GisCapital – Are They a Scam?
Stop! It’s a Scam! Your money is not safe if you are trading with this unregulated, off-shore broker.
GisCapital - DO NOT TRADE WITH THIS PROVIDER
2.5/10
$100
Minimum Depositupdated 2022
The details for opening trading accounts are not indicated on the broker’s website. In order to register with this broker, you only need to go to their sign-up page where you’ll be asked to enter your name, email address, phone number, and password. You’ll also be asked to accept their Terms and Conditions and confirm that you’re over 18 years of age. After this, the trading platform will be made available for you and you can start trading using their demo account.
Try these regulated brokers if you want to start trading cryptocurrencies
82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money
Plus500 is a FTSE 250 listed brokerage providing online trading services in CFDs, across 2,000+ securities and multiple asset classes.
Website URL: https://giscapital.world
Founded: 2022
Regulations: No Regulation
Languages: English, Russian, French, Spanish, German
Deposit Methods: Crypto Wallets, Credit Cards
Minimum Deposit: $250
Free Demo Account: No
Number of Assets: N/A
Types of Assets: Forex, Stocks, Indices, Commodities, NFTs, Cryptocurrencies
Trading Accounts and Conditions
GisCapital offers their clients five different types of trading accounts:
- Standart: The minimum funding required to start this type of account is $250.
- Economic: The minimum funding required to start this type of account is $5,000.
- Business: The minimum funding required to start this type of account is $10,000.
- Gold: The minimum funding required to start this type of account is $25,000.
- Platinum: The minimum funding required to start this type of account is $100,000.
- Diamond: The minimum funding required to start this type of account is $500,000.
There is no mention anywhere of the trading conditions this broker offers. We do not know the spreads, margin calls, fees, commissions leverage ratios, order execution methods, and so on.
However, when we checked their WebTrader platform, we found out that the spreads for the EURUSD pair was 3 pips and leverage was maxed at 1:100.
GisCapital – Advantages
There are no advantages to trading with GisCapital.
GisCapital – Disadvantages
Given below are all the red flags that warn us that GisCapital is a scammer and not to be trusted:
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Lack of Regulation
The first sign that tells us that GidCapital is a scammer is their lack of regulation.
According to the information on the footer of their website’s homepage, this broker is based in St. Vincent and the Grenadines. However, on their Contacts page, the broker provides us with a London, UK address.
Now, here is the problem. SVG (St. Vincent and the Grenadines) has a financial regulator, the SVGFSA (St. Vincent and the Grenadines Financial Services Authority). However, the regulator has made it clear – on multiple occasions – that they do not supervise forex and CFD brokers.
This means that being registered in SVG doesn’t count for anything from a regulation perspective. A broker registered in this country needs to be regulated by another jurisdiction to be legal.
Now, for the UK address. Providing a UK address implies that this broker is operating out of that country. However, to operate out of the UK, brokers need to be regulated by and registered with the FCA – Financial Conduct Authority. We checked the online database of the FCA. There is no record of any broker by this name listed with them. This means that GisCapital is not regulated by the FCA.
Since there is no further information anywhere on their website about their regulation status, we can safely assume that GisCapital is completely unregulated. This means that this broker is a scammer.
82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money
Plus500 is a FTSE 250 listed brokerage providing online trading services in CFDs, across 2,000+ securities and multiple asset classes.
The company was created as a combined effort of financial professionals and experts in web-commerce with the goal of perfecting the online experience for retail traders.
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Issues with Trading Software
Most brokers ensure that they offer their clients the best possible trading platform in the market. And this usually means offering the MetaTrader 5 software. After all, the main product offering is the trading platform.
With scammers such as GisCapital, on the other hand, what you get is a basic WebTrader platform, one with limited features and functionalities. This is the kind of software that only novice traders would be able to use.
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Issues with Trading Conditions
Another issue with this broker is their trading conditions. First of all, GisCapital does not bother to give us specific information about their trading accounts (beyond the types of accounts they have, that is).
We know the minimum funding requirement for each account type, beginning at $250 for the Standart (incorrect spelling – something basic!) account. At $250, the minimum deposit requirement is too high. There are many excellent brokers in the market today who will invite you to open an account with them for less than $10!
As for the leverage, a ratio of 1:100 is not only high, it is also illegal. This broker seems to be targeting customers in the UK and the EU. Both these jurisdictions have strict limits on how much leverage brokers are allowed to offer their customers. This limit is set at 1:30. Therefore, GisCapital’s offer of 1:100 in leverage is too risky and illegal.
And now, for the spreads. A spread of 3 pips for the EURUSD is far too high. In fact, it is more than 2 times higher than the market average, which means that the cost of trading with this broker would be far too much.
All in all, the trading conditions offered by this broker are not advantageous to traders and neither are they legal.
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Issues with Withdrawal Conditions and Payments
On their website, GisCapital boasts of offering their customers multiple payment options – Maestro, MasterCard, Piastrix, Visa, Wire Transfer and so on.
However, when we checked the broker’s payment area, we found out that there are actually only two options available – credit cards and cryptocurrencies.
In all probability, when you actually try to make a payment, it will turn out that the only way you will be able to is via cryptocurrencies. This is a typical scam tactic, where the broker tries to force customers into paying via cryptos. This is because crypto transactions are permanent and untraceable – perfect for scammers to get away with your money.
We also noticed that GisCapital claims to have withdrawal fees as well as other charges, but they do not specify any details. We are also only informed that all withdrawals will take 24 hours to process. Beyond this, there is no further withdrawal information.
These are all indications of a scam, where the broker avoids providing key information to their clients.
Conclusion
GisCapital is yet another scammer trying to scam as many people as possible before they get exposed and shut down. The quality of their website and the lack of information on it clearly shows us their ill intentions. It would be best not to do business with them.
GisCapital
Pros
- None
Cons
- Lack of Regulation
- Issues with Trading Software
- Issues with Trading Conditions
- Issues with Withdrawal Conditions and Payments
Do not trade with unregulated brokers that will steal your funds - try these regulated brokers:
82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money
Plus500 is a FTSE 250 listed brokerage providing online trading services in CFDs, across 2,000+ securities and multiple asset classes.
The company was created as a combined effort of financial professionals and experts in web-commerce with the goal of perfecting the online experience for retail traders.
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