Margex – Fraud, Fake DMCAs and Hiding Reviews 2023
Margex is a trading platform that entered the industry in 2020. Their office is in Seychelles, an offshore location notorious for being a haven for online scams.
Margex allows you to trade cryptocurrency pairs such as BTCUSD, EOSUSD, YFIUSD, ETHUSD, and more.
Although the company claims to be a global platform, it is unavailable in many regulated regions including the US.
The company claims to have a minimum deposit of $10 as well and it has a Margex app for smartphone users. However, the company has received a plethora of complaints from consumers.
Furthermore, I have discovered that it is using illegal and unethical marketing tactics to hide consumer complaints.
Before you risk trading your money with this crypto exchange, it would be best for you to go through the following Margex review. It will help you understand why you should avoid signing up with them:
Margex Signup: Why You Should Avoid It
It has kept the signup process rather simple. You only need to go to their website, click on the “Start Trading” button and the process will begin.
The platform will ask you for your email and password. Then, it will ask you to confirm that you are residing in a country that permits its residents to use it.
After you have completed the confirmation, you’ll need to confirm your email by going to your email inbox and verifying the same.
Then, you would need to deposit some funds in your Margex account and the process would be complete.
Although the Margex signup process is easy, I don’t recommend it.
Because the platform has too many red flags. You should avoid signing up on shady platforms as you face the risk of losing your funds wrongfully.
For example, Infinox Capital is a forex broker which stole GBP 4 million from its clients by using shady business tactics. The company misrepresented its accounts and used shell companies to steal money from its customers.
Similarly, you have the example of PointPay, a crypto platform that has gained notoriety for stealing from its customers.
Below are the red flags in Margex:
The first biggest red flag in itr\ is its location. They are based in Seychelles, a place notorious for being home to plenty of forex and crypto scams.
Seychelles has poor financial regulation and that makes it dangerous. Poor financial regulation means you don’t have any protection in case something goes wrong.
With a regulated exchange or broker, you would have the facility to contact the regulatory authority and get some compensation. However, with a company like Margex, you don’t get this facility.
The offshore location doesn’t inspire confidence.
There are plenty of offshore scams operating in the current crypto industry. For example, LyoPay is a crypto MLM scam claiming to create a blockchain-based ecosystem. Many people have reported that they have lost their deposit with that scam.
Hence, I don’t recommend trading with Margex.
Although I highlighted this issue in the last point, being unregulated is still a huge red flag.
Because it is unregulated, you don’t get any protection services.
So, if the crypto exchange deducts funds from your account wrongfully, you wouldn’t have any option to get your money back. There are plenty of regulatory authorities in the industry which provide insurance and ombudsman facilities to their consumers.
However, Margex doesn’t offer such features.
You have to take their word for everything.
Another reason why I think it is a scam is the excessive leverage it offers its customers.
At Margex, you can get up to 1:100 leverage on your trades.
This is way too high by industry standards.
Most reputed regulators restrict the amount of leverage their licensed brokers can offer. For example, FCA-regulated brokers can only offer leverage up to 1:30.
Because the higher the leverage is, the higher your risk of losing your entire deposit.
The highly risky nature of excessive leverage makes it unsuitable for most investors. Unless you are highly experienced in trading, I don’t recommend using such leverage.
However, shady brokers tend to rope in new traders by promising high leverage and trap them in debt when they suffer losses.
You should be wary of such exchanges. Hence, I don’t recommend itit.
Too Many Complaints from Clients
While I was looking into this crypto exchange, I found many Margex reviews complaining about their poor customer support and app.
Apparently, the platform has received too many complaints for being deceitful.
Furthermore, I found that the broker is using illegal and fraudulent marketing tactics to bury negative reviews, which is another red flag.
Also, because there is a dedicated Margex affiliate program, it’s very difficult to trust most of the positive reviews of this broker.
There is no way to determine if the review is from a legitimate customer or someone who is getting paid to write a positive comment.
It’s worth noting that plenty of shady organizations rely on paid affiliates to increase their positive reviews.
Margex Review by Customers:
There are plenty of it reviews highlighting the various problems present in this company.
Most complaints highlight the poor quality of their Margex app and don’t recommend using it.
However, some of them point out the shady fee structure of the crypto exchange. For example, Janice complains about how it takes fees upfront.
She says you would expect them to be down 7.5% when opening trade but they are more around 20%.
Her friend had started a bull and a bear trade. Both of them were down by 30% at the same time. Hence, she doesn’t recommend trading at Margex.
Other reviews highlight the buggy nature of the Margex app.
Many clients are unable to log into their Margex accounts due to technical errors. Their app shows they don’t have an internet connection when they clearly do. Due to this login error, plenty of clients were unable to access the funds they had deposited into their Margex accounts as well.
Here are some of those reviews:
Frequently Asked Questions on Margex:
What is Margex Trading Fees?
Margex trading fees are considerably high. They charge order-specific fees as well as funding fees.
They charge Maker Fee of 0.019% on the placement of every order and Taker Fee of 0.060% when you remove liquidity from the order book by matching an already placed order.
