Avaxprotrader is a platform offering trading in forex, cryptocurrencies, and binary options. However, upon investigation, it appears that this platform does not exist as a real company entity. Its website domain, avaxprotrader.com, was registered on July 10, 2023, according to a Whois query.
Company Background
According to publicly available information on its official website, the platform claims to be a subsidiary of Avaxprotrader Plc. Its parent company alleges to have over a century of history and position as one of the largest companies globally. Additionally, the company's developmental history is described on their website as follows:
- 2012: The company was established with a focus on helping investors access markets and achieve financial freedom.
- 2013: Began sponsoring innovative projects and expanded into several private equity funds.
- 2014: Adjusted fund management model, launched private closed-end funds, ensuring professionalism and privacy in fund management.
- 2015: Reformed infrastructure to enhance liquidity, clearing engines, and institutional frameworks, serving the retail market.
- Recent Years: Utilized social media platforms, such as Facebook, to expand business and attract more international investors.
However, despite the platform's claims that its parent company, Avaxprotrader Plc, has over a century of history and is one of the largest companies in the world, no relevant information about this company can be found in the public domain. The platform's official accounts could not be located on mainstream social media platforms like LinkedIn, Facebook, Instagram, Twitter, or YouTube, presenting a stark contradiction to its website’s descriptions.
Core Business
The primary businesses of Avaxprotrader include:
- Providing fund management services for traders;
- Managing short-term and long-term investment projects, with an emphasis on capital security and high returns;
- Operations in multiple countries, claims to have joined the Investor Compensation Fund (ICF) in the USA, with contracted qualification in Europe.
Regulatory Information
The Avaxprotrader website claims that the company is certified by the US government and is fully registered and regulated in the USA, also claiming to have authorization from the UK Financial Conduct Authority (FCA).
However, upon verification:
- A search on the UK Financial Conduct Authority (FCA) website found no records of Avaxprotrader's regulatory authorization;
- Similarly, no relevant regulatory information was found on the US Securities and Exchange Commission (SEC) website.
This means the platform has not been approved and supervised by official regulatory bodies, and its claimed regulatory information lacks authenticity.
Investment Plans
Avaxprotrader offers five investment plans, detailed as follows:
Starter Plan ($500+)
- Expected Return on Investment (ROI): 20%
- MoneyBack Guarantee
- 24/7 Customer Support
- Trading Commission: 10%
Master Plus Plan ($1,000+)
- Expected ROI: 40% - 50%
- MoneyBack Guarantee
- 24/7 Customer Support
- Trading Commission: 10%
Premium Plan ($5,000+)
- Expected ROI: 50% - 60%
- MoneyBack Guarantee
- 24/7 Customer Support
- Trading Commission: 10%
Ultimate Plan ($10,000+)
- Expected ROI: 60% - 70%
- MoneyBack Guarantee
- 24/7 Customer Support
- Trading Commission: 10%
Corporate Plan ($100,000+)
- Expected ROI: 70% - 80%
- MoneyBack Guarantee
- 24/7 Customer Support
- Trading Commission: 10%
These investment plans promise extremely high returns along with a money-back guarantee, yet do not elaborate on the source and operation of funds.
Potential Risk Analysis
The investment plans of Avaxprotrader present several potential risks, with characteristics similar to a Ponzi Scheme, primarily evident in the following areas:
1. High Fixed Returns
The investment plans offered by the platform promise high fixed returns, such as the Starter Plan (20% ROI) and the Master Plus Plan (40%-50% ROI). However, in a normal financial market, the returns on investment products typically fluctuate with market conditions and cannot guarantee such high fixed returns. Therefore, these high-yield promises carry significant risks.
2. Lack of Transparency Regarding Funds
The platform does not disclose how such high returns are achieved. Legitimate investment institutions usually make their investment strategies public (such as stocks, bonds, real estate), yet Avaxprotrader does not mention any specific fund operation model, increasing the risk of a broken funding chain.
3. Feasibility of MoneyBack Guarantee Is Questionable
Avaxprotrader promises a "MoneyBack Guarantee," but in legitimate financial investments, there is seldom an unconditional refund promise. Market investments are inherently risky, and the refund guarantee may only be a lure for investors; once the platform's funding chain breaks, the refund promise would be difficult to fulfill.
4. Unverifiable Regulatory Information
The platform claims to be regulated by the FCA and SEC, yet searches on those regulatory bodies' websites found no authorization records for Avaxprotrader. Investment platforms lacking formal regulation often entail higher compliance risks.
5. High Investment Minimums
The platform's investment plans encourage high capital investments, with the Corporate Plan's minimum investment amount reaching $100,000, promising returns as high as 70%-80%. This model is characteristic of Ponzi schemes, which typically use high returns to attract more investments to extend the life of the funding chain.
6. Omission of Market Risk
Legitimate financial investments usually state market risks, such as the potential for losses due to market fluctuations. However, Avaxprotrader's investment plans do not mention market risks at all, suggesting the platform attempts to create a "guaranteed gain" illusion, thus increasing investor risk.
Deposit and Withdrawal Methods
Avaxprotrader supports multiple deposit methods, including bank wire, PayPal, Neteller, Skrill, MoneyGram, MasterCard, Bitcoin, Western Union, and Perfectmoney.
Withdrawal Methods:
- Submit withdrawal request through account or contact account manager
- Relevant documents required for verification
- Funds are transferred once the finance department processes the withdrawal request
Payment Timing:
- Payments are made monthly, accumulated funds are transferred to the account at the end of the month
- Minimum withdrawal balance requirement: $70
Company Address and Personnel
The company's official addresses are listed as:
- 1000 Main St 12th floor, Houston, TX 77002, USA
- 430 Park Ave, New York, NY 10022, United States
However, given the information provided above, the authenticity of these addresses is questionable. Additionally, the platform's website does not disclose any company member information, and no personnel information for the company can be found in the public domain.
Website Traffic and Template
According to Semrush data, avaxprotrader.com has an average monthly visit of less than 100, with very few users. Furthermore, the website's design template is identical to those of several known scam platforms (such as Metatradesltd, Liveprosmart, Tradnixoptions), indicating that it may belong to a batch-produced site.
User Reviews and Brand Exposure
There are no user reviews available on the internet concerning Avaxprotrader, and ScamAdviser has listed it as a high-risk scam platform. Besides, there have been no news reports about this platform.
Contact Information and Social Media
The contact information provided by Avaxprotrader includes:
- Phone: +44 7852 961891
- Email: [email protected]
However, the platform has no official accounts on mainstream social media platforms.
Conclusion
The platform's background, investment plans, and regulatory information all present numerous uncertainties. Despite promising high returns, Avaxprotrader fails to disclose funding operations adequately, and its regulatory claims cannot be verified, presenting a high risk. Investors should remain cautious and avoid financial losses when considering such platforms.
