MonumTrade.com Review 3 Reasons Why Monum Trade is Risky {BEWARE}

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Don’t Be Fooled By These 3 Money Scams

It’s surprisingly easy to fall prey to a financial con, and not just because we want to believe that we, too, can get rich quick.

Even if you’re making sincere efforts to save and invest for your future, it can be hard to get ahead financially. Making that task even harder is that many of us occasionally fall for scams that can rob us not only of money but also of time and energy.

Here, then, is a review of three money scams that you might run across, with tips for spotting them and avoiding them and other financial scams.

Image source: Getty Images.

The penny-stock pump and dump

Penny stocks ensnare many investors — especially newer and less sophisticated ones. That’s because if you don’t understand some investing basics, they can seem like wonderful opportunities.

A penny stock is one that’s trading for less than about $5 per share. Such low prices can make it seem like the stock is a bargain — to those who don’t understand that a stock’s price alone means little. A $1 stock can still plunge and become a $0.25 one. And a $200 stock can always grow into a $400 one.

Penny stocks are usually tied to unproven, volatile companies, often with little to no earnings. And while the companies themselves may be entirely legitimate — albeit young or small — their stock prices are easily manipulated by scammers because they have relatively small market caps, and don’t usually trade heavily.

The classic pump-and-dump maneuver is an unfortunately great example: First, the ambitious con artists buy lots of shares of a penny stock, then starts hyping the company in newsletters, online, in day trader chat rooms, and elsewhere. They’ll present a compelling story, claiming that the company is on the verge of curing cancer, proving a new oil field, or exploiting some other figurative gold mine.

Naive investors will get excited, start buying shares, and push the price higher. The rising prices will often excite further investors to buy in too, adding more hot air to the bubble. The scammers will then quickly sell their shares at the inflated prices and reap the profits. Afterward, they turn off the hype machine, (and the company may publicly debunk the rumors) share prices fall back to their natural levels, and those who took the bait get stuck with the losses.

You can avoid penny stock heartaches simply by steering clear of companies with very low share prices — no matter how much you might love to own, say, 5,000 shares of a company for only $500. Also, beware of compelling stories that seem too good to be true. If the stock is really so great, those in the know would be buying all the shares they could, not telling others to do so.

Ponzi schemes

There may be fewer Ponzi schemes out there than penny stock cons, but it’s valuable to be able to spot their characteristics — because there are some criminals out there using the model. The most famous one — they tend only to become famous after their frauds unravel — is now-jailed Bernie Madoff.

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Ponzi schemes claim to offer high and consistent returns via “secret” investing strategies or other vague but profitable-sounding techniques — but in fact, they are cooking the books, and using the money from new investors to create illusory “profits” for the earlier ones. The investors’ assets aren’t growing, of course. There’s no savvy money management nor clever investing tactics — just schemers moving funds around behind the curtain, and siphoning off large amounts of it for themselves. But at some point, investors in need of their funds will invariably attempt to cash out more than the fraudsters have left in the tank, and if the new money has dried up, the whole thing will implode as con artists have to admit they can’t pay their investors what they’ve been promised.

Per the Securities and Exchange Commission, here are some signs of a Ponzi scheme. (These red flags apply to many other kinds of scams, too.)

