Is DaxBase legit broker or a scam that must be avoided?
DaxBase FX brokerage offers trading currency pairs and CFDs to the worldwide audience, except the traders from the US. The information about the broker is very limited, the only thing one can learn about the broker is that it is operated by the Finance Group Corp. DaxBase does not even provide any information about the trading instruments or spreads that it offers to the customers. The minimum deposit is 250 USD and the leverage is 1:100. The broker does not provide the most used platforms for trading such as MT4 or MT5 and has its own WebTrader. There is no information provided about it as well. Seemingly the broker does not want to disclose much information about itself, however, this DaxBase review gives insight into what the broker is like and if it can be trusted or not.
Revealing DaxBase scam
The first impression of DaxBase is very positive. The website looks very nice with the bright colours and nice design and gives a feeling that one has found a good, modern broker that understands the needs of the traders. At one glance the broker seems completely legit and trustworthy. It provides information about the service that looks very satisfactory. However, not everything is as nice as it seems on the surface. The first sing that DaxBase scam or fraud might be real is that there is no information about the broker. There is no “About us” page and the broker does not display any information where is it registered or where it is operating from. The only information we get from the website is that the company that operates the brokerage is Finance Group Corp. and that the broker does not accept traders from the US. I assume all traders would agree that this information is not enough to trust a broker.
The website title suggests to “trade with the regulated broker”, DaxBase also has an icon on the website that says that it is approved by the regulator. Even the beginner traders might guess that this does not really look legit. There is no remark about the regulations on the website, it does not say where the broker is registered or which regulatory bodies have given the license to it. However, during making the DaxBase.com review I found a hint where the broker can be registered. In the terms and conditions, the broker mentions the laws of Seychelles which is a haven for the scam brokerages. It is not surprising that the broker does not say anything about the license, at the same time, being registered there does not automatically mean that the broker is authorised. Hence the broker is either regulated offshore or not regulated at. The broker also claims to have some award about having fast withdrawals, however, there is no more information about it, which means that it is a simple trick to lure inexperienced traders into a scam. Can DaxBase be trusted after it? Probably not.
The broker only mentions that it does not provide the service to the residents of the United States. Seemingly it is targeting traders from Europe and Asia. The main language of the website is English, it can also be viewed in Spanish, Franch, Thai, and Russian. DaxBase also provides the numbers of the customer support team. The English speaking customer support team phone number is from the Dominican Republic, other languages available for receiving customer support is Russian, Chinese, Singapore, and Thai, the broker also has a separate number for Australian traders. It means that the broker is providing unlicensed service to the European, Asian, and Australian customers when they are not regulated by the local financial authorities and do not have a right to offer financial services in these countries. As you can see, it only takes one few minutes to find out about DaxBase fraud and how they mislead their customers with false or insufficient information.
Account types review
DaxBase offers three account types to the traders: Bronze, Silver and Gold account. There is not much information about the accounts. The broker provides general information about them, such as the minimum deposit and some of the features. All of the account types that DaxBase Forex broker offers have 24 hours live support, demo account, and withdrawals in one hour. The minimum deposit for the Bronze account is 250 USD. For the Silver account, the minimum deposit is 1000 USD and for gold 3000 USD. The broker markets Silver account as the most popular, which is a simple trick to convince the traders to deposit more. The minimum deposit is not very high but many good brokers that are actually regulated and approved have better offerings. At the same time, in the terms, the broker mentions that if the trading account is funded using bank transfer the minimum amount is 5000 USD or EUR and the bank transfer fee is 50 USD.
DaxBase withdrawal policy review
DaxBase claims to have withdrawals that take one hour only and showcases multiple payment methods on the front page of the website. The reality is slightly different. There are several ways to deposit and withdraw the money: Visa/Mastercard, Perfect Money, Bitcoin, Ethereum, and altcoins. There is 5% transfer fee for Visa and Mastercard, as the DaxBase claims there are no other fees, however third party fees might be applied. DaxBase indicates that the withdrawal time is one hour only, however, below the information it is mentioned that the 1 hour withdrawal time is only after the broker process the withdrawal request and confirms it. How much time is needed for DaxBase withdrawal approval is not indicated anywhere. Seemingly showcasing the fast withdrawals is again something to mislead the customers.
There are some other fees traders should be aware before opening an account with DaxBase. The broker charges swap fee for keeping a position overnight. The fee is 0.07 % of the face value of the position. There is also a fee for opening unleveraged cryptocurrency CFD trading position that can be from 1% to 2.5% of the transaction. The broker also charges 5% commission of the transaction for leveraged CFD cryptocurrency positions. This information is also provided in the huge document of terms & conditions which is unfortunately often ignored by the traders. In any way, the fact that this information is not provided on the first pages of the website is not a good sign and decreases DaxBase rating even more.
DaxBase is far from the broker that can be trusted. It provides false, misleading or insufficient information about its services and the brokerage itself. It brings positive information on the front page of the website but as you dig deeper you find out that it is simply a facade that is used to lure the customers into investing with the broker. DaxBase lies about being approved or having awards, it does not provide information about the withdrawal policy and etc. There are too many signs pointing out to DaxBase scam. It is not advised to trade with a broker that could potentially be a scam especially when there is a big choice of good, regulated and reputable brokerages.