Getting a good investment site for your cryptocurrency and other assets may not be too difficult. What confuses issues for investors is the fact that many are more interested in reaping where they did not plant and so fall prey to scams as we shall see in this ProTraders post.
There is a right approach to investment which exposes the investor to minimal risks and still helps them make gain. When people ignore sound investment principles, they may lose their funds because they embraced unconscionable risks just because they’re fixated on gains.
According to the Securities and Exchange Commission website,
“Guaranteed returns” aren’t. Every investment carries some degree of risk, and the level of risk typically correlates with the return you can expect to receive. Low risk generally means low yields, and high yields typically involve high risk.
If your money is perfectly safe, you’ll most likely get a low return. High returns represent potential rewards for folks who are willing and financially able to take big risks. Most fraudsters spend a lot of time trying to convince investors that extremely high returns are “guaranteed” or “can’t miss.” Don’t believe it.”
What is Protraders?
This is a site that claims it belongs to a cryptocurrency and forex trading company. It stated that it is a trustworthy business that helps its clients to make consistent lucrative profits.
It further claims that the managers of the funds are professional traders and analysts employed by the United Kingdom based company. According to the site,
“During the last few years our traders have developed the concept of break-even trade to minimize risks & maximize profits. They use a unique strategy that ensures uninterrupted profits to pay our company’s investors.”
How Reliable is This Site?
We decided to run background checks on this site to determine how reliable the company behind it really is. This is considering that it is soliciting for funds from investors in its presumed bid to increase its trading lot and capital.
You would agree with me that getting trustworthy cryptocurrency investment companies may not be as easy as it seems mainly because there are fraudsters that take advantage of the popularity of the coin market to set up dubious sites that pose as the real thing.
The rest of the post shows the findings on Protraders which show that this is not a reliable company that you should send your funds to.
Lying About Everything
When a company lies about anything in the course of its activities, it becomes obvious that it cannot be trusted with the most mundane of things talk less entrusting investor funds with them.
Most of the information and data found on the Protraders site are false. The company is using fake site data to create the impression that it is a busy one that has been paying many investors for years.
The site claims that it manages 45,244 accounts that have made deposits of $211,953 in deposits and withdrawals of more than $7 million. Every savvy investor would tell you that those figures do not add up for the forex or crypto trading sphere even for a business that has operated prior to the 2017 crypto boom.
The site also claimed that it has operated for 1118 days which is equivalent to more than 2 year. We took this up and a Whois search showed that this is an intentional misrepresentation. The records show that the domain was registered in July 4, 2019, so it is less than 4 months old contrary to the claims made on the site.
We have to understand that fraud sites mostly backdate how long they have been in operation because they are eager to deceive people by creating the impression that they have built the online credibility required to be trusted.
Referral System Or Ponzi
Many sites like this set up a referral system with the intention of recruiting many affiliates that would promote their scams. Sometimes, the objective is to gain traction as a ponzi that would pay a few early investors who made small deposits.
Down the line when there are more deposits and the fraudsters sense they are at profit, they generally turn exit scams by pulling down the site and moving on to new scams.
It is interesting to note that there are many people who promote these scam sites with the full knowledge that they are fraudulent. The main reason is that such individuals are fixated with the affiliate commission that these scammers may pay them.
Unfortunately, when the scams go down, the only beneficiaries are the fraudsters behind them.
High Yield Investment
April 2019 release by SEC stated that,
“The SEC’s Office of Investor Education and Advocacy (OIEA) and the Commodity Futures Trading Commission’s Office of Customer Education and Outreach (CFTC) warn investors to scrutinize investment opportunities through websites purporting to operate advisory and trading businesses related to digital assets. These websites often contain “red flags” of fraud including claims of high guaranteed returns and promises that the investments carry little or even no risk.”
This is a reflection of the Protraders claims which are at variance with reality. The site claims that it pays investors 120 percent in 1 day. The fact that this is the minimum plan makes it ridiculous because no genuine investment site has the ability to make such profit guaranteed in months talk less hours.
The SEC warning on fraudulent investment sites continues,
“In some cases, the fraudsters claim to invest customers’ funds in proprietary crypto trading systems or in “mining” farms. The fraudsters promise high guaranteed returns (for example, 20-50%) with little or no risk.”
If the agency considers 20 to 50 percent unrealistic, what do you think they’d say about scams such as Protraders offering up to 300 percent in 24 hours? The summary of this is that investors should keep off sites that promise massive returns. Their objective is to appeal to people’s greed to steal their funds.
Random sites that promise high interest rates do so to gain attention of investors to steal their funds.
Reliable investment sites never conceal the identities of the managers and owner, they are regulated by appropriate government agency and most especially are licensed to render financial services. You may check our top recommendation for safe investment that enables you take advantage of a social trading system.
What is you view about Protraders? You may send them in through the comment box below.