has received warnings from multiple financial regulators for being a Ponzi scheme.
The CNMV warning should be reason enough for you to avoid trading with this broker. However, it has a ton of additional issues I must highlight:
Additional Reasons Why You Should Avoid Kowela:
Apart from the warning by CNMV and the unregulated status of this broker, there are several red flags that suggest it’s a scam.
In the following points of my Kowela review, I have highlighted those red flags for you:
High Minimum Deposit:
The minimum deposit requirement at Kowela is $5,000. They offer multiple trading accounts and the smallest one is called Junior which has a minimum requirement of $5,000.
This is an extremely high requirement as most reputed forex brokers keep their minimum deposit requirement around $10 or below. That’s because a low minimum deposit limit allows traders to test out the broker without facing much financial risk.
On the other hand, scammers tend to keep their minimum deposit limit high to ensure that they can steal at least some substantial sum from every victim.
That’s why you shouldn’t trade with brokers with outrageous minimum deposit requirements.
Other trading accounts available with Kowela are:
- Advanced (Minimum Deposit $25,000)
- Investor (Minimum Deposit $50,000)
- Trader (Minimum Deposit $100,000)
- Trader Pro (Minimum Deposit $250,000)
- VIP (Minimum Deposit $1,000,000)
With the expensive accounts, Kowela claims to offer in-depth investing tools, complex indicators, multiple execution orders, and Islamic accounts.
To open an Islamic account with this forex broker, the minimum deposit you’ll need to make is $250,000.
Certainly, this is a huge drawback.
Excessive Leverage:
Kowela offers its clients leverage up to 1:400. This is extremely high.
To give you an idea of how high this is, the highest leverage an FCA-regulated broker can offer is 1:30 while those with a license in the US can only offer leverage up to 1:50.
Regulators keep these limits because new and inexperienced investors can lose their entire deposits within minutes while using such leverage.
You would be better off avoiding this broker to make sure you don’t lose your entire investment quickly.
Poor Trading Platform:
Kowela claims to have its own proprietary trading platform which you can download on your system.
However, I wasn’t able to access the platform so I can’t give any insights into its performance.
It’s worth noting that most reputed forex brokers offer the MT4 or MT5 trading platforms as they have a ton of features.
Those platforms offer plenty of charts, graphs, analysis tools, and more that let you trade easily.
On the other hand, proprietary trading platforms tend to be notorious for being ‘rigged’. Hence, beware.
Shady Terms and Conditions:
Kowela has plenty of shady terms and conditions.
For example, one of their clauses states that the company can reject or cancel any financial transaction if they deem it necessary.
They might also refuse transaction requests from a bank or any other third party.
In other words, the company can cancel your withdrawal request whenever it wants. When you sign up with them, you’ll have to agree with these provisions.
There are plenty more examples of their shady terms and conditions.
That’s why I don’t think anyone should sign up with Kowela. There’s a great chance you will get scammed.
Kowela is Using Illegal Marketing Tactics to Hide Negative Reviews:
While looking into Kowela, I found out that someone representing them was posting fake DMCA notices against their reviews.
Turns out, the representative is specifically targeting reviews that highlight the problems present in this broker.
A fake DMCA notice is when someone fraudulently claims to be the original owner of a piece of content and claims that the actual original content is plagiarized.
Here is the fake DMCA notice I found:
Using fake DMCA notices is quite common among online scams and fraudulent companies.
For example, HULT Private Capital is a financial scammer that uses this tactic to bury negative reviews. Similarly, MSP Limited is another shady forex broker which uses this tactic to hide negative user reviews.
Conclusion
After going through the above points, it’s clear that Kowela is not a reliable company. It is an offshore broker that has received a warning from the Spanish regulator, CNMV.
The company has horrible trading conditions and its terms of use are rather predatory.
Due to these reasons, I don’t recommend trading with Kowela.
Doing trading with Kowela is not a smarter move. This company performs very badly and in some countries, it would get strict warnings from the regulatory authority. When I got cheated by this company I never thought that this company did this to me.
They are criminals and never do the legal way of trading.
I would suggest investors be alert because the money”s the same whether they earned it by doing an ethical way of trading or scamming it.
Lost $XXXX with Kowela. There is no accountability were shown by this site. They are unable to give any information to their old clients. They started showing rude behavior to their clients. The site started a spam call to me. And started telling me about different types of offers and advantages while investing in this site
I want the regulatory authority may appoint some auditors and audit these particular companies and protect the investors in the market.
As a rational investor, I would suggest never trading with this site because this site is full of garbage. And never put your hard-earned money into the garbage.
They are scammers and don’t use this source for trading because they scammed me and take all my money. I know while writing this review there were some agents of the company started removing my review but If I get the authority to jail them because they ruined many people’s lives and now they are targeting some other investors and trapping them in their forgery schemes.
