While NovatechFX may seem like an excellent choice, you should be cautious before signing up with this broker. There are many negative reviews online and in forums, so you should always check your research before you invest your money. While the company claims to have a reputation for quality service and good customer support, this is simply not the case. In order to be safe, it’s recommended to sign up with at least two brokers to be sure that they are legitimate and not a scam.
What is NovatechFX
With extremely low fees and spreads, the NovaTechFX broker is meant to offer the best trading experience in the foreign exchange and cryptocurrency markets. On the home page, there are a few offices listed, but no rules. As a result, we researched NovaTechFX thoroughly and covered every aspect of this business!
Membership Tiers Of NovatechFX
Why Is Regulation Important? – Is NovaTechFX Safe And Regulated?
The first item to think about when thinking about investing is your broker. It suggests that, among other things, you should be knowledgeable of the owner, location, rules, and restrictions. We have to admit that NovaTechFX was a disappointment. The broker is owned by NovaTech LLC from Saint Vincent and the Grenadines, which means it is not authorized because there is no recognized financial body in that country. The company did suggest two additional locations, one in Miami, Florida, and the other in Tallinn, Estonia. However, we were unable to establish a direct connection between the US firm and the offshore entity, and having an office in Estonia means nothing given the reputation of the nation.
Although NovatechFX has been around for nearly three years, it’s still not regulated by the FCA, ASIC, BaFin, CFTC, or any other regulatory agency. This is a red flag, and you should avoid them if possible. While their website claims to be registered with the FCA, ASIC, and CFTC, they are not. That’s not good for investors, and should be a red flag in itself.
Despite having an impressive array of tools to analyze trends, you shouldn’t expect to become a millionaire overnight. The best part of using a PAMM account is that you get profit sharing from institutional trading through a pooled investment fund. NovatechFX’s team of experienced traders invests the money you put into the fund and then shares the profits with you. The benefits are significant – you’ll be able to use their tools to profit from the market with less risk, and you can invest in more than one cryptocurrencies at a time.
When it comes to depositing money, Novatechfx offers six different types of trading accounts. The Builder account requires only $99, while the other 5 trading accounts require deposits of $2,500, $5,000, and $10,000. In addition, you can use cryptos as a form of payment, but beware that they are difficult to trace, so you should avoid this option. You’ll also need to consider the amount of initial capital you’re willing to put into the platform.
As with any new broker, it can be hard to withdraw your funds from a NovaTechFX brokerage. The company has headquarters in Saint Vincent and the Grenadines, which doesn’t have a financial regulator. The SVG financial authority body only regulates pension funds, banks, and insurance companies, not binary options firms. Hence, it’s best to avoid dealing with an unregulated broker. And if you already have an account with a company in another country, you’re better off choosing a different broker.
The only way to avoid this scam is to be aware of the risks of signing up with NovaTechFX. First of all, this company is illegal outside of the Caribbean. Furthermore, they have not registered with a securities regulator outside St Vincent. The company claims that you can earn up to $5,000 per day with only a $99 investment. Then, you should also be aware that the company’s founders have been involved in a previous scam, AWS Mining.