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CXM Direct‘s Malay office Busted. Doo Prime Got Boycotted

01-31

Doo Prime's Malaysia office boycotted by customers with banners. No response yet. CXM Direct office raided, 1 customer detained.

Malaysia, as a so-called "safe haven" that forex brokers talk about, has been quite favored in recent years, especially by brokers from regions with stricter regulation, who for various reasons choose to move their offices away from their original locations to Malaysia.

But is Malaysia really the "safe haven" they expect it to be? Perhaps it is, but being a safe haven does not mean it can always shelter them from trouble. As an independent sovereign nation, Malaysia has its own laws and regulatory authorities. Recently, there have been two pieces of news circulating in the Malaysian brokerage community that may bring setbacks to those brokers who expect to hide from the storm in Malaysia.

Recently, it has been rumored that Doo Prime experienced "offline rights protection," where two investors chose to go to the offline address of this platform and unfurl banners, in a rather moderate way, to try to protect their rights.

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It is evident that these two people are relatively calm, and the content of the banners focuses mainly on warming new users, exposing scam platforms, saying that Doo Prime is a scam platform, withdrawals cannot be made normally, and they want to expose this platform to remind everyone not to fall into its trap.

According to information publicly available on Doo Prime's official website, the platform indeed has a branch in Malaysia, and the office location is public. The official website lists twelve specific branch addresses and their registration and regulatory information, all of which can be found, except for the Malaysian branch, for which the registration and regulatory information cannot be found on the official website.

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The subsequent situation of these two investors is still unknown; hopefully, the issue can be properly resolved, and other investors will not encounter similar problems. Investors should be cautious when choosing a platform.

Coincidentally, another platform located in Malaysia also recently encountered trouble: CXM Direct. The situation with CXM is even more severe: rumors have it that CXM Direct's office in Malaysia was raided last Saturday, and not only were the staff in the office taken away, but also a customer who happened to be in the office was also taken away.

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The reliability of this rumor is debatable because there is more important content that needs our attention: The registration and regulation of the CXM Direct platform are qualified, and the correct results can be found on the corresponding websites. At first glance, it appears to be a reliable choice, but there is a trap hidden within:

The UK FCA official website indicates that CXM Prime Ltd is authorized to deal in specific activity and product types. This entity is not to recommend investment services to entities outside the European Economic Area; not to engage in any regulated activity with anyone who may be classified as a retail client or an elective professional client; not to sell, distribute, or market crypto-asset derivatives; and although it can control, it must not hold client funds. In other words, CXM Prime Ltd can only provide services to institutional clients within Europe, and cannot serve clients outside Europe and retail clients.

Such details are hard for most investors to notice, but they are potentially fatal.

Moreover, there is a flaw in the company's domain as well; the registered website listed in the regulatory registration information is not the commonly used https://www.cxmdirect.com/, but https://www.cxmprime.co.uk, which means the commonly used website also poses risks.

For investors accustomed to online investing, choosing a safe and reliable platform is of utmost importance. Consideration of regulation, registration, service, and transparency of information is essential. Only after careful comparison, serious verification, and considering various factors can one ultimately choose an online platform for investment.

Even after taking so many steps, there still remains a significant risk. Be it an outright scam or finding various excuses to deduct money and prevent withdrawals, for investors, it is a desperate situation, since due to the internet, you don't even know who took your money. Therefore, some investors can only choose to strike back offline, directly going to the registered and office addresses of the company.

This kind of "offline confrontation" undoubtedly comes with high costs. First, finding the correct address is enough to confuse most investors; then, one needs to be familiar with local laws and regulations to ensure legal rights protection; and finally, a bit of luck is needed, as only a few fortunate ones can effectively safeguard their interests.

Risk Warning and Disclaimer

The market carries risks, and investment should be cautious. This article does not constitute personal investment advice and has not taken into account individual users' specific investment goals, financial situations, or needs. Users should consider whether any opinions, viewpoints, or conclusions in this article are suitable for their particular circumstances. Investing based on this is at one's own responsibility.

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Contract for Difference (CFD)

Contract for Difference (CFD) refers to a financial derivative in which investors and counterparties engage in speculative or hedging transactions by exchanging the price difference of a commodity. Importantly, this occurs without the need to physically own or trade the underlying asset.

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