  • Low risk, high returns: If you’re presented with any investment opportunity that’s described as offering very low risk and very high returns — or, worse, an opportunity that’s “guaranteed” to deliver high returns, beware. In general, high potential returns are linked to high risk. Lottery tickets, for example, feature a high possible reward, but a much higher risk of losing all the money you spend on them, while government bonds offer a relatively low rewards, but little risk.
  • Unregistered investments: Any time you plan to park your hard-earned dollars in an investment, make sure that it’s registered with the SEC or state regulators. As the SEC explains, “Registration is important because it provides investors with access to information about the company’s management, products, services, and finances.” Look into the registration status of any unusual investment opportunity you’re offered — do not just take the seller’s word for it.
  • Unlicensed sellers: Federal and state laws require people and companies selling investments to be registered or licensed. Ask about the status of anyone you’re dealing with, and then verify it.
  • Complex and secret strategies: How will your friendly fraudsters deliver those massive returns they promise? Naturally, it’s because they’ve found a secret formula. It’s complicated. They could show you the math, but it’s proprietary and you wouldn’t understand it anyway. Just. trust them. (Well, they can’t just come out and tell you that they’re scamming you, right?) If you don’t understand an investment, stay away from it.
  • Paperwork problems: Solid investment companies have solid reporting systems, regularly sending accurate and statements to investors that are relatively easy to understand. If you’re not getting statements on time, or if you’re spotting errors or confusing things in them, that’s not professional or reassuring. Take a closer look, and ask questions.
  • Difficulty receiving payments: If you experience any resistance when trying to withdraw money, or you’re don’t receive promised payments on time, that’s a huge red flag. If, when trying to withdraw money, you’re offered even better returns to stay invested, that’s another warning sign.
  • Unnaturally consistent returns: Ponzi schemes and other scams often feature very consistent returns — but that deserves your skepticism, not admiration. Yes, over long periods the stock market has always tended to go up, but from week to week and year to year, its results are lumpy, and even the most clever hedging strategy can’t turn those lumps perfectly smooth. The table below lists the S&P 500’s returns over the past 18 years, clearly showing why any investment tied to the stock market is likely to feature varying returns, not consistent ones.

How to Spot a Forex Scam

The spot forex market trades over $5 trillion a day, including currency options and futures contracts. With this enormous amount of money floating around in an unregulated spot market that trades instantly, over the counter, with no accountability, forex scams offer unscrupulous operators the lure of earning fortunes in limited amounts of time. While many once-popular scams have ceased—thanks to serious enforcement actions by the Commodity Futures Trading Commission (CFTC) and the 1982 formation of the self-regulatory National Futures Association (NFA)—some old scams linger, and new ones keep popping up.

Back in the Day: The Point-Spread Scam

An old point-spread forex scam was based on computer manipulation of bid-ask spreads. The point spread between the bid and ask basically reflects the commission of a back-and-forth transaction processed through a broker. These spreads typically differ between currency pairs. The scam occurs when those point spreads differ widely among brokers.

Key Takeaways

  • Many scams in the forex market are no longer as pervasive due to tighter regulations, but some problems still exist.
  • One shady practice is when forex brokers offer wide bid-ask spreads on certain currency pairs, making it more difficult to earn profits on trades.
  • Be careful of any offshore, unregulated broker.
  • Individuals and companies that market systems—like signal sellers or robot trading—sometimes sell products that are not tested and do not yield profitable results.
  • If the forex broker is commingling funds or limiting customer withdrawals, it could be an indicator that something fishy is going on.

For instance, some brokers do not offer the normal two-point to three-point spread in the EUR/USD but spreads of seven pips or more. (A pip is the smallest price move that a given exchange rate makes based on market convention. Since most major currency pairs are priced to four decimal places, the smallest change is that of the last decimal point.) Factor in four or more additional pips on every trade, and any potential gains resulting from a good trade can be eaten away by commissions, depending on how the forex broker structures their fees for trading.

This scam has quieted down over the last 10 years, but be careful of any offshore retail brokers that are not regulated by the CFTC, NFA, or their nation of origin. These tendencies still exist, and it’s quite easy for firms to pack up and disappear with the money when confronted with actions. Many saw a jail cell for these computer manipulations. But the majority of violators have historically been United States-based companies, not the offshore ones.

The Signal-Seller Scam

A popular modern-day scam is the signal seller. Signal sellers are retail firms, pooled asset managers, managed account companies, or individual traders that offer a system—for a daily, weekly, or monthly fee—that claims to identify favorable times to buy or sell a currency pair based on professional recommendations that will make anyone wealthy. They tout their long experience and trading abilities, plus testimonials from people who vouch for how great a trader and friend the person is, and the vast wealth that this person has earned for them. All the unsuspecting trader has to do is hand over X amount of dollars for the privilege of trade recommendations.

Many of signal-seller scammers simply collect money from a certain number of traders and disappear. Some will recommend a good trade now and then, to allow the signal money to perpetuate. This new scam is slowly becoming a wider problem. Although there are signal sellers who are honest and perform trade functions as intended, it pays to be skeptical.

“Robot” Scamming in Today’s Market

A persistent scam, old and new, presents itself in some types of forex-developed trading systems. These scammers tout their system’s ability to generate automatic trades that, even while you sleep, earn vast wealth. Today, the new terminology is “robot” because the process is fully automated with computers. Either way, many of these systems have never been submitted for formal review or tested by an independent source.

