OspreyFX review – regulations, features and possibility of OspreyFX scam
It is extremely hard for the new brokerages to establish themselves as a trustworthy broker. Today, there are so many scam brokerages opening here and there, the traders look with suspicion at every new one. One of such brokers is OspreyFX – Electronic Communications Network broker. It was established in 2019 and yet does not have any OspreyFX reviews or opinions. the broker is registered in Saint Vincent and the Grenadines and is not regulated yet. As the broker claims, it takes some time to get a license so probably OspreyFX is working on getting the license from FSASVG). However, the broker is already offering its services to pretty much whole world. Besides currency pairs, it offers cryptocurrency and CFD’s trading with a maximum leverage of 1:500.
Can OspreyFX be trusted?
The main question that this OspreyFX review must answer is if the broker can be trusted or not. It does not matter how good the offerings of the broker might look if it is a scam. Osprey FX is operated by Osprey Ltd that is registered in Saint Vincent and the Grenadines. When we’ve done our research to answer the question, is OspreyFX regulated, we’ve found out that the broker does not have regulation, probably because it is was recently established in 2019. The broker does not say when it was established, but all the content on the website was uploaded in March of this year. However, if the broker gets the license it will not make much of a difference, here’s why. The Financial Authority of Saint Vincent and the Grenadines (FSASVG) is not one of the most reputable regulatory bodies. There are many of the scam brokers registered offshore with such financial regulators. If you are a trader from any other country and lose the money due to the wrongdoing of the broker you will not have any possibility to reimburse your money in any way. All you can do is to fly to Saint Vincent and the Grenadines and complain with the regulator. Osprey Forex fraud is possible and dangerous because of this reason, and not only. The broker is offering authorized services to the people without having any right to do so. There are only a couple of countries from which the broker does not accept the traders, for example, Iraq, Iran, North Korea, Japan, Somalia, Sudan, Zimbabwe and etc. The platform is open for the residents of the United States, the European Union, Australia, and other countries where the local regulators would declare Osprey FX scam real right away. based on this information only, we can assume that the broker cannot really be considered a trustworthy one.
OspreyFX scam can be real
One of the most disturbing things with OspreyFX Forex broker is that it does not take any of the responsibilities on the losses that the customers might face due to the broker. The information is given in risk disclosure document – a paper that is hardly read by any trader, unfortunately. The broker states that even if the technical problem will be occurred by the company’s side all the risks are still on the trader. For example, if there will be any technical problem with the hardware or software of the company and the platform will fail to execute the orders as instructed by the trader, or if it will not execute them at all and the trader will lose money it is a trader’s responsibility. The same is if there will be a malfunction or misuse of the platform. It does sound disturbing, first of all, not many traders will be aware of it, secondly, this statement gives a wide loop to the broker for wrongdoing. There are some more disturbing statements that you can check in the picture below. Overall the risk disclosure showcases that OspreyFX fraud is very real.
In the processing of making this Osprey FX review, the regulatory background and policies of the broker made us very suspicious about the company. Now let us see what are the features of the broker. OspreyFX offers trading currency pairs, cryptocurrencies and CFD’s on different trading assets such as stocks or commodities. There is only one account available for the traders – ECN account. It promises as low spreads but the information about spreads is not available. It is possible that the broker showcases low spread to raise the OspreyFX rating up, and the reality might be different. The minimum and maximum lots that can be traded is 0.1 and 100o lots respectively and there is 7 USD commission on per lot traded.
OspreyFX withdrawal fee and more
The broker is not very diverse with the payment methods as well, one can use a debit/credit card, wire transfer or make Bitcoin payments. The commissions and fees vary based on the payment method one is using. For example, for credit and debit card users minimum deposit is 10 USD, for the users of wire transfer, it is 100 USD plus 25 USD depositing fee. OspreyFX withdrawal fees are very unclear. As the broker claims there is no fee when you want to withdraw your funds back. But when you want to withdraw profits there is a commission, however, it states commission is zero for the debit/credit card, is 25 USD for wire transfer and can be 0-20 USD for other payment methods. There is not indicated what these payment methods can be. There is also an additional comment that there might be other charges based on the payment methods, but again, there is no clear information about it. It formes the OxpreyFX opinion that the broker has not designed the payment methods well, or it leaves the space for itself to charge additional money. Another problem is that the withdrawal takes a lot of time. As Osprey FX indicates the withdrawal requests are processed in one or two business days but it takes 3-6 business days to withdraw the money. It is a matter for concern for every trader, none of them wants to wait this long for cashing the money out when the other brokers are providing one-day withdrawal possibility.
Is OspreyFX legit?
As we can deduce from our Osprey broker review, this brokerage is nowhere near to the legit company. It is registered offshore and is not regulated. However, this does not stop the broker to provide unauthorized services pretty much around the world. It does not comply with any regulatory bodies in the world except local regulators that give licenses without any problem. The OspreyFX scam seems to be real since there are a lot of uncertainties with the brokerage and the service it is offering to traders. Summing up, it is one of the brokers you can use as an example of the brokerages you should never trade with.