Omplix
Omplix is a crypto broker with a very beautiful website (omplix.com). I rarely encounter brokers that have such impressive websites.
However, a good website doesn’t mean that the broker is trustworthy. In my Omplix review, you’ll find out whether you should trust this broker or not. Let’s start:
Omplix License and Regulation
The first thing you should always look for is the broker’s address. The address of a broker would determine which jurisdiction it would fall into. In case the broker belongs to an offshore area such as the Marshall Islands or St. Vincent and the Grenadines, you should stay away from them.
In the case of Omplix, the parent company of this broker is Pepper Fly (Pty) Ltd. Their address is in the Dominican Republic, which is an offshore region like the ones I mentioned above.
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The highlight of offshore regions is they don’t have financial regulators so the brokers based there are unlicensed and unregulated.
So, Omplix is an unregulated and unlicensed broker. With an unlicensed broker, you have no assurance of your funds and data’s safety.
Unregulated and unlicensed brokers are very dangerous as they can steal your funds (through hidden charges) and even your private data!
Omplix is an unregulated broker and belongs to the Dominican Republic, an offshore region. You should avoid trading with them as your funds and data might be in danger.
Regulatory authorities such as CySEC (Cyprus Securities and Exchange Commission) or FCA (Financial Conduct Authority) have many rules and regulations. These regulations make sure the broker doesn’t harm the interests of their users and doesn’t deceive them.
SEC has several functions, out of which the primary function is to check the market manipulation. The association is an independent firm and was established as an aftermath of the Wall Street crash, 1929.
Moreover, regulatory authorities have insurance policies in case one of their licensed brokers breaks a regulation or steals their users’ funds. With unlicensed brokers, you don’t get any of these benefits.
It’s clear that trading with unregulated brokers is quite riskier and that’s why I don’t suggest working with Omplix.
Omplix Trading Conditions
Even though the license of a broker can tell you a lot about its reliability, the second-most important factor is its trading conditions. What trading platform does it offer? What’s the minimum deposit limit? We’ll discuss these factors in detail to determine whether Omplix is a reliable broker or not:
Trading Platform
Remember I mentioned earlier in the article that Omplix has a beautiful website? Well, this website only looks good. The website has numerous broken links and glitches.
Accessing many important sections of their website is a herculean task. I tried multiple times to open an account with Omplix but I couldn’t. The technical glitches present on their website didn’t let me create an account and see their trading platform.
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I couldn’t see which kind of trading platform Omplix offers to its clients. Moreover, the broker doesn’t give any information about its trading platform anywhere on its site.
The most popular trading platforms in the industry are Metatrader 4 and Metatrader 5. They pack a lot of features and benefits while providing excellent customer support. That’s why around 80% of the industry uses these platforms. In my opinion, you should only trade with a broker which uses these platforms.
Even though I couldn’t see which platform they use, I’m certain that Omplix doesn’t use MT4 or MT5. That’s because the reputation of these platforms is excellent and no broker would hide the fact that they offer this platform to their clients.
The popularity of these platforms has caused many shady brokers to take advantage of them. Many shady brokers use the excellent reputation of MT platforms to appear trustworthy to prospective clients.
If Omplix was offering MT4 or MT5 to its clients, it wouldn’t have hidden this fact from anyone. There’s a huge chance that the trading platform of this broker is very generic.
Minimum Deposit
Omplix doesn’t provide any information on its minimum deposit requirements. This is quite suspicious because brokers tend to keep such information available to all to boost trustworthiness.
Because this broker doesn’t provide such vital information, it indicates the intentions of this broker aren’t right. There’s a huge chance that Omplix is a fraud.
It’s also possible that the broker has a very high minimum deposit which usually indicates that the broker is a scam. Most regulated brokers keep their minimum deposit requirements around $100 or $50. That’s because they want to give their new users a chance to experience their services without making a big financial commitment.
As a high minimum deposit requirement indicates that the broker is a scam, Omplix might have kept this information hidden to avoid suspicion.
Leverage and Spreads
As I couldn’t access their trading platform, I wasn’t able to test their leverage and spreads. This is quite disappointing because they are vital pieces of information and help in determining the reliability of a broker.
It seems to me that Omplix doesn’t care about transparency. Moreover, it’s possible that they offer a very dangerous leverage ratio and have kept it hidden to avoid suspicion.
If a broker offers a very high leverage, you should be wary of them. Many financial regulators in different regions have imposed restrictions on how much leverage brokers can offer to their clients.
For example, in the US, a broker can offer a maximum leverage ratio of 1:50.
They have these restrictions because a high leverage ratio can cause you huge losses very quickly. Such leverage ratios are dangerous for new traders particularly.
Omplix Payment Methods and Charges
Transaction Methods
Omplix allows you to fund your trading account through cryptocurrency, wire transfer, and credit card. Their terms and conditions state that you can withdraw through cryptocurrencies at any time. The minimum withdrawal limit for credit cards is $100 while for wire transfers, the limit is $250.
It seems unfair to impose such restrictions on withdrawals. Regulated and reputed brokers don’t keep such limits on withdrawal. Your withdrawal might take 10 to 14 days to process, which is way higher than the industry average of 48 hours.
Fees
Omplix charges you a dormant fee of $200 if your account remains inactive for 60 days. After that, they will charge you $90 per month. These charges seem quite excessive in all respects.
Reliable brokers provide a larger time period to their clients and even then, charge only $5 or $10 as their idle fee. Omplix certainly seems like a scam because of these unfair charges.
Is Omplix a Scam? Yes!
The crypto industry has expanded exponentially in the last few years. Because of that, many kinds of scams have entered this sector as well. Usually, a scammer would target novice traders through bonus offers and bogus claims so they would sign up on their platform. Such brokers usually have unfair terms and conditions but people rarely read them before accepting the same.
When a person finally signs up and makes a deposit on their account, the broker can do whatever they desire. They can steal the user’s funds through hidden fees or even steal their private data.
Usually these brokers operate from offshore areas such as St. Vincent. These regions don’t have financial regulators like the US or the EU so they have become havens for shady crypto brokers.
Omplix Review: Conclusion
I hope my Omplix review helped you make an informed decision regarding this broker. There are many scams in the crypto industry similar to this one. It’s best to stay alert and do some research before signing up with a new broker.
