On the surface, Koytex looks like a friendly and reliable crypto exchange but the unpleasant truth lies underneath. We say this because we’ve seen this exact same website countless times during our investigations of fraudulent platforms.
The Koytex exchange is not regulated. According to the Terms and Conditions, this business adheres to the governing law and jurisdiction of Malta.
There is no evidence to support this claim though. Since Malta is part of the European Economic Area (EEA), the local financial watchdog enforces common regulations of the European Securities and Markets Authority (ESMA), which tightens laws on digital assets each year.
All ESMA-approved providers have a MiFID passport, allowing them to offer services across the old continent. They are also liable to compensate their clients in case of insolvency or suspicious losses with up to 20,000 EUR.
Our little exchange is not licensed to operate and therefore, all the money you place on it is as good as gone. For that reason, please avoid anonymous platforms and stick to firms that are regulated by esteemed authorities such as the FCA (UK), CFTC & NFA (US), IIROC (Canada), ASIC (Australia), CySEC (Cyprus), etc.
There are basically no trader reviews when it comes to the Koytex crypto exchange. Whichever forum we checked, there were no results, which is not such a big surprise considering that the website has been active for just shy of two months.
We have two EU member states, meaning that their respective regulators enforce common ESMA regulations for digital assets. Mexico has its own laws and rules. As we already stressed, Koytex is not licensed to operate in Europe but the exchange is doing so illicitly.
If you lose money to this exchange, you cannot count on the compensation scheme that licensed European firms offer so please consider other options.
CryptosMarket offers a pretty simple browser-based platform that supports popular cryptocurrencies such as Bitcoin, Ethereum, Litecoin, Cardano, Ripple, Shiba, etc. The trading terminal has some basic features such as graphs, charts, and indicators, but the whole interface looks pretty lackluster.
There are no advanced tools and options available. And given the exchange’s dubious background, the platform could be rigged to steal users’ funds.
If you want a pure trading experience, you should stick to licensed providers that support proper third-party software such as MetaTrader 4, MetaTrader 5, or cTrader.
MT platforms are arguably the best in the industry, enabling traders to utilize innovative tools such as automated & algorithmic trading, advanced charting, live market reports, branch optimization, 20+ timeframes, EAs, a user-friendly interface, etc.
The exchange features a flexible fee structure based on levels. The levels range from 1 to 7, with corresponding maker and taker fees. Maker fees start at 0.075% for Level 1 and decrease with higher levels, which is supposed to motivate traders to reach higher volumes.
Additionally, transaction fees for withdrawals differ for BTC and ETH, with flat fees and free transfers. For instance, the deposit fee of Bitcoin is 0.00005 BTC (~ 1.88 USD) and the withdrawal fee is 0.00013 BTC (~ 4.88 USD).
To enter Koytex’s referral program, users should share a specific link. This initiative targets individuals involved in social media, community management, blogging, or other crypto-related activities. The reward is a commission of up to 40% of the fees the referred person pays, plus the trade commission becomes 0.1%.
It is understandable that the firm wants to expand business and attract new users but the whole concept is most likely a Ponzi scheme, a fraudulent investing scam that generates returns for earlier investors with money taken from later investors.
The payment process is a bit complex. Namely, Koytex requires you to buy crypto via various third-party crypto payment processors and then transfer it to the exchange.
The reason why scammers prefer crypto payments is that such transactions allow them to retain their anonymity and continue running their schemes. Reversing crypto transactions can be a nightmare but it is possible.
If you experience any withdrawal-related issues, you must seek out professional assistance. We have experts who specialize in various fund recovery methods and we gladly offer our services.
To recap, Koytex is an anonymous crypto exchange with no authorization to operate. The exchange is unregulated and therefore risky.
There are numerous more reliable and credible exchanges out there so be sure to check out all your options. If you cannot recover your funds from Koytex on your own, it is possible with professional aid!
Book a free consultation with Global Fraud Protection and tell us more about your case. We will analyze it together and come up with a solution for recovering your hard-earned funds!
Book your free consultation here and get your money back!
Koytex is an anonymous crypto exchange scheme that operates without a valid license, targeting traders from Poland, Mexico, and Romania.
Without a license, Koytex cannot be considered a legitimate crypto exchange so please stay away.
It’s possible, albeit difficult. Please book a consultation with us. Our experts can help you recover your funds.
The post Koytex Review: Not a Legitimate Crypto Trading Platform? appeared first on Global Fraud Protection.