Emerging with the sudden rise of popularity of crypto currencies, Mercatox is yet another unregulated exchange. The firm leadership team saw a chance for making profit off of all confused and optimistic investors who were looking to put their entire life savings into promising new projects – digital coin exchange platforms.
We can call the Mercatox scam a company that does nothing but steal investments of retail and everyday investors. However, they were just very successful in detecting a window of opportunity and using it to the best of their interests. We can only hope that they’ll also get to answer for their crimes in front of a legal body, as they deserve to.
What is Mercatox really and how the whole scheme exactly works are just some of the burning questions that this Mercatox review answers. Sit tight and read the following text that also includes what other traders say too, and why they’re so dissatisfied with the service.
The question about the Mercatox legal status immediately came to our attention after taking a first look at the Mercatox website. From the start, it was obvious that the alleged UK firm didn’t have an authorization from the leading financial authority – FCA.
However, the country that the owning company comes from is Marshalls. Being a loose tier 3 regulator, GLOFSA doesn’t strictly regulate brokerages and other security dealers, as well as exchanges like tier 1 regulators do. So even if Mercatox or MX Digital LTD were properly registered in Marshalls (and they aren’t), they still do not own a premium license.
Mercatox has evidently been providing the services of crypto investing illegally. The two Canadian financial watchdogs have detected their activity on the territory of their country. It’s apparently been going on for a while now, even after crypto exchange became heavily regulated. These two regulators have blacklisted Mercatox for the reasons explained above:
As the regulators have published, Mercatox doesn’t have a legitimate license or permission to conduct their business in Canada or offer their suspicious crypto services. Every investor, being responsible towards their funds, should take these warnings seriously and avoid this shady financial services provider.
The absence of a tier 1 license is a red flag you should not get over. As the only confirmation of a firm being legit, it also proves the company installs all the obligatory security measures. By choosing a regulated firm to trade with ensures your deposits are safe and your profit real and available for withdrawal.
We say this because Mercatox customers are complaining about these exact issues. More on that in the following section of our Mercatox review.
The amount of frustration and angst that show from the users’ reviews on Mercatox are staggering. Issues that customers mostly report about pertain to withdrawals and funds being taken by the scammer not ever being released.
Another aspect that the customers mostly complain about is the unresponsive support. TrustPilot has a total of 71 reviews on Mercatox posted with negative ones being 73% of the total ratings. Take a look at some of the most concerning experiences:
They sell nothing but decèit. My P0rtfolio was inaccessible, everything with the benefits would have been stuck here forever
This exchange shouldn’t be used, unless you don’t mind throwing money away. Ever since I did my one and only transaction there is a continuing maintenance on my crypto that isn’t allowing me to do anything with it. I can’t even send it to another wallet. Stay far far away from this exchange. My only light to this is that it was a small amount of money I used to try them out.
Scam. Do NOT use Mercatox. I went to cash out, but it would not let me. Their system has been under maintenance for weeks. Customer service is useless and probably automated. Customer service says that they are working on it – day after day after day. They’ve been doing this same thing to people for years – just look at the dates on all the comments here.
Claiming to be your most reliable partner in the world of crypto currency trading, Mercatox attracts customers by feeding them false hope and fake promises of huge wins and low trading costs. Every seller engaged by Mercatox is well equipped with sweet talking and people skills.
If they do not see a way to sell you their product or service, they will certainly attempt to manipulate you emotionally through forming a romantic relationship. When it’s about easy bucks, just about any strategy under the sun is used and abused through the roof, as long as it works.
Mercatox is offering a variety of services, starting from a trading platform for margin trading, exchange services and e-wallets. Little do the unsuspecting victims know that they cannot actually buy any crypto.
The scammer just takes your deposit and manipulates your account data so it seems like you’re a proud owner of a hefty amount of crypto. Your investment has gone straight to their wallet, like all your future investments and the profit is entirely fake.
This fraudster has been active in the crypto market for over 8 years. That’s enough time for them to focus on a particular class of investors and work on designing the most profitable scam techniques. We’ve already discussed their strategies, and from the user reports, it seems that Mercatox is using any conceivable method to defraud victims. Highest numbers of casualties appear in the following countries:
But Mercatox isn’t that advanced. Or just doesn’t own sufficient funds to actively work on creating a better trading app and a more quality trading environment overall.
When you get to the trading area, the first bit that captures your attention is the fact that Mercatox doesn’t have their own graph and statistics software. The website actually uses a borrowed chart widget from the TradingView.
Believe it or not, it’s quite common for unscrupulous websites of this kind to just use the TradingView charts and intel that they incorporate into their bogus platform. Mercatox does the very same thing.
