Kiwicoinex – Is This A Genuine Exchange Or Another Scam?

There are hundreds of cryptocurrency exchanges competing for the investment of users. This could create uncertainties in terms of which ones to make trades with. This is considering the fact that trading ordinarily is a risky venture. However, when an investor puts their fund in an unreliable exchange, it could spell disaster for them. This is why we are examining what Kiwicoinex offers with the hope that this would help the investor to make an informed decision.

If you’ve been around the digital assets space for a period of time, you may have heard of Kiwicoin, an exchange that is based in New Zealand. What you may not have heard is the sound-alike exchange known as Kiwicoinex.

What is interesting about the latter is that it doesn’t have any verifiable relationship with the former. Moreover, it is an exchange that operates out of Japan, according to the information available on the website. The crux of this matter is to determine if Kiwicoinex is an exchange that is worth putting your funds in and what to expect if you do.

What is Kiwicoinex?

Kiwicoinex

This is an exchange that was recently set up. This means that it is yet to prove itself to be reputable. Even though the default language is in Japanese, we can understand that the domain was registered on November 4, 2011 according to data from Whois. Information available on the website shows that it claims to be “The most trusted cryptocurrency platform” even though the platform is barely 2 months old.

Benefits of  Using Kiwicoinex

The platform claims that all assets are stored offline ensuring that they’re safe. It also claims a localized service that is tailored to fit local needs of country participants. It also claims to support popular cryptocurrencies and holding of clients funds in dedicated multi-signature cold accounts, with security monitored 24 hours, 7 days of the week. A mobile app helps the investors keep abreast of the market.

How To Use Kiwicoinex

The information available on the site states that using it entails a simple signup, then linking a wallet and commencing the buying and selling of digital assets.

The platform states further that it is a:

World class trading platform

Kiwi offers an intuitive interface with real time orderbooks, charting tools, trade history, and a simple order process so you can trade from day one.

How Reliable is Kiwicoinex?

If you’re thinking of investing with this exchange, you would want to know how reliable it is. As already mentioned, this is a new exchange that should be approached cautiously. Moreso, there are indications that some insiders are using this exchange to scam some users as seen from this report seen at Bitcointalk:

 I made this thread in order to tell other people too so they don’t get scammed.

I just had an almost scam with someone in China pretending to be a friendly girl and pushing me to invest in that site.

Because, I can’t find anything about that site. So I created these threads.

According to the report, someone is actually contacting investors via chat apps to lure them to invest with Kiwicoinex. This could only mean that the person is the entity behind the exchange. Since this is an unconventional way of marketing an exchange, it raises doubts about the sincerity of purpose.

Posturing As Kiwi-Coin

Looking at the Kiwicoinex site, it is obvious that the owners of the site are posturing as another exchange, Kiwicoin, the New Zealand-based exchange that is regulated by FSP. It is interesting to note that Kiwicoinex also claims to have the same registration number as Kiwicoinex.

This should raise a red flag since it is impersonating another business which we do not have evidence that it is related to. When we consider that the default language of the Kiwicoinex site is Japanese, it is unlikely that it is owned by the same company that owns Kiwicoin since we are aware that the latter is based in New Zealand.

On December 16, 2021, the New Zealand regulator The Financial Market Authority (FMA) warned investors about investing in a similar exchange Kiwi-ex.com.

Even though there is no proof that it is operated by the same entity as Kiwicoinex, it is an indication that there have been attempts by fraudsters to steal investors’ funds taking advantage of the goodwill of Kiwicoin. According to the release by the FMA titled “Cryptocurrency trading without consent – Warning about kiwi-ex.com website”:

We recommend caution when dealing with the website, www.kiwi-ex.com, as the FMA is concerned this website may be operating a scam.

The website is offering a platform for investors to trade in cryptocurrencies. We received a report of trades being conducted in an investor’s account, without their knowledge or consent, by the website.

The website is falsely purported to be associated with the registered New Zealand entity, Kiwi-Coin Limited (NZBN: 9429041175712, FSP: 523386). Kiwi-Coin Limited have confirmed that they are not operating or associated with www.kiwi-ex.com. The website is also making incorrect and misleading statements about the regulation of financial markets in New Zealand.

As we have already seen, Kiwicoinex, even though a new site, is actually doing the same thing that Kiwi-ex has done (pose as if it is related to Kiwicoin). It is even possible that the entity behind Kiwi-ex is the same as the one running things at Kiwicoinex.

KiwicoinexA look at the Kiwi-ex website shows that it is just a version of Kiwicoinex. This could mean that it is operated by the same entity who has used another domain to confuse even more people in their quest to scam them. As you can see, Kiwi-ex domain was registered in August 2021.

Conclusion

Whether Kiwicoinex or any other exchange that claims that it is associated with Kiwicoin, it is obvious that dealing with such shady sites would lead to losses on the part of the investor. It is of much import therefore that investors conduct due diligence before dealing with exchanges, especially those that were newly set up. If in doubt, it is safer to trade and invest on exchanges that have built a good reputation.

 

 

Author: Jofor Humani

Jofor is a crypto journalist with passion for investigative review of projects with the aim to determine the authenticity of their claims.