The Lego Market Forex Review
Despite its many advantages, the Lego Market Forex Review has some concerns. One of these concerns is its high leverage of up to 1: 1000. It is essential to know the company’s truth before making any moves. You should be able to find out the pros and cons of this cryptocurrency exchange before signing up for an account.
Leverage of up to 1: 1000
Using the maximum leverage of 1:1000 on Lego market forex can help you trade significant amounts of money, but it also increases the risk. Traders should know that leverage can destroy their accounts within seconds if not correctly managed. In addition, the company does not offer Negative Balance Protection (NBP), a legal requirement for EU-regulated brokers. If your balance becomes negative, the broker must return it to zero.
You can choose from three types of trading accounts: VIP, Standard, and Pro. Each of these accounts comes with different trading conditions. For example, a VIP account requires a minimum deposit of $10,000, while a Standard account has a minimum deposit of $10. You can leverage up to 1:1000 on forex with any of these accounts. Although it may seem like a large amount, you can still start trading with a small amount and gain a lot of money. Just remember to manage risk and stick to realistic account size.
You can also use the LegoMarket as a leverage-hedging tool. However, remember that it is an offshore broker and does not have the regulatory authority to protect its clients. Therefore, you should continuously diversify your money and invest only with legit forex companies to be safe.
Is it a scam?
The LegoMarket website claims to provide trading services to more than 100 countries. But there is nothing to verify that claim. LegoMarket also claims to be regulated, but there is no evidence to back this up. In addition, the website’s address is made up, which is not a good sign.
If a broker is unlicensed, it’s probably a scam. Traders should always use a licensed broker recognized by an independent regulatory agency like the FCA. This is because an unlicensed broker’s Terms are hidden from you, which means that you could be charged unexpected fees or have problems withdrawing your money.
Another red flag is a high leverage level. Some companies provide up to 1:1000 leverage, which increases your risk. This kind of leverage can wipe out your account within seconds. As a result, you should be very careful while trading with such high leverage levels. Again, you should read the broker’s disclosure document carefully.
It’s essential to be wary of fake companies and scammers. Check for a company’s license with the Securities and Exchange Commission, and ensure they’re registered in the appropriate jurisdiction. The ASIC registration of LegoMarket is not sufficient in due diligence. In addition, LegoMarket is not actively soliciting investment from Australian residents. You should also check if it is registered with the Financial Services Authority in Indonesia and the Securities and Exchange Commission in the US.
Is it a shady broker?
The most obvious warning sign is the lack of legal documents on LegoMarket’s website. The lack of these documents confirms that this broker is unlicensed and may not be safe to trade with. Additionally, the absence of the documents leaves traders without knowledge of essential conditions, including minimum withdrawal requirements, fees, request processing time, and bonuses. The website also lacks phone numbers, contact information, and registration.
Unlike regulated brokers, unregulated forex brokers are riskier. This is because they often offer leverage levels over the amount deemed safe for retail clients by regulators. This makes them unreliable and makes it difficult to cash out your profits. As a result, it’s essential to invest only with a reputable forex broker.
Regulatory details are a vital part of any financial investment company. LegoMarket claims to provide trading services to over 100 countries, but its website only lists a single address: Griffith Suite Corporate Centre, Kingstown, St Vincent, And The Grenadines. That address is wholly made up.