SwissChains – Can You Trust Them?

Website URL: https://swisschains.com

Founded: 2021

Regulations: None

Languages: English, All Google Translate Languages

Deposit Methods: Wire Transfer, Debit Card, Credit Card, ePayments

Minimum Deposit: $250

Free Demo Account: No

Number of Assets: N/A

Types of Assets: Forex, Stocks, Commodities (Oil, Coffee, Copper, Wheat, etc.), Indices

Trading Accounts and Conditions

SwissChains offers their clients the following trading accounts:

• Easy Start: You are asked to make a minimum deposit of $250. You get a 25% bonus on deposit. You are given access to 9 currency pairs.
• Trader: You are asked to make a minimum deposit of $1,000. Spreads are fixed and floating at 15%. You get a 50% bonus on deposit. Access to all trading tools.
• Pro Trader: You are asked to make a minimum deposit of $5,000. Spreads are fixed and floating at 30%. You get a 75% bonus on deposit. Access to all trading tools.

There is no information about leverage ratios, order execution methods and so on.

SwissChains – Advantages

There are no advantages to trading with SwissChains.

SwissChains – Disadvantages

SwissChains is a scammer and here are all the red flags that tell us why:

• Lack of Regulation

SwissChains does not have much to go by in terms of their corporate identity. All we know is that this broker is based in the UK; there is a London address and telephone number provided. The name of the company that runs this online brokerage seems to be SwissChains, but we are not sure as it is not explicitly mentioned.

To be based in the UK, a broker has to be regulated by the Financial Conduct Authority, the country’s financial regulator. Upon checking the FCA’s online database, we found out that there was no broker or company by this name listed with the regulator. Which means that this broker is not regulated at all and it therefore operating illegally.

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• Blacklisted by BaFin

While investigating SwissChain’s regulation status, we found out that this broker had actually been blacklisted by the BaFin. The BaFin, the Federal Financial Supervisory Authority, the German financial regulator, issued a public warning against traders dealing with this broker. The authority stated that this broker was operating without proper authorization in Germany and that traders could lose their money dealing with an illegal entity such as SwissChain.

There can be no clearer indication of a scam than the fact that a broker is operating illegally and had been flagged off as a scam by one of the top financial regulators in the world.

• Unverified Trading Software

As part of our review, we always try and open an account with the broker we are reviewing. This helps us assess their account opening process, and we also get to verify their trading software.

With SwissChain, we were able to complete the account opening process. This is because this broker’s website is not quite completed; their registration form does not seem to have a Register button. So, after you fill in all your details, there isn’t much else you can do. Thus, since we were unable to even create an account with this broker, we cannot verify what kind of trading platform they may or may not have.

Added to this, the broker did not have any demo account on offer where we could have actually checked their platform. This leads us to believe that this broker may not even have a real trading platform.

• Issues with Trading Conditions

We not only have issues with the possible lack of a trading platform. We also have issues with the kind of trading conditions this broker has presented.

First of all, a $250 minimum deposit is on the higher side, especially when there are so many excellent brokers in the market who allow you to open accounts with them for less than $10!

Next, there aren’t any real trading conditions actually mentioned. This broker claims that the spreads are fixed and floating, and then presents them in percentages, which doesn’t make sense at all! Spreads are referred to in pips and not percentages, which shows that this broker does not even know the correct terminology to use!

You don’t get access to more than 9 currency pairs with the basic account! To get access to their entire selection of assets, you need to make a deposit of at least $1,000. Which means that the basic account is just a waste of time for any trader, and that you will need to invest in the more expensive accounts to be able to get to see this broker’s entire asset list.

There are also no leverage ratios, fees or any other conditions related to trading specified anywhere on this broker’s website. Which is another sign of SwissChain’s scam.

• Issues with Withdrawal Fees

While there is no way that we can verify whether SwissChains actually offers the various payment methods they have advertised (since we could not open an account and therefore check their client and payment areas), we can only comment on the withdrawal fees they impose – which are massive.

You need to pay $50 for a wire transfer, $25 for card payments and an added $10 processing fee, and $25 for ePayments. Furthermore, if you do not reach a specific turnover target, then you have to pay an added 10% fee to withdraw your funds. These terms are unfair in the extreme!

• Bonuses Offered

And finally, this broker offers massive bonuses to their clients. Such bonuses have been banned in most jurisdictions due to the very unfair terms attached to them. And, if you read the terms that SwissChains has in place, you will understand why these bonuses are unfair.

According to their terms, you will need to meet a trading volume of 30x your deposit and bonus amount before you will be allowed to withdraw your funds. These targets are more or less unachievable, which means that most traders will never get a chance to withdraw their funds. A typical scam! 

Conclusion

SwissChains is a scammer and best avoided.

SwissChains

2.2

User Experience

3.0/10

Payment Options

2.0/10

Security

2.0/10

Support

2.1/10

Reputation

2.0/10

Pros

• None

Cons

• No Regulation
• Blacklisted by BaFin
• Unverified Trading Software
• Issues with Trading Conditions
• Issues with Withdrawal Fees