Forex Brokers To Be Avoided And Scam Forex Brokers

  1. Objectives
  2. Unlicensed Brokers
  3. Why companies became unlicensed forex brokers
  4. Regulated vs Unregulated Broker
  5. How to select the best forex broker in 2022?
  6. Offshore Trading Brokers
  7. Why traders choose unlicensed or Offshore Trading Brokers
  8. Unregulated Forex Brokers List


Objectives: is working mainly to find out most trustworthy and secure forex trading provider and unsafe brokers to stay away from. in this connection to help forex traders to select right brokers in 2022, we conducted extensive research, made comparison among many Forex Brokers, and gone thorough Review of the Most Forex Brokers.

Unlicensed Brokers:

The Forex Market is currently the largest market in the world with enormous potential profits, where investors and traders from all over the world look for safety of their money as well as the most convenient trading platforms.

There are many brokerage house in forex industry, some of which are regulated, it means they have licenses and authorizations from the industry regulator while others are not that these brokers do not have any license from regulator.

Why companies became unlicensed forex brokers:

  1. A Broker may save money on operating costs if they opt not to be regulated because licensing is expensive and necessitates strict capital maintenance.
  2. The company could also be a dishonest broker operating a “Fake Forex Broker” while claiming to provide expert services.

Regulated vs Unregulated Broker:

  • In practical, never recommend Unregulated and offshore Brokers for traders to choose.
  • The entire idea of regulation is the client’s protection, which ensures the safe trading environment and investment itself.
  • As Unregulated or Offshore Broker has no regulation, this means there is a safety gap and these brokers might fall short of money.
  • In addition, the majority of global regulators prevent and restrict offshore or unregulated brokers from accepting the residents.
  • In order to provide secure trading and maintain their licenses, regulated brokers must adhere to a number of rules and standards defined by the recognized international body.
  • Authorities also safeguard their clients through compensation plans that reimburse them for their investments in the event of a company’s bankruptcy.
  • And of course, the regulating authority regularly monitors how precisely the broker provides its services to the clients in order to identify potential problems and take appropriate action.

How to select the best forex broker in 2022? consider trader’s money security is always first in forex trading, thus we’d recommend traders to open an account with regulated brokers only.

  • Regulatory compliance and Fund Safety -For the safety of traders’ money, select a highly regulated broker which obtained license from top class regulatory authority like FCA, ASIC, CFTC, or MAS.Trading conditions
  • Account types
  • Offering for trading strategy
  • Spreads and commission
  • Customer Support and Education resources

Offshore Trading Brokers:

  • Most of the cases, new brokers opt to offer their services through offshore licenses, which brings partition regulation and reduces overall initial costs.
  • However, the offshore regulations and criteria are generally weak and low-quality, providing traders with only weak guarantees and inadequate safety precautions.
  • Before you start trading, we advise examining Broker assertions concerning “regulated” status and confirming licenses.

Therefore, we strongly advise against using any offshore or unlicensed brokers.

Why traders choose unlicensed or Offshore Trading Brokers:

A trader may seek out an offshore or unregulated broker for varous reasons such as:

  1. Access to large leverage (as most regulated brokers prohibit its usage)
  2. The trader’s location in a nation where forex trading is not available
  3. Offshore broker would offer attractive trading conditions

However, we do not advise trading with offshore brokers. Still if trader have intention, we’d suggest to look for broker who holds additional regulations licenses for better trust.

Unregulated Forex Brokers List

Broker Name

License Type

Europe Forex Invest

Offshore License.

Unregulated Forex Brokers List

Broker Name

License Type

Forex Birds

Offshore License.