StarFX is a cryptocurrency especially Bitcoin, Binary Options, Forex and CFDs. The main activity the broker is carrying in the markets is trading and mining of the cryptocurrency, trading and exchanging of Forex and options pairs, assets and indices through the use of special computers – miners and algorithms used to solve complex equations.
Starfx‘s mission as they state on their official website, https://www.starfx-global.com/, is to get stable and regular earnings from mining and trading Bitcoin on exchanges, to build harmonious development of projects by attracting new investors and to disseminate information on the possibilities of cryptocurrency.
I reviewed StarFX based on the following criteria.
- 4 account types
- Bonus is offered
- Unregulated broker
- Payment methods are limited
After this short information let’s see what we will learn about this broker;
What are StarFX account types? Is StarFX a scam or reliable? Does StarFX have a license? What kind of deposit/withdrawal methods do they offer?
I will give all answers that you wondering about in this StarFX review.
Regulation and Investor Protection
Regulation and Investor Protection
I’ll keep stressing the importance to have regulations with the brokers you choose to trade with since it n to only provide guidelines for the brokers to follow but also makes the brokers reliable and trustworthy in matters of giving back the profit and making sure your accounts and funds are safe and segregated from their own operational funds.
Having a non-regulated to deal with, means you have absolutely no kind of guarantee whatsoever that your funds are safe and that the broker is a possible scam and you better just run away to a regulated broker instead.
Unfortunately, StarFX doesn’t have any regulations. This means, no guarantees in any way for you as a trader that this broker isn’t a scam and won’t block your profits from you.
They are saying this on their website: ”Starfx is NOT subject to the regulatory oversight that governs other Trading Bulls Ltd entities.”
The presence of a license allows the traders to be secured and to make sure that their accounts are segregated and safe in highly secured banks. In addition, regulatory organizations make sure to provide a high level of audit on the forex and CFDs brokers which also include cryptocurrency traders in order to make sure they’re following the rules and terms that are set to ensure the safety and reliability of the broker and how it acts towards the traders.
Some regulatory organizations force the brokers to have a specific amount of capital to ensure that they can get the license, ASIC in Australia assigns $1M as capital to be available at the broker to be able to get their license, which, by the way, is one of the strictest regulations in the market.
There are some reputable financial watchdogs such as the CySEC in Cyprus, Financial Conduct Authority (FCA) in the UK and the Australian Securities and Investments Commission (ASIC).
With the FCA-backed Financial Services Compensation Scheme for example, in case the broker goes bankrupt, traders can receive back up to 50 000 GBP of their capital. A similar compensation scheme with the CySEC in Cyprus guarantees traders up to 20 000 EUR of their investment.
I always say that when you work with unlicensed forex brokers, remember that you may encounter problems. In order not to encounter such problems, I recommend that you open an account with reputable forex brokers. You can see a list of FCA Regulated and Reputable Forex Brokers on my blog.
StarFX Account Types
There are 4 account types, or Investment Packs as called on Starfx website, which all offer different trading conditions from the others.
These account types include:
The starter pack is 30%: where a minimum deposit of $500 is allowed and a maximum deposit of $5000 is the limit for deposits on this account type. The starter pack allows you to deposit in Bitcoin, BCH, Ethereum, Money Gram, and Western Union. In addition to having 10% as a referral commission.
The Silver pack 40%: a minimum deposit accepted here is $5000.01 and the maximum deposit to have on the account is $10000. You can trade with the same deposit methods as the started pack which are Bitcoin, BCH, Ethereum, Money Gram, and Western Union. A referral commission of 15% is offered which means you get 15% as a commission when you refer a friend or a family member to join the broker’s platform.
The VIP pack 50%: the minimum deposit of this account is $10000.01 and the maximum amount is $20000 where the same deposit channels are allowed and the referral commission here is 20%.
Golden pack 60%: a minimum deposit of $20000.01 is offered which is quite a high amount to trade with, only expert traders and trading professionals might consider such a big amount of a minimum deposit to make. The maximum amount to deposit in this account, however, is $100.000. With such a high minimum deposit, it only makes sense that the referral commission added to this account type is the highest offered which reaches 25%, along with offering the same funding methods as the previously mentioned 3 account types.
Deposit/Withdrawal Methods of StarFX
Starfx has cryptocurrency-centred deposit and withdrawal options, in addition to, of course, different means of funding that include e-wallet options.
The options include bitcoin, of course, Bitcoin cash, Ethereum, MoneyGram and Western Union.
There’s no clear information on Starfx invest about the presence of commissions or whether the funding means are also used for withdrawals. No information is mentioned about the processing time of any of the means. yet in the FAQ section at the broker’s interphase, they mentioned the absence of commissions on transactions and fast processing of deposits. Yet it’s common knowledge that cryptocurrency deposits and withdrawals generally take an instant time frame since crypto is a fast depositing and withdrawal channel.
There’s one type of bonus offered by Starfx invest which is called the Referral system. This allows the traders to gain some level of commission when inviting friends, family or acquaintances to join the platform as the broker and open real accounts. When Tell about your achievements and give your individual link for registration. Your sub-referrals can also bring you a profit of 1% of the deposit amount.
There are 2 levels of this referral system and they are:
Level 1-5%: Your profit from referrals, which you invite by yourself.
Level 2-1%: The profit that will be accrued from sub-referrals – your second-tier partners.
4 account types are offered yet no clear information about extra details, how much is the spread and what’s is the maximum offered leverage? are there any other trading products other than cryptocurrencies? what is the trading platform that Starfx is using and offering to its clients? I think these all are missing information from the broker’s website and that’s why it fell in the poor category on my broker’s list.
Starfx invest mentioned that they deal with cryptocurrencies and forex CFDs yet all the info on the website is lacking majorly and nothing mentions details about forex trading. It’s clear that the broker has entirely changed the activity to only dealing with crypto but the unclean and hazy information given on their website makes it uncomfortable for any trader not able to find the information they seek or not find any details in the first place.
I recommend checking other regulated brokers and trading with them even if you’re only trading crypto, there’re many regulated cryptocurrency brokers in the market with way better terms and information. I don’t think you should be trading with this broker.