CoinShield Limited – Are They Legit?

Website URL: https://coinshieldltd.com

Founded: 2020

Regulations: Unregulated

Languages: English, All Google Translate Languages

Deposit Methods: Crypto Payments

Minimum Deposit: $2,000

Free Demo Account: N/A

Number of Assets: 1000+

Types of Assets: Forex, CFDs on Cryptos, Commodities, Indices, Stocks

Trading Accounts and Conditions

CoinShield Limited offers you the following trading accounts:

• Basic: You need to make an initial deposit of at least $2,000 to be able to trade on this account.
• Platinum: For this account type, the minimum deposit you need to make is $6,000.
• Gold: For you to trade on this account, you need to first deposit at least $15,000.
• Diamond: To trade on the Diamond account, the minimum deposit you are required to make is $500,000.

The maximum leverage offered on all types of accounts is 1:200, however, the broker has not given any other information on its trading conditions. So, we do not know what the spreads, rollovers or commission fees charged by CoinShield Limited are.

CoinShield Limited – Advantages

There are no advantages you will get from trading with this broker.

CoinShield Limited – Disadvantages

Here is a list of all the reasons why it will be extremely disadvantageous for any trader to do business with CoinShield Limited:

• Lies About Being Regulated by the FCA

CoinShield Limited claims that they are registered in and based out of the UK, and that they are regulated by the country’s financial regulator, the FCA (Financial Conduct Authority).

It is easy to verify this claim; all you need to do is check the FCA’s online register. If a broker is regulated by the FCA, their name will be listed there. However, when we checked the watchdog’s register, we did not find CoinShield Limited’s name listed there.

This means that this broker has lied about its regulatory standing and that it is offering its financial services without the proper authorization.

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• Warning Against Broker Issued by FCA

We aren’t the only ones to notice that this broker has been offering their services illegally. The FCA has issued a regulatory warning against CoinShield Limited for exactly this reason.

The regulator, in its warning, clearly states that this broker has been offering its financial services without their authorization, and that all traders should be careful when dealing with this broker, and should also know how to protect themselves from scammers.

• Anonymous Broker

While CoinShield Limited has made false claims about its regulation status, the truth is that this is an anonymous broker. We do not know the name of the company that runs this brokerage, or even where it is located. All we have by way of corporate information is a P.O. Box address, which means absolutely nothing.

Dealing with an anonymous and unauthorized broker is bad enough, but this broker has also lied outright about something as critical as its legal status.

• Offering Managed Accounts and Massive Profits

CoinShield Limited offers to manage your trading account for you and promises that you will make massive profits if you allow them to do so.

There are two things very wrong with this promise.

First, CoinShield Limited is a forex and CFD broker, which means that they are market makers, that is, they profit from your losses. When you lose money on the market, they gain. So, if a market maker offers to manage your account for you, it becomes a conflict of interest, since their interests are in direct conflict with yours.

Second, when you trade on the forex market, there is no such thing as a guaranteed profit. The reality is that most forex traders lose more than they make on the market. And regulated brokers are required to publish the percentage of their clients that have lose money on this market. That number ranges from 70% to as high as 85%.

So, CoinShield Limited’s promise that their proprietary trading bots can generate weekly and monthly profits for you is just another lie to trap unwary traders.

• Unfair Withdrawal Conditions and Fees

CoinShield Limited has some very unfair conditions for withdrawal.

The first condition for withdrawal is that you need to have traded your deposit at least 20 times. If you have not, then you will not be allowed to withdraw your money.

The second condition is that you will need to wait at least 7 working days for your withdrawal request to be processed.

Both these conditions are ridiculous. No legitimate broker would ever stop you from withdrawing your own money from your trading account. And with all the technology available today, most brokers take just 24 hours to process withdrawal requests.

• No Real Trading Platform

The key reason why traders choose a particular broker is the trading platform offered by them. Well, we registered with CoinShield Limited to check out their trading platform and also to verify the trading conditions, however, we were very disappointed with what we found.

There is no trading platform; what you get is a strange-looking dashboard that displays charts imported from TradingView, an independent provider of live market data.

Most brokers offer their clients the MT4 trading platform, which has a plethora of features to help with trading – market indicators, trading bots, and charting tools, to name a few.

• Only Crypto Payments Accepted

Another big red flag is that this broker allows you to make payments via cryptocurrencies. Most scammers prefer to use crypto payments because they are virtually anonymous and irreversible, which means that once they have your money, there is no way you will ever be able to get it back.

• High Minimum Deposit

The minimum deposit requirement for CoinShield Limited is $2,000 is which more than 10 times higher than the market average.

Conclusion 

Everything about CoinShield Limited indicates that this broker is not legit but a scammer. We would recommend that you avoid this broker completely.

CoinShield Limited

2.7

User Experience

3.5/10

Payment Options

2.6/10

Security

2.5/10

Support

2.4/10

Reputation

2.5/10

Pros

• None

Cons

• Lies About Being Regulated by the FCA
• Warning Against Broker Issued by FCA
• Offering Managed Accounts and Massive Profits
• No Real Trading Platform
• Only Crypto Payments Accepted