The Financial Sector Conduct Authority (FSCA), South Africa’s financial regulator, has issued a public warning against Monet Moves Forex Trading and Prophet Moral Monareng, in which it exposes both supposed online brokers as scams.
If you have already invested money in a scam broker or have complaints against a broker which you suspect to be a scam, read our forex broker complaints section, which will give you a step-by-step guide on what you can do to fight back.
Also make sure to check out our list of the top forex and crypto brokers for your country.
Money Moves Forex Trading and Prophet Moral Monareng have been promoting their services through social media, claiming to be legitimate forex trading brokers under the financial services provider (FSP) number 48809. In addition, they are claiming to be associated with Lebone Risk Solutions.
The FSCA, on the other hand, has exposed both companies as trading scams that are falsely claiming to be legitimate online trading brokers. Specifically, Money Moves Forex Trading and Prophet Moral Monareng have no association with Lebone Risk Solutions and neither of the companies have been authorized to provide any financial services or advice based on the terms of the Financial Advisory and Intermediary Services (Fais) act.
In addition to this official warning, the FSCA also shared information on the prosecution of two con artists – David Wilmot (Nava Shore Holdings) and Jabulani Ngcobo – who were posing as legitimate forex traders in a separate scam.
As the online trading world gains popularity, unfortunately forex trading scams have become increasingly common. Financial regulators like the FSCA, the Financial Conduct Authority (FCA), the Financial Services and Markets Authority (FSMA) or the Cyprus Securities and Exchange Commission (CySEC) continue to release public warnings like this one to expose such trading scams and warn potential victims to stay away.
To find out which other scams to avoid, scroll through our forex trading news section and keep an eye out for future posts.
How Can I Tell That a Forex or Crypto Broker is Legit?
Keeping an eye out for posts on which companies to avoid may be simple enough, but in no way does it mean that all other brokers out there are trustworthy. Warnings are usually released when it comes to the most extreme cases, but scams can be hiding in places that you may never have suspected.
So, if you don’t see a FSCA warning against a company, how can you tell that broker is legitimate?
It really comes down to 2 main questions:
1: Is this broker regulated and licensed by a recognised and legitimate financial regulator?
If a broker is regulated, all this information will be available on their official website. Check out under which agency they are regulated, as well as their official license number.
2: Is the website and company transparent?
Vague websites with no real information are immediate red flags. Always make sure that the company is fully transparent with its customers about their services and they offer plenty of information on their official website.
Lucky for you, we have created an official list of the top regulated brokers you can trust.
Looking for the one and only? Then you can always trust IQ Option – the best regulated broker with a minimum deposit of only $10 and a free $10,000 demo account for you to practice.