Now I realized and know the hidden strategies that these companies while doing trading with many people. They offer you higher rates and later when you trust them they started scamming you. Beawe of these fraudsters into the market.
The terms and conditions of Kowela are much more than any trading company. Don’t trust them because they have the right to cancel the withdrawal of clients. I go in this situation many times whenever I do my financial transaction they used to cancel them.
They refer to as fraudsters who give high leverage on their customers and want most people to engage with them. And they also provide different types of accounts to their investors. I have a Trader account but I was never recognized as a trader to the company losses my amount.
This company doesn’t follow any business principles so, I would suggest putting your head into this because Once You are in then you will never come out with your money.
I want my money back please help me to get my money. I use to put my money on various trading websites but never suffers this kind of problem because when I started using these platforms I was very surprised as my stock rates started rising and I constantly grew day by day. But one thing I didn’t understand was that when I try to withdraw my amount unable to do so.
I mailed and explain the whole situation in detail. But get nothing. This site is not useful and asked some managers and portfolio managers before investing in the company. If anyone of you knows how to get back money from this source please guide me if possible. Investors don’t trust them!
Horrible service was received from this website. I got a very bad experience with this particular website. The first thing I notice is that the particular company wants you to do the investment and then they silently charge you the higher amount when you asked them why they are doing so so they start telling you they charge you for the service they provided in this scheme.
I never saw this type of service in my whole trading journey. They come for themself, not for investors. why they started putting threshold limits on its investors didn’t understand them.
It’s the investor’s money that they were using and after these, they were not giving you a single penny. And if you are thinking that while their customer service you will able to recover your amount. Then sorry you are believing in unsuitable sources.
They were not giving you any benefits. I request if you are using this source then,
please stop using these platforms. Or your money may be stuck in this source.
Kowela is doing cunning activities with their investors to invest in their Ponzi schemes and would not recommend it to any newbie. There are several problems that I faced while investing in this website. I got a problem with late withdrawals. The brokers of the company started holding my withdrawals. This shows that they were preventing withdrawals from their old clients. And this shows that they are not letting their clients withdraw the money. When I started calling the particular brokers who told me about this stopped picking up the phone.
After a couple of months, the site is not working properly and they block my account.
I lost my money and now they are started blaming me for the whole situation. I couldn’t understand the tactics of this company. If you are planning to invest in this scheme never do that otherwise you may feel guilty after losing your money.
They are thieves whose main motive is to steal all your money from you and give nothing in return. The brokers of the company didn’t know how to deal with naive clients. They also treat their old clients badly. They started misleading the clients and didn’t give them the proper information about their investment. I’m trapped by this company and I lost around $2000.This company is a group of scammers if you invested in this unethical source you will never get your money back. From there till now I never invested in any company.
I met many of the victims who were also suffering from the same problems. One of the victims started telling me about how these companies hired people to remove their negative reviews about the company. Stay away from these scammers.
This site started holding my withdrawals and I’m not able to withdraw my invested amount because when I try to withdraw my particular. The particular site started showing me a technical glitch due to which I lost my all saving and I invested in Kowela to purchase some vulnerable assets but was unable to do so.
When I started mailing the problem to the company I didn’t get any report from the particular stock in which I invested in this.
They took my $300 and now they were not giving me any reply. I Would suggest the investors don’t waste their time and into this company otherwise, you have to suffer heavy losses. There are various trading websites and apps who doing lots of scams but the regulatory authority is unable to recognize these fraudsters.
Investors try to avoid trading with Kowela brokers they are not a liable source for investments. I started trading with Kowela 2 months ago and I suffered a loss of $XXX.They promote the fake scheme to attract new investors in the market. They are those broker company didn’t care about the public interest.
If you want to invest in these fraud companies try at your risk. I would suggest the beginners try some other source that would care about the public interest. Because they were selling lemons to the investors.
I’m unable to get my money back.
KontoFX are a fake company, Like many others, I have been scammed out of $78,600. I thought I was trading in bitcoin only to find out that the platform is fake and they can take your money and can’t let you withdraw your profits. They scammed me and refused to refund my money. Finally I was able to find a possibility to get my money back from them through a recovery service done by nelsonbradley218@ gmail .com his a recovery expert on every online stolen assets. He can help you get your money back, like he did for me with his team. With them getting my withdrawal was possible.
Kowela is the worst forex broker. I was scammed by them for several hundred euros. Their customer support is the worst.
Yes, they are a scam. Kowela took over $500 from me and now they are not letting me withdraw. The company took all this money from me and instead of giving me my money, has started giving me excuses for why they won’t pay me. Don’t waste your money here. They are a scam.