Beware! Nixse is an offshore broker! Your investment may be at risk.

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Nixse is an offshore broker that offers trading in forex, stocks, commodities, indices and cryptocurrencies. There are seven types of accounts with different minimum deposit requirements – from $250 to $10,000,000 for a VIP Platinum account.

It is quite conspicuous how the minimum deposit jumps from $250, which is normal to a $15,000 minimum for the next option. The other thing that caught our attention is that the VIP accounts come with “0 Fees On Deposit”, which should mean that there are deposit fees for the basic ones. There was no information about such fees, however, and it is not a standard practice to charge customers for deposits. The broker also has social icons, Facebook, Twitter and YouTube, at the bottom of their home page, but these are just images; there are no links to social media pages.

We were able to register easily – we had to provide First and Last names, Email address, Phone number, Physical address and select currency from four options – USD, EUR, GBP or AUD. We received an email that contained the login credentials, which is against all security and privacy guidelines. The email also had a link to the login page and said it “is only active for 15 minutes.” This does not make any sense because it is available on the website and can be accessed at any time.

Nixse regulation & safety of funds

According to the footer, the website is operated by Nixse LLC, which “provides trading services registered under the jurisdiction of St. Vincent & the Grenadines.” There is no physical address, only a US toll-free number and email address in the Contact Us page.

The Terms of Service stated only “content pending,” so it was of no help establishing if this entity is regulated by any authority. Despite the rather meaningless statement we see on the website – “Strong Regulatory” – we know that St. Vincent & the Grenadines, or SVG, is an offshore zone that does not regulated Forex trading. It is more famous for the anonymous entities and scam brokerages operating there. Any claims we find about security and safety of funds on the website should not be trusted.

Forex brokers, regulated by established licensing agencies such as the Financial Conduct Authority (FCA) in the UK and the Cyprus Securities and Exchange Commission (CySEC), have to abide by very strict rules in order to maintain their license and do business in the respective territories. Among these are Minimum Capital Requirements (€730 000) in order to prove their good financial standing, Client Account Segregation (clients’ money is kept separate from the broker’s operating funds) and Compensation Schemes providing additional guarantee to clients’ funds up to a certain amount (85,000 GBP in the UK and 20,000 EUR in the EU).

Nixse Trading Software

The broker offers the MetaTrader 5 (MT5) trading platform on their website. It is available as Desktop, Web and Mobile (iOS and Android) applications. MT5 is a popular multi-asset platform for trading forex, exchange instruments and futures. It is a newer and improved version of the industry leader MT4, although not as popular. It does have certain advantages over its predecessor, but the main turndown for MT4 users is that it is written in a different programming language, so any automations or Expert Advisors (EAs) have to be re-written or converted.

Nixse Trading Conditions

The spreads we see advertised on the broker’s website are extremely high. For the most traded currency pair, EURUSD, it is 3 pips. Such spreads would not make any profits for traders, while guaranteeing huge returns for the broker.

On the other hand, with a demo account on the MT5 Web platform we see a EURUSD spread of less than 0.5 pips. This is on the other extreme – respectable brokers usually offer spreads between 1 and 1.5 pips for EURUSD, so we suspect this demo account is fake.

The leverage Nixse offers is 1:400. This is very high – brokers licensed in the US have a leverage cap of 1:50 for non-professional traders, and the ones in the UK and EU is even lower – 1:30. There are actually regulated markets, such as Australia, which do not impose limits on leverage. It can be quite risky, however, because although one can make profits with leveraged trading, he/she can also lose quite a lot, sometimes even more than initially invested.

Nixse Deposit/Withdrawal Methods And Fees

In the broker’s website we see a number of credit card logos, as well as Wire Transfer and Bitcoin, advertised as available payment methods. The FAQ page also claims one can deposit via bank transfer. The trading area, on the other hand, was very inconsistent. At first, clicking Deposit there displayed an empty page. After several attempts, it said we could use any e-wallet method or VISA/MasterCard, but then presented an interface with only 2 options – credit card and Bitcoin.

Popular methods, such as PayPal and other preferred by traders e-wallets, eg. Skrill and Neteller are not offered. The minimum deposit amount is $250, which is not extremely high. The trading area also specified that there is a minimum of $50 withdrawal.

As we noted above, there is no Terms and Conditions on Nixse’s website, so we have no idea about the fees they may charge. What is conspicuous is that there will be no fees on deposit if you sign up for one of the VIP accounts that start from a minimum deposit of half a million dollars. Respectable brokers do not charge any fees on deposit. There may be some fees associated with your financial institution, but they are not for the broker.

Thus, despite Nixse’s claims of “Lowest Commissions” and “No Fees on Transactions” we should not trust this broker. Due to `the lack of regulation and the inconsistencies listed above, we believe Nixse is an anonymous entity that is definitely not a licensed broker, and would not advise investing with them.

How does the scam work?

This section is dedicated to showing how the most common scams work. Usually they are pretty simple and straightforward. Through internet ads promising quick and easy profits from forex trading potential traders are induced to enter their personal information, such as email and phone number. Once the users input this information, they will start receiving unsolicited calls from illegitimate broker representative whose job is to persuade them to make the first deposit of about 300 USD, from which they make a fat commission. When this is done, the traders are transferred to senior scammers who are very good talkers and will start working on them to deposit even more money. At this time, if not earlier, most people will start suspecting some fraudulent activity and will want to withdraw their funds.

This however often proves impossible to do as the scammers put all their resources into convincing them that now is not the right time or that such action will lose them a lot of money in “potential profits”. If the users persist, these con-artists will find a number of excuses, usually hidden in the clauses of the accepted agreements, to delay withdrawal requests for as long as possible. The end purpose is to miss the limited time period for filing a chargeback with their bank and thus lose any chance of getting their money back.

What to do when scammed?

If you have deposited with VISA or MasterCard there is still a chance to get you money back since recently both companies extended their chargeback period to 540 days, especially when an online scam is involved.

Scammers will not stop at stealing directly from your bank account if you have provided sufficient details, so if this is the case be sure to change your password or security code right away.

Also beware of being scammed again by so-called “recovery agents”. They will ask you to pay a fee to recover your losses, but after paying them you will never hear from them again.

Rich Snippet Data

Reviewer

The Forex Review

Review Date

2020-10-09

Reviewed Broker

Nixse

Broker Rating