The growing interest of investors in binary options trading has resulted in

more and more brokers luring new blood traders into this type of

investment. The nature of binary options trading is simple, making it

easy for a lot of people to make money without breaking a sweat.


When I started with binary options trading, it only took me a few minutes to

find out how it works, and half an hour to open my demo account and

start practicing with binary options. While it is a “no-brainer”

compared to forex, there are a few things that you do need to remember –

like avoiding scam brokers. Today we will list 11 brokers who you must stay away from to avoid any losses!

1. UFX Market


UFX Market and UFX Bank have won the award in the most unethical practices

category! The broker has several negative reviews and complaints left by

users who have been cheated by them. The company also engaged in posting

false client reviews on different websites back in May 2009 from their

office located in Israel.


Forex Peace Army has already blacklisted

the broker because of the bad reputation it earned and gave it 3 Guilty

verdicts based on its investigations.


  •  The company adopts some common tactics to cheat its traders-
  •  The trading manager persuades users to deposit more and more money in their accounts
  •  Requests for fund withdrawals are not processed
  •  You have no way to reach out to their customer support when you need it!


The company suggests risky trades which result in potential losses when

someone tries to close his account he is persuaded into the last deal

which results in a huge loss and wipes out the entire funds It’s better to stay away from this broker.

2. Tradorax


Here is one binary trading platform that has gone out of business following

the series of frauds it has conducted. Tradorax has some serious

complaints against it- the broker received 4 guilty votes in the FPA

Traders Court which has led FPA to declare it a scam.


The broker is known to freeze accounts and block users from withdrawing their

funds. A pensioner lost £60,000 on the platform and wasn’t allowed to

withdraw his money. You can also find many similar cases where the

company refused payouts stealing account balances.


The company also makes deals without permission of the users and has been known to

fraudulently charge credit cards. The brokers also encourage users to

deposit more money which is ultimately frozen and stolen by the

platform. You should never deposit anything with Tradorax and refrain from dealing with it.

3. Trade-24


Trade-24 has taken scamming to a new level!

You have the regular funds freezing, almost impossible to withdraw

funds scenario and stealing account balances- but on top of that there

is an allegation of forgery!


Trade-24 put up on its website that it was operating under a license from IFSC. But it was a complete lie and IFSC of Belize has put up a notice which confirms that they had not

issued any license to them. Both IFSC and FPA suggest adopting caution

while dealing with this company. It also has an FPA guilty vote and has been

declared a scam by them. Forex Fraud has been able to get in touch

with Trade-24 who promised to resolve the matters. They are also

applying for CySEC regulation and had taken down the IFSC statement and

issued termination to the responsible party.

4. Panamoney


HYIP or High-Yield Investment Programs promise high returns which are too good to be true. And they really are!


The Financial Industry Regulatory Authority (FINRA) already issued a

warning back in 2010 against the schemes. It is called the operators ‘con

artists who try to make their internet-based Ponzi schemes look

legitimate. Like all HYIPs, Panamoney started by paying the returns

but later closed down and vanished from the scene. Many people had huge

amounts of funds in their accounts which could not be accessed anymore

and the website was also down.


The company also deducted amounts

from accounts and forfeited all profits for false ‘early fund

withdrawal’ requests which were never made by users. People have even

lost as much as $160,000 on the platform.


Worse, they can block your account just about any time, and take all your money with it too.

PanaMoney is blacklisted by Forex Peace Army and cautions against

investing in HYIPs.

5. NoaFX


NoaFX suffers from the same

problems as the others on our list. You start off fine by trading and

accumulating balance in your account but the problem starts the moment you

want to withdraw funds.

You have to send hundreds of emails to

get a response from the company if you are lucky. Even the responses are

generically stating the company needs more time or something similar.

Users have waited for weeks and months and made several communications but in vain! They never got back their money!

The company even claims to be registered in New Zealand as an FSP and member

of disputes resolution scheme- but as you may have guessed it is an

utter lie confirmed by New Zealand’s Financial Markets Authority.

Forex Peace Army acknowledges it as a scam and currently, there are 3 FPA Traders Court guilty votes against the company.

