List of Crypto Exchanges in Vanuatu

If you are trading with a multi-licenses forex broker, then you could take it easy. Your broker most likely only seeks VFSC licenses in order to smooth their international operation, while providing services in accordance with higher requirements set upon by better regulatory agencies.

There's a significantly different consideration if you are trading with a single-license forex broker (and the license in question comes from VFSC). It is possible to trade with them for some time with minimum capital, but it is not advisable to continue working with them in the long term. Do yourself a favor by moving your funds to better-regulated forex brokers.

Continue Reading at What Does VFSC Regulation Mean for Forex Brokers?

There are four things we could check to recognize broker scams:

1. Sensasional ads: They tend to promise a big number, sometimes unrealistic.
2. Unproven regulations: Check out whether they are regulated and whether their regulations are legit.
3. Untraceable contact: Find out if they have a legit communication line or real address.
4. Bad reviews: Look at what people say about them.

Continue Reading at 4 Signs to Recognize Forex Broker Scams

Market makers are the parties that provide liquidity and quote both the buy and sell rates. They can be individuals, brokers, banks, hedge funds, and other financial firms. Large banks in particular are the master market makers.

One simple example of the market-making practice is a foreign exchange transaction in a local bank. This is very similar to the business activity of market makers in forex trading. Let's see the illustration below.

Dolan is in need of USD currency for a trip to the USA. He carries the local currency EUR to Bank Z to be exchanged with USD. In this case, Dolan wants to buy USD and Bank Z makes the market by selling USD and buying EUR.

One month later, Dolan returns home and wants to exchange his remaining USD with EUR. He visits Bank Z again, and this time Bank Z makes the market by buying USD and selling EUR.

Here, Bank Z generates profits from the differences between the sell rate and buy rate.

Continue Reading at Are Market Maker Brokers Always Bad?

Here are some tips to identify forex broker scams:

1. Check their contact support.
2. Beware of unrealistic promises.
3. Review them online.
4. Check their regulation.
5. Always check your monthly statement.
6. Try trading with small capital.
7. Make withdrawal.

Continue Reading at How to Avoid Forex Broker Scams