Examination of a forex robot must include the testing of a trading system’s parameters and optimization codes. If the parameters and optimization codes are invalid, the system will generate random buy and sell signals. This will cause unsuspecting traders to do nothing more than gamble. Although tested systems exist on the market, potential forex traders should do some research before putting money into one of these approaches.

Other Factors to Consider

Traditionally, many trading systems have been quite costly, up to $5,000 or more. This can be viewed as a scam in itself. No trader should pay more than a few hundred dollars for a proper system today. Be especially careful of system sellers who offer programs at exorbitant prices justified by a guarantee of phenomenal results. Instead, look for legitimate sellers whose systems have been properly tested to potentially earn income.

Another persistent problem is the commingling of funds. Without a record of segregated accounts, individuals cannot track the exact performance of their investments. This makes it easier for retail firms to use an investor’s money to pay exorbitant salaries; buy houses, cars, and planes or just disappear with the funds. Section 4D of the Commodity Futures Modernization Act of 2000 addressed the issue of fund segregation; what occurs in other nations is a separate issue.

An important factor to always consider when choosing a broker or a trading system is to be skeptical of promises or promotional material that guarantees a high level of performance.

Other scams and warning signs exist when brokers won’t allow the withdrawal of monies from investor accounts, or when problems exist within the trading platform. For example, can you enter or exit a trade during volatile market action after an economic announcement? If you can’t withdraw money, warning signs should flash. If the trading platform doesn’t operate to your liquidity expectations, warning signs should flash again.

The Bottom Line

Conduct due diligence on the forex broker you’re considering by going to the Background Affiliation Status Information Center (BASIC), created by the NFA. Many changes have driven out the crooks and the old scams and legitimized the system for the many good firms. However, always be wary of new forex scams; the temptation and allure of huge profits will always bring new and more sophisticated scammers to this market.

Bitcoin Future Review

Bitcoin Future – Scam or is it legit?

We are excited about revealing our experience after testing Bitcoin Future. There has been so much buzz about this particular auto trading robot and now is the time to inform our users if they can go ahead to invest with Bitcoin Future. Yes, you can, from our results, we advise anyone looking for a trusted trading robot to use Bitcoin Future.

The alternatives are many, but it helps to use only the trading platforms that we have tested. My team members include software engineers, experts with analytics tools, and crypto traders. We know what to look for when testing an auto trading robot.

The invention of trading robots came as a wonderful intervention in the cryptocurrency market. The trading robots do all the work, all that is needed to start earning a profit daily is to register an account and make a deposit.

However, there are so many trading robots in the market. It is easy for a trained crypto trader like me to know the best auto trading platforms that can make me rich. But many others out there may not be able to identify the legit platforms. This is why my team and I test the popular auto trading platforms to help the public make better investment decisions that can make them become financially liberated.

Here is the full report of our tests and why we think Bitcoin Future is the best auto trading platform that everyone interested in making money from the cryptocurrency market should use.

How to profit from Bitcoin Future ?

Step 1: Click on the link to visit the official Bitcoin Future website.
Step 2: Fill out the form to receive a FREE trade license.
Step 3: Follow the instructions on the platform to benefit from Bitcoin Future!

Our rating: Bitcoin Future is not a scam
Visit the official Bitcoin Future Website

Bitcoin Future: Our Review

Bitcoin Future is one of the effective auto trading cryptocurrency platforms that can be used to earn a daily passive income. The platform is run by trading robots that detect the best trades for users and automatically place transactions on behalf of the users. Bitcoin Future has become very popular; there are so many positive testimonials of investors who have made so much money on the platform. We needed to find out why the win rate on Bitcoin Future was so high.

What is Bitcoin Future?

It is the simplest trading platform that anyone can use to make money from the cryptocurrency market. Bitcoin Future has been developed by a smart team of cryptocurrency traders and software engineers; it has all the features we expect to find in a trusted auto trading platform. After our tests, we could identify many similarities that make other auto trading platforms such as Bitcoin Trader and Bitcoin Revolution so effective.

We have been able to confirm that Bitcoin Future as a brand is fully licenced, and offers every investor a legit trading platform to make money from trading cryptocurrency.

