Coinsdrom.com Review – Not Content With Just Stealing Your Money
The poor design and childish aesthetics of this website successfully conceal the ulterior motives of its owner. Under the shiny surface, however, lurks a hungry beast.
Find out more about identity misappropriation, cryptocurrency fraud and means to stay protected in our Coinsdrom review.
|Regulated by:||Unlicensed Cryptocurrency Exchange|
|Is This Company Safe?||No, this company is a known fraudulent entity!|
|Have Warnings from:||AMF, FSA, IOSCo|
|Trading Assets:||BTC, ETH|
|Free Demo Account:||No|
|How to Withdraw from This Company?||Seek help from our legal team through the live chat on the bottom of the page.|
Trying To Fake Canadian License
The crypto exchange that appears on the coinsdrom.com website is owned and operated by Clearcrest Inc. UAB. The parent company is legally registered in Lithuania, with a registration number 306094970.
This is where the legality ends, unfortunately. This exchange appears on the blacklists of AMF, CSA and IOSCO, while simultaneously hosting a link to a counterfeit license, allegedly issued by FINTRAC.
The parent company is not clean either, as it operates at least two additional cryptocurrency exchange platforms. These are voltcoins.com which is blacklisted by BSCS and clearcrest.io . In all three instances, the parent company is listed as involved with unlicensed activities.
Although the company registration checks out, we were unable to verify the license status with LB or FCIS. Searching the registers of other prominent regulators, such as BaFIN, CySEC, NFA, AUSTRAC and FINMA returned no results either, meaning that this firm is not regulated anywhere in the world.
The risks of dealing with this firm, or other unlicensed entities like Bitmarket-Trader for instance, include asset loss and/or data misappropriation.
The WhoIs database shows that the coinsdrom.com domain was launched in 2022. Although operating from Lithuania, the website mostly targets these demographics:
The exchange is active on Facebook and Instagram social networks, and features a channel on Youtube. While the company does not have its own LinkedIn page, it appears on the profile of an alleged owner.
All these profiles greatly downplay the risks of cryptocurrency investment, making it seem as though trading crypto is an easy road to riches. Any deposited money goes down the drain with these illicit firms, and recovering any of it requires the work of a professional.
Paid Reviews Entice Investors
In order to cover up their illegal activities, the company uses review seller networks to post fake reviews on TrustPilot. Checking other review sites, like SiteJabber and Reviews.io confirmed our suspicion, as these hold no content about the firm whatsoever.
Noticing these fakes is sometimes difficult, but not with this firm. You see, all comments are posted in batches with only a couple of hours of time difference between them.
Nothing About Fees And Costs
The site is by no means transparent when it comes to fees, commission or any other charges that the client would incur by using their services, with The Terms and Conditions document being opaque as well.
The only cost that is clearly outlined is for a hard-copy of company correspondence to the client, which is €0.3 per page + shipping. Besides this, there is also a past due fee of 1% of account balance for every 60 days the client fails to pay any fee.
When dealing with a cryptocurrency exchange, make sure the applicable costs are clearly displayed for everyone. Regulated exchanges normally charge Maker and Taker fees, as well as transaction, deposit and withdrawal fees.
Hidden Features And Services
It’s impossible to test the actual trading environment without subjecting yourself to a very intrusive KYC procedure. A demo is not available as well, so we weren’t able to verify any of the claims when it comes to the trading features. Not that there’s much to verify either, as the website is full of weasel words instead of actual data.
Unknown Trading Platform
Unfortunately we could not gain access to the trading floor propper, because any Coinsdrom.com login requires clients to be verified. The website makes no advertisements on how their platform works, besides that it only features FIAT to Crypto exchange.
This is yet another hallmark of fraudulent firms like Coinpark. It all boils down to empty promises, and the clients must allocate actual money in order to access the trading floor.
Microscopic Range Of Assets
While the site advertisements mention a few crypt coins including USDT and LTC, the Terms and Conditions explicitly state that only BTC or ETH for FIAT exchange may take place.
This is way worse than anything a regulated exchange would offer. With the current state of the market, many exchanges offer tens of thousands of coins and tokens for purchase, trade, swap and speculation.
Account Parameters Are Omitted
Only one Coindrom.com account type is provided for all clients. Registering is a total pain, however, as the company insists on a very intrusive verification process.
The KYC procedure is divided into 3 ranks, with larger volume orders requiring more strict verification. These are the verification ranks, with minimum order volumes:
- Rank 1 – €200
- Rank 2 – €5,001
- Rank 3 – €75,001
This policy leads us to believe that the Coinsdrom.com scam is oriented towards identity theft first, and financial fraud second.
No Mention Of Withdrawals
While many exchanges that facilitate the sale of crypto assets for FIAT employ direct wallet transfers, there’s nothing denoting this might be the case with Coinsdrom.com withdrawal.
One thing is certain: all payments are final, and there are no refunds. Payments allegedly take some time to process, and the clients are told “Don’t worry! It might take a while.”
It’s clear that whoever runs this one-man company never intended to let their clients withdraw any money. If you need help recovering your assets, you may rely on our chargeback experts.
Customer Service Not Guaranteed
The help desk provided for customer support is not very helpful. It contains an FAQ section that is intended to instill some idea of confidence with clients, while freeing the company from any liability.
If the customer so chooses, they may use a phone landline, email or a contact form on the site. None of these support methods actually work, by the way, as our ticket was never addressed.
Lost Money On Crypto Scam? Get Help Here!
The website contains a lot of evidence that we’re dealing with cryptocurrency investment fraud, combined with an identity theft scheme. Not only is the company unregulated and blacklisted, they use some practices that contradict laws in many jurisdictions.
There are still ways to recover the money lost on this exchange. Gather all the data you can, and get in touch with our legal experts via the live chat on our site.
What is Coinsdrom.com?
It is an unlicensed cryptocurrency exchange that is used as a front for fraudulent activities.
Is Coinsdrom Exchange Regulated?
No, this company is not regulated in any jurisdiction. Multiple regulators have placed it on a black list of companies.
Can I Recover Stolen Crypto?
It is possible to recover stolen cryptocurrencies in some cases. Book a free consultation with our experts for more information.