GStockLegal Review – The Risks of Dealing With An Unlicensed Broker
Sometimes, brokers aren’t what they present themselves to be. So, the content on their websites should be taken with a grain of salt.
What exactly about this suspicious provider put us on alert and made us raise our eyebrows? Find out in the GStockLegal Review.
|Broker status:||Unregulated Broker|
|Regulated by:||Unlicensed Scam Brokerage|
|Blacklisted as a Scam by:||FSMA, AFM|
|Headquarters Country:||UK (allegedly)|
|Minimum Deposit:||250 USD|
|Cryptocurrencies:||Yes – ETH, DSH, XPR…|
|Types of Assets:||Forex, Commodities, Shares, Indices, Crypto|
|Free Demo Account:||Unavailable|
|Accepts US clients:||Yes|
GStockLegal Is Not a Licensed Scam Broker? – The Truth About Regulation
GStockLegal, an unknown and anonymous online entity, is not really what you would call a reliable broker. Actually, it’s an investment scam.
Despite the financial swindler’s claims of being regulated by the Australian ASIC and Maltese MFSA, the truth eventually came out – GStockLegal is an unlicensed provider. The two regulators have no such broker in their databases.
GStockLegal is not a UK-based broker as it doesn’t have a license. Furthermore, there are warnings issued against this cyber fraudster that targets traders from the Netherlands, Belgium, Sweden and Denmark.
Arguments For Trading With a Licensed Broker
As mentioned, GStockLegal is not regulated by ASIC or the MFSA. The UK’s FCA also didn’t issue a license to the phony.
That makes this broker dangerous because it isn’t required to possess a high minimum operating capital (730,000 GBP/EUR). Furthermore, clients aren’t guaranteed negative balance protection, segregated funds and leverage restriction (1:30).
Warnings From Financial Regulators
It seems that our suspicions had reasonable grounds. We weren’t the only ones that thought this was a fake brokerage.
GStockLegal Software’s – How Safe Is The Platform?
GStockLegal claims to offer WebTrader, a browser-based platform that’s pretty lackluster and cheap-looking. It may be suitable for beginners but even they ought to outgrow it quickly.
Given the con artist’s illicit status, we have reason to believe that the platform is rigged. By that, we mean that all the trading aspects and profits you see on the screen are fake. You’re not really profiting but you are depositing money, straight into the scammer’s pocket.
What Financial Instruments Does GStockLegal Include?
According to the financial tricker’s website, there’s a wide variety of trading instruments available:
- Forex pairs – EUR/USD, GBP/JPY, NZD/AUD…
- Indices – IBEX35, DOW30, NASDAQ100…
- Shares – Bayer, Tesla, Apple…
- Commodities – silver, copper, crude oil…
- Cryptocurrencies – BTC, ETH, XPR…
That all seems tempting. However, you must remember that GStockLegal is not regulated. Hence, safe trading is uncertain and that comes before instruments in terms of importance.
Areas of GStockLegal’s Scam
We took it upon ourselves to discover where this fraudster implements its vile scam. So, we managed to make a list of countries:
- The Netherlands.
Luckily, two regulators from the list issued warnings against GStockLegal and we hope the rest will too. It’s up to us to pressure them to react.
GStockLegal And The Types Of Accounts Offered
Here’s an overview of the account types that GStockLegal offers:
- Opti Trade – minimum deposit of 250 $, leverage 1:100;
- Standard Trade – 500 $, leverage 1:200, crypto trading;
- Maxi Trade – 1,000 $, leverage 1:500, deposit insurance;
Scammers typically include high prices for each account type. That’s because they intend to embezzle the minimum deposit and vanish. On to the next victim, rinse & repeat.
As for the leverage, it caps way beyond the legal limit of 1:30 for retail clients. Such high levels, as offered by GStockLegal, are simply too risky.
Spreads are supposed to be 0.8 pips for the EUR/USD pair but that’s not the case on the platform and the commissions are unknown to us.
GStockLegal Offers a Free Demo Account?
We’re afraid not. GStockLegal decided not to do what every other legitimate broker did, i. e. include a free demo account. Thus, we were unable to test things out.
That way, the scammer prevents traders from having a trial performance and forces them to invest from the start.
GStockLegal’s Deposit and Withdrawal Policies
The minimum deposit is 250 $. However, the minimum withdrawal amount was not disclosed, which gives the scammer unjustified freedom to set the bar very high for each trader.
The funding methods include just credit/debit cards and wire transfers. In case traders decide to withdraw funds via the former method, they have to wait 15-30 days depending on whether they have made any profits or not.
Per reviews and complaints from unfortunate victims of this foul scheme, the scam broker charged them hidden fees during this “legality check” period.
GStockLegal Scammed You? – Please Tell Us Your Story
That’s pretty awful. But, don’t despair dear trader, we got your back. Bear with us for just a little more to read about the potential refund methods, i. e. a chargeback and a recall.
If you need any additional information and/or assistance, be sure to contact us, book a consultation and see what the next step is. Also, you can help us prevent this scam from manifesting further.
What Is the Chargeback Procedure?
- Credit/debit card transactions can be reversed via chargeback.
- This process can be requested at the issuing bank within 540 days.
- Wire transfers can be reversed via recall.
- A recall is only possible if the transaction hasn’t yet been completed.
If you need help with chargebacks, book a free consultation with our chargeback specialists who will help you to regain your money.
What Is GStockLegal?
An anonymous scam broker that lurks online while lying about operating in the UK.
Is GStockLegal a Scam Broker?
Without a doubt. There are two warnings from very reputable regulators against GStockLegal and its scheme.
Is GStockLegal Available in the United States or the UK?
Yes. The phony broker accepts clients from both the United Kingdom and the United States.
Does GStockLegal Offer a Demo Account?
No. There’s no free demo account or trial account available on the website.