Can Bitcoin Future be trusted?

The issue of trust arises from the fact that there are so many other fake trading robots that do not fulfil the promises made to users. This is why we test auto trading robots. We have all the information and had a live trading experience with Bitcoin Future; we can confirm that it is not a scam. Bitcoin Future can help a consistent investor become very rich in a few weeks. There are traders already making over $1,000 daily with this auto trading robot.

The investment principle is the same as many other reliable auto trading robots, study how auto trading works and invest. The higher investments yield more profits.

We have used reliable analytics tools, and our extensive experience to test Bitcoin Future, and the trading platform works. Our live trading experience was an amazing exposure to how the trading robots make so much money for the users.

A brief report on our assessment

We easily discovered that many users are making money with Bitcoin Future because the platform has responsive features. It is so easy to register an account and start earning from the cryptocurrency market. Also, the developers have made it easy for everyone to invest, by lowering the minimum deposit required to get started.

First, we tested the user-interface; the design is simple and easy to navigate. We think it is important that every trading platform should be easy to navigate. The smooth experience we had while testing the user-interface will go a long way in encouraging others to complete the registration process and start making money with Bitcoin Future.

Our analytics tests revealed that the win rate on Bitcoin Future is 94%, this means all transactions done by the robots on behalf of users will end with a significant profit. We had a good experience during our first live trade on the system, and we understand why the win rate is so high. The trading robots are excellent; they work very fast and can leverage the best trading signals in the cryptocurrency market to give investors a significant ROI.

We also tested the withdrawal system and customer service. These features worked excellently. The withdrawal system on Bitcoin Future is fast. Withdrawal requests can be processed in less than 24 hours; this is fast compared to many other auto trading platforms.

Below, we have written the steps taken to register our Bitcoin Future account. We needed to open a new account to test the live trading feature.

How to create a Bitcoin Future account

Step 1: Registration

The registration process is easy and can be completed in less than ten minutes. In our case, it took only five minutes because we have more experience. What we noted while opening a new account is that the only requirements needed to get started are a user name, email address, and a phone number. A quick verification is done to ensure the information entered is correct and the new Bitcoin Future account is created.

Step 2: Demo trading

Demo trading is helpful when you need to know how the trading robots work. We tested the demo trading feature and it works excellently. However, people who don’t know much about crypto trading may not find this feature valuable. This is why we do our test to give you results you can understand and help you make better investment decisions.

Step 3: Making a Deposit

Before activating the live trading feature, we needed to make a deposit. This was easy; we saw different payment platforms that can be used by investors. The payment platforms on Bitcoin Future include MasterCard, Visa, Payoneer, Skrill, among others. We think this is a brilliant idea. Adding different payment options makes it easy for users from all over the world to make money with Bitcoin Future. They can find a payment option available in their home country and invest. We decided to invest the minimum deposit of $250; the process was completed in seconds. And we were ready to use the live trade feature.

Step 4: Live Trading

This is another very simple feature to use on Bitcoin Future. To activate live trade, we only needed to click on a tab, and the trading robots were activated.

Our live trading session was eventful because the crypto market was in full swing at that time. We were able to monitor the trading robots and study how they detected the best trades and performed transactions automatically.

It is really easy, we have experience but none of that was needed during the live trade session because the trading robots did all the work.

Important features of Bitcoin Future

Payouts: The payout is calculated based on the profit earned after the robots trade with funds in an investor’s account. We were impressed with the payouts system, the values calculated were accurate. After making a profit, a commission is deducted by the system; this value is removed from the profit only. The investor keeps the balance and initial capital, which are reflected in the account balance. This means Bitcoin Future does not make money if you do not make money. We think this is very fair.

Verification system: The verification process on Bitcoin Future is fast, it is used to ensure that account information provided by an investor is accurate.

Online security protocol: We confirmed that the trading processes and all other communication on Bitcoin Future are encrypted by SSL, which can be trusted. We are happy that the owners of this auto trading platform take online security very seriously.

Customer service: Every user has unlimited access to the customer service team who are available 24/7 to offer assistance when necessary.

Qualified brokers: Each Bitcoin Future account is linked with qualified brokers who ensure that every transaction selected and processed by the auto trading robots are profitable.

