Money markets are like the Amazon jungle, full of traps and scams. As the end of the year approaches, there are a large number of criminals running for the "year-end bonus", inexperienced investors are likely to be deliberately targeted by unregulated and deceptive brokers, as well as other so-called industry professionals, please be vigilant and keep your money in your pocket!

Although the trading scam continues to put on a new "coat", but the root cause is nothing more than that. Understanding the four most common trading scams below can help you gain a little more sanity and judgment in the chaotic market, and see what you can do!

1. Fake broker scam

There are many kinds of fake brokers, and they generally promise investors high profits, guaranteed returns, zero spreads, etc., in order to induce investors to make large deposits.

Type 1: they have a regulatory license in one country and falsely claim to have a regulatory license in another country (usually falsely claim to have a higher credibility regulator);

The second type: fake regulatory license, which may come from some offshore island country, or from an entity that does not exist, usually these platforms are most likely to be specialized in fraud companies;

The third kind: brokers with formal supervision of the set of cards, cloning the website of the formal supervision broker, posing as its business activities.

Type 4: The platform is compliant to a certain extent, but does not necessarily have full authorization (for example, the UK FCA license has a distinction between full and limited authorization), is not necessarily able to carry out trading business (for example, the Hong Kong SFC license has multiple classifications of financial services activities), or does not necessarily hold a license (for example, having a New Zealand FSPR number does not mean that it is authorized by the FMA).

The fifth: unregulated platform, this kind of platform brave to do themselves, no monetary supervision, open trading business.

It is always necessary to be vigilant and conduct a thorough investigation before handing over funds to any party. Fake traders, even if they are genuine, have loopholes, which can be discovered by checking a few websites with a little attention. You can up to the website of the regulators query, or a little bit more simple, more directly to FX110 net monetary regulatory query query (https://jianguan.fx110.com/), or directly in the center of the human rights issue consulting (https://weiquan.fx110.com/), A professional will check for you for free.

Second, Ponzi scheme

"Ponzi scheme" is very common in the investment field, in recent years, the "Ponzi scheme" continues to mutate, but change the soup does not change the medicine, are traps!

Generally, this kind of trading scam is also under the guise of helping you trade, but it does not require you to operate, and promises "capital preservation profit" and "super high yield", investors need to do is just to put money in, and then you can enjoy 10% to 30% of the monthly income. If a trusted relative or friend introduced you to a "high-yield" investment, would you be excited if you could help your relative or friend make a profit at the same time? Or is it "warm hospitality"?

The flow of funds in a Ponzi scheme is actually "robbing Peter to pay Paul." Only by constantly pulling new people in can the plate have the funds to let the old people get benefits. Therefore, it will encourage new people with high rewards and high dividends, and under the pressure of interests, every person involved will spontaneously become a salesman of the capital plate and go crazy to develop the offline. Once there are no new traders involved, the entire capital chain is facing a crash, when the platform runs away, it is difficult to trace back to the top of the capital chain, and the cheated funds are basically hopeless to recover.

The "Ponzi scheme" has many loopholes, but many investors are blinded by the "high yield" and cannot see the facts. What we need to do is not to listen to any "guaranteed profit", "guaranteed profit of more than 6%" goods. Unless it is a bank deposit, what kind of investment can use the word "guarantee"? The use of the word "guarantee" is probably illegal. Remember: a regular broker will not give you the "peace of mind" that guarantees a return, nor will he pull you down and give you a bonus.

3. Call out scam

For the "call single", many investors may not be unfamiliar, it mainly relies on QQ groups, wechat groups, as well as live broadcast software, chat rooms as communication and marketing tools, there are some so-called analysts in the "professional guidance", brainwashing propaganda for investors.

1, the call of the gambling platform

The trader's platform belongs to the gambling platform, the customer's order is digested internally, there is no docking with the international market, the loss of money is left to the platform, only you lose money they have to earn, to arrange for your teacher guidance is just to guide you to better losses.

The person who calls the order will generally charge a certain fee, in order to prevent you from making frequent transactions. Their call order is the same as the spot call order, it is said that a list goes in and has been carrying the point difference is low, the cost is small, and you carry the single until the warehouse bursts.

2, "fishing investment group" call order

Every year, FX110 network will receive a lot of exposure posts of this investment group "call out" being cheated, and the victims emerge in endlessly. The basic routine is that investors are somehow pulled into a group, where there are staff members of an investment company, who are called teachers or great gods, and every word will attract the praise of other members, which seems to be really strong. They post daily screenshots of various investment returns, brag about how easy it is to trade for riches, and encourage members of the group to open accounts.

In fact, the operating data of the entire platform are fake, all profits and losses are also artificially controlled, and your ups and downs are naturally. I'll give you a little sweetener, and then I'll let you double down until the last drop of your blood is drained. If you don't want to play halfway and are ready to withdraw money, you will often be rejected under various excuses, until finally, the teacher disappears, the group will disappear, you are blocked and kicked out, and then the account is blocked.

We must be clear: there are no traders on the formal financial platform, which only provides trading platforms for investors, so it will not give investors orders. For the call in the investment group, we should keep rational, do not follow orders impulsively, or even be led by the nose, and always have their own judgment. If you don't have your own judgment, then you're not fit to invest. You know, an investment group, in addition to you and the single teacher, the other may be Tuo or just robots.

Four, automated trading system fraud

With the prevalence of automated systems, the scams that rely on automated trading systems are constantly emerging.

The automatic trading system was originally a script written by some fund company operators to detect whether their strategy model can achieve a good performance over a long period of time, which is the simplest kind of program design. But it was blown by these crooks, what guaranteed profit, win rate as high as 99%, etc., and even took pains to show you the brilliant performance of the past. Such a "magic" automated trading system, the price is not expensive, and even can be provided for free use, it is difficult to heaven really will fall pie?

If an automated trading system promises that it will not lose 100 percent, it is an obvious warning signal. And as a wise man once said, if you find a money-making secret, how can you share it with others? In addition, choose EA, be sure to go to the regular platform to choose, and be clear: EA is not omnipotent, do not over-rely!

All changes remain the same! In fact, no matter what kind of scam, itself is not complicated, and there are many loopholes, as long as you can resist the temptation of high profits, more attention and more verification can be found. Usually do a good person, pay more attention to some professional websites that expose black platforms, your judgment and immunity will also be greatly improved!