Is PBN Capital Regulated? PBN Capital Licensing and Regulation
PBN Capital Broker Warning! FCA and CySEC Warn Against PBN Capital…
Trading with unregulated brokers is extremely not recommended, specially when the broker is making false claims of being regulated when it is actually not regulated at all. In this case, the broker PBN Capital is claiming that it has a Cyprus license when it has no such thing. The Cypriot Financial Authority CySEC has recently let the public know about this in a statement.
According to the recent Financial Conduct Authority (FCA), scams are once again on the rise. The second regulator provided a new warning on its website this Thursday, with Capital Tech Limited, as well as its brand — PBN Capital — being marked as a scam.
The warning claims that Capital Tech Limited provided financial services or products with no authorization. The products/services were provided in the UK, with the company not having authorization to do so. However, based on the data that the regulator has on the company, the authorization is necessary in order to carry out regulated activities.
As a part of the warning, the regulator provided several details regarding the company, including its address, email, website, and phone number.
Details about the scams
By going to the website of the firm (http://pbncapital.com), and visiting the company’s ‘About’ page, visitors would see that the firm claims to specialize in forex (foreign exchange), as well as CFDs (contracts-for-differences). These services include precious metals, indices, equities, and energy.
The company’s website further claims that they work with institutional and retail traders and that their goal is to ensure top service for clients around the world. Further, the site states that users can trade assets through the MetaTrader 4 platform and that they can reach it via the web, desktop, mobile, or Mac.
However, if the potential trader called the provided phone number (+41435500292), they would be greeted by Capital Tech’s voicemail. The same voicemail that users would get if they attempted to contact Go Capital FX.
Apart from the FCA issuing their warning, CySEC (Cyprus Securities and Exchange Commission) also issued a similar warning on their own website. The warning comes in regard to alleged CFD and FX trading provider.
There are a lot of details regarding these scams that are still missing. One thing that has yet to be established is how exactly are these entities linked. Despite the fact that both, Capital Tech/PBN Capital and Go Capital FX were contacted and asked to respond to the situation, neither trading provider has done so at the time of writing.
FX scams on the rise
Even so, traders and investors are warned to stay clear of these companies until further notice, as well as to do a thorough investigation of any other suspicious firms they come across. Further, if there is a reason to believe that some similar firm is running a scam, traders are advised to report it on the financial regulator’s website.
For additional information, as well as for the full list of known scams, traders should consult the FCA website as well. The number of FX scams appears to be rising, and many others were already reported in 2019, and are currently under investigation.
Regulators have also noted that a large number of these scams is coming through social media, so traders are warned to remain vigilant on these platforms, as well.
Since forex markets trade trillions of dollars per day, they are considered to be one of the prime targets of scammers globally. To avoid scams, traders should look into multiple aspects, such as whether or not the alleged broker is regulated, as well as how trustworthy is the regulatory body.
Should You Stay Away From GoCapitalFX?
Yes. Don’t sign up with any unregulated brokerages or firms such as PBN Capital. If a brokerage says it is regulated by FCA or any other regulator, you can check on the regulators official website and make sure the broker is not making false claims of being licensed.
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