6. NetoTrade


NetoTrade tops the list in receiving warnings from various regulatory bodies

around the world. The National Securities Market Commission in Spain

issued a warning against the company because it was not licensed. It had

also attracted the ire of the Swiss financial regulator FINMA who

included it in its public Warning List. If that doesn’t stop you

from trading with them, know that Forex Peace Army has also confirmed it

as a scam broker. There are 3 Traders Court Guilty Verdicts on FPA and

you are suggested to withdraw any funds from the platform. But you

may not be able to do that as many users have failed to withdraw funds

and get any response from the company. Stay away from NetoTrade at all


7. MaxCFD


MaxCFD is part of Chemmi Holdings Ltd

which also operates services like The Australian

Securities and Investments Commission suggests that the company is a

scam and cautions anyone from dealing with it or associated services.


The Forex Peace Army has also given it a scam status following the warning

by the Australian regulatory body. You should withdraw any money that

you have on their website.


The company involves in many fraudulent

practices like depositing bonuses in user accounts without permission.

The bonuses come with terms and conditions which ultimately freeze or

counterfeit the whole account balance, as a user complained.


It is also very difficult to get your funds out of the platform as your

requests are not honored. Many people have lost money by trading on

MaxCFD so you better be careful.

8. HFX

You don’t want to

involve yourself with anything that has to do with HFX! It is a case of

a confirmed scam and has been acknowledged by Forex Peace Army as a risk.


HFX is also listed by Financial Services Authority as an unauthorized firm

that could be involved in fraudulent practices. You are suggested to be

extra cautious or prevent any trading with it.


The platform is known to use the funds from accounts to make trades without taking prior

permission of the owner. The trades cause huge losses which erode the

funds accumulated in the account.

You can also expect difficulties in withdrawing funds and there have been cases where the platform

wrongly accused users of unethical trading and locked their accounts.

The company also tries to persuade users to deposit money and doesn’t

respond to communications.

9. has a long history of stealing people’s money and blocking withdrawals. You

can check numerous cases of scams that have been detailed by victims on

Forex Peace Army.


The company has also been related to another

scam trading platform Banc de Binary. A user of received an

email from the company where there was a signature of an officer from

Banc De Binary.

Forex Peace Army contacted both companies for

their comments on the issue but received no responses. It led them to

conclude as a big-time scam.

The company is also involved

in illegitimate trading where big losses wipe out entire account

balances. They also don’t attend to user communication or answer back to

emails. Requests of withdrawals are also not entertained by the company.

You are better off not trading on this platform.

10. PorterFinance


PorterFinance is a part of the Greymountain Management group which has attracted

multiple Court Verdicts from Forex Peace Army. All associated companies

of Greymountain group has been labeled as scams by FPA, and for a very

good reason.


The Australian Securities and Exchange Commission has

already warned the public from dealing with the company. Like many

other unlicensed companies, PorterFinance also operates out of Israel.


The company conducts illegitimate activities like trading Forex over

weekends. You will also not be able to withdraw your funds even after

meeting all requirements. Many users have complained about it but the

company keeps managing to avoid the authorities and run its business. It

also uses negative SEO minimizing tactics to ensure that you cannot

read up on its scams a lot.


You can check out the comments of people who have lost money on the platform. PorterFinance is also known to ignore emails from its users and provide excuses when you request to draw out your funds.

11. InstaForex


InstaForexis a big name in the world of Forex trading so it is difficult to call

it a scam outright. But you have to weigh the evidence and then decide

for yourself. Let’s check the evidence-

The Financial Conduct Authority is a UK financial regulator which included InstaForex in a

list of firms illegally offering binary services.

The French Autorité des Marchés Financiers (AMF) also called it an unauthorized

Forex broker InstaForex is not licensed under Belize IFSC anymore and it is said that they were kicked out.


Apart from the above-confirmed

cases, Forex Peace Army also carried out its own investigation involving

two of its members. After analyzing all evidence it concluded that

InstaForex has failed to return the funds of the members. Unfortunately, the

members have no recourse as their terms state that the company is

perfectly in its entitlement to close accounts as it seems fit.


The website also accused the members wrongly and confiscated their sign-up

bonus. All trades were also subsequently canceled and profits were also

wiped out. You can also read the long list of comments which prove that

it is indeed a scam!


Be Aware and Be CautiousAlways do your

research and see if a broker is licensed to operate. Don’t just go ahead

and deposit money with any online platform. You don’t want to lose your

hard-earned money and get locked out of your account unable to access

your funds!


The Internet has made it possible for investors to find

appropriate opportunities and brokers easily. But it has also given rise

to hundreds of illegal and fraud companies who only want to rob your

money. Be aware of these scam companies and invest your money elsewhere



This article is based is my personal opinion based on the information found on the pages above. has provided this information in good faith, to help its readers make informed decisions.

This article should not be seen as absolute fact. Do your own research and make up your own mind.