Being a crypto exchange before anything else, Mercatox offers crypto trading. You can supposedly buy and sell crypto currencies under a certain fee. The website claims to also enable you to perform margin trading, but we weren’t allowed to test this option immediately because of the infamous, perpetual maintenance.
Still, the platform itself is said to offer several hundred digital assets and the most famous ones included, like BTC, ETH, LTC, TRX, XDC, EOS, INXT, DASH, DOGE, SHIB, DOT…
Opening an account with this service provider is fairly easy. You only need an email and password to get an individual profile set up. After that, you are sent a confirmation link in your email inbox to click and confirm your account.
After that, you can access the trading zone and explore the features of your personal account. Trading history, deposits, withdrawals and the possibility to join affiliate and referring programs are all there.
However, nothing is said about the existence of separate account types. Neither does Mercatox mention anything about the possibility of buying a personalized package with distinctive options and features.
E-wallet is described as one of the main advantages, and Mercatox claims you to be lucky to use it. It supposedly allows you to keep the coins you buy, regardless of their type or when you plan on selling them. Mercatox states that it’s easily accessible and seamless, but most of all, secure. The thing we believe the least.
Mercatox demands you to pay transaction fees, as well as trading fees. Practically, your every activity on this platform comes with a price. While the minimum deposit amounts depend on the chosen currency, minimum withdrawal amounts also differ. It’s the same with the fee. It’s all conditioned by the digital asset of your preference.
Withdrawal fee for BTC is 0.005 Bitcoins, which is equal to about 125 US Dollars. That’s pretty high, and the fees on other, less popular currencies are even higher.
The trading fee is set to 0.25%. But what you should pay special attention to are the exchange rates. For example, the current BTC price is around 25,000 USD. However, at Mercatox, the price is more than 29,000, which means that the scammer pockets over 4,000 USD for every BTC bought!
Financial swindlers always look for easy solutions. To engage the existing customers to bring in new victims for Mercatox, the platform claims every referral brings extra profit. So, the more people you drag into the scheme, the bigger percentage of profit the scammer will promise you.
As things are now, Mercatox supposedly allows you to claim 15% of the transactions your referrals perform, with an additional 5% for the level two referring.
Another dastardly scheme that Mercatox uses is the loyalty program. Advertising the Mercatox services on your social networks profiles allegedly gets you certain benefits. These should be lower fees, daily payment for annual ROI for the coins in your E-wallet and others.
The single payment method allowed at Mercatox are, of course, crypto currencies. Depositing funds is performed through sending money to a specified crypto wallet and the withdrawal should be somewhat similar and just as seamless. Except that it usually isn’t, just like most of the Mercatox victims have posted.
The most occurring problem with the Mercatox withdrawal is the fact that the swindler freezes clients’ coins and funds in general. Most commonly used excuse is the maintenance that could drag on forever. When reviewing this scam, we witnessed one too, where we could not test the margin trading because of an ongoing maintenance.
Crypto transfers are already shady and anonymous as they are. Being almost definite and hardly reversible, it is quite difficult to track the wallet owner with the existing resources. So if you’re having troubles retrieving your funds, do not hesitate to seek legal help promptly.
If Mercatox wasn’t a rotten scammer, users wouldn’t be rating their service so poorly. Despite all the great things they claim to do or provide, Mercatox support isn’t a diligent team of experts at your disposal for any problem solving. Neither is the website Mercatox legit.
All in all, it wouldn’t be a surprise to see even more victims of the Mercatox scam appear by the day. The swindler has set a large-scale sham that lures in the crypto enthusiasts with less information than needed to start investing in crypto.
However, there’s no shame in being scammed. That’s why we’re here. With a first consultation being completely free, you can gain insight into your alternatives and options for restoring funds stolen by Mercatox. So contact us today and let’s discuss what needs to be done so you can get back to trading and price speculating again.
Mercatox is an illicit crypto exchange operating from Marshall Islands and not being under any legal supervision.
Yes, the company has made their services and products available for the US citizens. What’s worse, the statistics show that most of the victims reside exactly in that country.
No. Because they operate without a valid crypto trading license, Mercatox doesn’t implement the necessary security measures and standards, so they’re not safe. If they have stolen from you too, contact us for legal advice and help.
Mercatox is an illicit crypto exchange operating from Marshall Islands and not being under any legal supervision.
Yes, the company has made their services and products available for the US citizens. What’s worse, the statistics show that most of the victims reside exactly in that country.
No. Because they operate without a valid crypto trading license, Mercatox doesn’t implement the necessary security measures and standards, so they’re not safe. If they have stolen from you too, contact us for legal advice and help.
The post Mercatox Review – User Reviews Are Negative For A Reason appeared first on Global Fraud Protection.