How does Bitcoin Future compare with other trading robots?

We did a short analysis to highlight the features that make Bitcoin Future different from other trading robots.

Bitcoin Future

  • Fast registration, this is possible because only relevant information is required.
  • High win rate, on Bitcoin Future, the win rate is 94%.
  • Low minimum investment. The lowest value that can be deposited on the platform is $250, we think this is affordable and it allows more people to start making money with Bitcoin Future.
  • Fast deposits and withdrawals.

Other Trading Robots

  • Lengthy registration processes, too much information, which are mostly irrelevant, are requested before a new account is opened.
  • Lack of transparency it is difficult to study the system to know how fees are calculated. Downtimes, some trading robots become inaccessible for long hours which can make investors lose money.
  • Slow withdrawal process, sometimes it can take weeks until withdrawal requests are processed.

MonumTrade.com Review: 3 Reasons Why Monum Trade is Risky BEWARE

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The .gov means it’s official.
Federal government websites often end in .gov or .mil. Before sharing sensitive information, make sure you’re on a federal government site.

The site is secure.
The https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely.

Much of the binary options market operates through Internet-based trading platforms that are not necessarily complying with applicable U.S. regulatory requirements and may be engaging in illegal activity. Investors should be aware of fraudulent promotion schemes involving binary options and binary options trading platforms.

What is a Binary Option?

A binary option is a type of options contract in which the payout depends entirely on the outcome of a yes/no proposition and typically relates to whether the price of a particular asset will rise above or fall below a specified amount. Once the option is acquired, there is no further decision for the holder to make regarding the exercise of the binary option because binary options exercise automatically. Unlike other types of options, a binary option does not give the holder the right to buy or sell the specified asset. When the binary option expires, the option holder receives either a pre-determined amount of cash or nothing at all.

Investor Complaints Relating To Fraudulent Binary Options Trading Platforms

The SEC has received numerous complaints of fraud associated with websites that offer an opportunity to buy or trade binary options through Internet-based trading platforms. The complaints fall into at least three categories:

  1. Refusal to credit customer accounts or reimburse funds to customers

These complaints typically involve customers who have deposited money into their binary options trading account and who are then encouraged by “brokers” over the telephone to deposit additional funds into the customer account. When customers later attempt to withdraw their original deposit or the return they have been promised, the trading platforms allegedly cancel customers’ withdrawal requests, refuse to credit their accounts, or ignore their telephone calls and emails.

  1. Identity theft

These complaints allege that certain Internet-based binary options trading platforms may be collecting customer information (including copies of customers’ credit cards, passports, and driver’s licenses) for unspecified uses. Do not provide personal data.

  1. Manipulation of software to generate losing trades

These complaints allege that the Internet-based binary options trading platforms manipulate the trading software to distort binary options prices and payouts. For example, when a customer’s trade is “winning,” the countdown to expiration is extended arbitrarily until the trade becomes a loss.

Beware of Overstated Investment Returns for Binary Options

Additionally, some binary options Internet-based trading platforms may overstate the average return on investment by advertising a higher average return on investment than a customer should expect, given the payout structure.

For example, a customer may be asked to pay $50 for a binary option contract that promises a 50% return if the stock price of XYZ company is above $5 per share when the option expires. Assuming a 50/50 chance of winning, the payout structure has been designed in such a way that the expected return on investment is actually negative, resulting in a net loss to the customer. This is because the consequence if the option expires out of the money (approximately a 100% loss) significantly outweighs the payout if the option expires in the money (approximately a 50% gain). In this example, an investor could expect — on average — to lose money.

Always Check the Background of a Firm or Financial Professional

Before investing, check out the background, including registration or license status, of any firm or financial professional you are considering dealing with through the SEC’s Investment Adviser Public Disclosure (IAPD) database, available on Investor.gov, and the National Futures Association Background Affiliation Status Information Center’s BASIC Search. If you cannot verify that they are registered, don’t trade with them, don’t give them any money, and don’t share your personal information with them.

Additional Information

The Office of Investor Education and Advocacy has provided this information as a service to investors. It is neither a legal interpretation nor a statement of SEC policy. If you have questions concerning the meaning or application of a particular law or rule, please consult with an attorney who specializes in securities law.

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    2nd place! Good choice!

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