The exchange charges trade fees whenever you execute an order in the market.
Furthermore, they charge a Funding fee whenever a position is carried into a new 8-hour funding period. However, if a position closes before the next funding rollover, there wouldn’t be any Funding fee.
The funding fee varies from 0.03% to 0.20% depending upon the currency pair you’re funding.
Although they don’t charge any deposit fee, there is the provision of withdrawal fees which depends on your chosen transaction method.
What is Margex Minimum Deposit?
Margex minimum deposit requirement is $10. This is rather impressive as it makes the crypto exchange accessible to many investors.
You can deposit funds into your Margex account through e-wallets, cryptocurrencies as well as Visa and Mastercard.
The option to invest through cryptocurrencies and stablecoins makes Margex attractive.
However, you shouldn’t undermine the numerous red flags present in the broker. If they weren’t present, Margex could have easily become a prominent recommendation.
What are Margex Countries?
Margex is unavailable in the US but is available in plenty of regions including:
- Russian Federation
- New Zealand
- South Africa
And plenty others.
Margex is Using Illegal Tactics to Hide Negative Reviews:
When I was looking into Margex, I found a scary thing.
Apparently, someone representing Margex is posting fake DMCA notices against negative reviews on the crypto exchange. As a result, Google is removing these reviews from its search results and people can’t see them.
A fake DMCA notice is when someone copies certain content, posts it on their website, and claims thy were the original creator of the said content.
To make their claim seem more legitimate, these people change their posting date to make it seem like they had posted the content before the original publication.
Posting fake DMCA notices constitutes fraud, perjury, impersonation and identity theft. It’s an illegal marketing tactic prevalent among online scammers and criminals.
For example, Peter Kondrashev is an oligarch whose marketers are using this method to hide the news articles sharing his criminal activities. Similarly, Foxane is a forex scam which also uses this tactic to hide critical reviews.
Certainly, if the marketers of Margex have been using this illegal tactic, there might be a lot more negative reviews that are just inaccessible.
The representatives of Margex might post fake DMCA notices against this review too. However, if they do, I’ll rebut it and post an update here.
Verdict: Avoid Margex!
After going through the above points, it’s evident that Margex is not a reliable company. Their trading conditions might seem attractive but their criminal activities indicate their intentions are not right.
The company uses illegal tactics to hide negative reviews from the internet. Furthermore, the company has received too many complaints for its poor fee structure and technical issues.
Due to these reasons, I don’t recommend trading with Margex. Avoid them at all costs.
Margex is a crypto exchange which uses illegal tactics to hide negative reviews and has recieved tons of complaints. They don’t have a proper license and are an offshore entity. Beware!
- Attractive trading conditions
- No proper regulation
- Use fake DMCAs to hide reviews
The latest trend followed by these fraudsters is that they are using some technique to bury the negative reviews for the company and also post positive comments to make the company look legitimate. Like look at the 5 star comment. Whoever wrote that just wanted to leave a 5 star rating.
Many companies aren’t successful due to their offshore trading origin, the same is true with Margex because the company does business through Seychelles, which is famous for its notorious shady past.
As per the FCAs guidelines the leverage which can be offered by the companies can’t be more than 1:30 but Margex offers leverage up to 1:100 which isn’t legal and also not possible to provide profit as high as Margex claims which makes it a less legitimate platform. Don’t trust those scammers.
The business of taking down the articles which are exposing your shady business to users all over the world is gearing up because for the past 3-4 months it was seen many articles were taken down where they were trying to pull the truth out and make investors aware about these scammers.
The process of taking down the articles shouldn’t be allowed because many articles can save many users from getting scammed, whereas they should be promoted on larger scales so that a larger number of people can be aware. Margex should be punished for using fake dmca notices.
The problem which my brother faced after investing in Margex was the app itself because most of the time when he tried to log in a pop-up message of error comes up, or when he applied for withdrawal the app stops working with a pop-up message of no internet connection.
The company is not at all trustable because of its attachment to Seychelles as the company operates from a place that is always on the point of the officials for the scams which are operated through that place.
I must also say that Margex comes under the category of unregulated one because the company isn’t authorized by any official institution which is a red flag for investing in the company, and also they don’t provide any security in case of loss. Thus it is very risky to invest with Margex.
I disagree with the author because it is your responsibility to check the policies of the company before investing, your careless behavior is harming the company because the company is performing its scams smoothly and if you are convinced by their schemes then the problem is with you.
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 [email protected] 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.
Never get attracted by these schemes and get your money dumped at a place where you can’t get your money back, by the way, if you get your money lost in some online investment scam then you can get your money back after taking the help of some online platforms.
Even if Margex is claiming to provide high returns after asking for investment as low as $10 it doesn’t look legitimate because providing high with such a small investment indicates that the company is looking for new investors and trying to make a profit after scamming them.
When it comes to investment my recommendations are very simple. You should always get to know the founder of the company because his past will reveal most of the things and always go through the policies and the country through which it is being operated, check whether the country comes under the regulations of FCA. These small investigations can help you later, from getting scammed.