One of the first signs you should avoid this brokerage is their anonymous approach. RedStarChain expects you to throw away thousands of dollars, and they are not prepared to share their legal name. Neither do they reveal legal documents.
So, what could make you think you will earn anything with them? Let’s find out in this unbiased RedStarChain review how traders get tricked.
| Regulated By: | No Regulations |
| Is This Company Safe? | No |
| Known Websites: | |
| Have Warnings From: | N/A |
| Registered In: | UK (allegedly) |
| Operating Since: | 2023 |
| Trading Platforms: | Proprietary platform |
| Maximum Leverage: | 1:400 |
| Minimum Deposit: | $100 |
| Deposit Bonus: | Available |
| Trading Assets: | Cryptos, options, shares, ETFs |
| Free Demo Account: | Not Available |
| How To Withdraw From This Company? | Since the company is running old-school quick money schemes, there’s a very low chance you will see any of your funds back through withdrawal. We advise you to apply for a refund as soon as possible. Don’t waste any time with this swindler! |
Legal Info: Is RedStarChain Legit Or A Scam?
To check the company’s regulations, we first have to know who runs the company. Since the legal name is not revealed, we’ll have to try our luck with their domain. Luckily, the company presents itself as UK-based, and the FCA filters allow us to do so. If you expected this broker to be a fraud, you were right. They were nowhere to be found in the FCA’s database.
Not only that, but they are not listed in any other top-tier regulated entity database. Consequently, features like negative balance protection, segregated bank accounts, and compensation schemes become highly questionable. If they were offering any, you shouldn’t trust it a bit.
Who Are RedStarChain’s Victims?
As can be seen, the company claims to have more than 300.000 users right now. Since their domain was registered in December 2023, we highly doubt it. Of course, RedStarChain reviews do not back up that story.
Nevertheless, if you are coming from the following countries, keep your eyes wide open:
- France
- Switzerland
- Begium
The company’s website has been published in English and French. This tells you there’s a possibility they are primarily targeting French speakers. Regardless of your language and residence, feel free to contact our refund specialists if you think this broker stole your money.
Traders’ Reviews
Since the company’s offer is quite suspicious, traders will most likely opt to see the reviews. Fairly, those look quite positive. Yet, all the accounts leaving those positive reviews on Sitejabber have 0 helpful votes. Also, that’s their only review. It all looks staged.
Also, there are a few comments on Reddit you should also check. It appears the company has been offering auto-trading systems and social trading features. Nevertheless, if you know something about RedStarChain social trading or any of its features, leave a comment below. But if you want to recover your money straightforwardly, contact us directly for a refund consultation.
Leverage, Commissions, Spreads, Fees and Taxes
Another sign this company is not genuine is its leverage of 1:400. Bear in mind that all European brokers, according to ESMA, can offer a maximum of 1:30 to retail traders. You should withdraw your funds immediately if you get anything higher than that.
Another problem with the company is that they are not charging any fees. Neither do they disclose spreads or commissions. This should make you wonder how they make money then.
Bonuses
The answer to the previous question is through deposits. The point is to get as many deposits as possible. And one of the ways to accomplish that is with bonus deals.
Of course, to withdraw any bonuses, you have to reach a minimum trading volume of 25 times the deposit amount plus the bonus added. If you try it out, you will see it’s practically impossible. Anyway, to learn more tips, read our Everest Trust review.
RedStarChain Trading Features
The main problem with this brokerage is the RedStarChain RSC Trader. It’s a proprietary platform offering a wide range of services. As mentioned, the key feature the company promotes is social trading. But without regulations, who can put trust in those services?
Trading Platforms Available
Important to realize is that proprietary platforms can never be compared to cTrader or Meta Trader, primarily due to a lack of credibility. The company promotes a wide range of benefits.
However, there are no download options or demo accounts to test it out. With this in mind, you should rethink your broker choices. Otherwise, the RedStarChain withdrawal procedure might be longer than you think.
Available Trading Assets
The company’s instruments offer is quite solid. With over 2000 assets, from RedStarChain stocks and cryptos to ETFs and options. Yet, without a license, it’s all worthless. Anyway, the options are:
- Stocks – AMD, IBM
- Options – Tesla, Microsoft
- ETFs – Russell2000, QQQ
- Cryptos – BTC, LTC
Account Types
Surprisingly, all account types with this broker contain the same features. Which is quite odd since they require more and more money every time for a deposit. Yet, trading conditions still remain unknown. Anyway, the options are:
- Beginner – $2.000
- Standart – $4.500
- Intermediate – $8.500
- Advanced – $45.000
- Integral – $100.000
Mobile Trading App
According to the presentation, the company offers apps available across all platforms. Yet, PlayStore and AppStore don’t have RSC Trader registered there. So, after completing the RedStarChain login procedure, make sure to research everything before depositing.
Demo Account
Another disadvantage of this brokerage is a lack of demo accounts. Obviously, they will lure traders to deposit as quickly as possible. They won’t give you enough time to explore all the options.
But if you check any top-tier licensed firm, you will see a demo account as an essential. To avoid similar tricks with shady brokers, read our DCY Markets review.
Education
If you are looking to trade properly, adequate education is quite important. Sadly, with the RedStarChain scam broker, you won’t get any. Obviously, their goal is to make you use their fictive social trading options and make fictive profits. Only that way they can ask you for more money.
RedStarChain Withdrawal
One thing is sure about this broker. They will charge you withdrawal fees. Those would be $50 for wire transfers, $25 for credit cards and e-payments, plus $10 for card processing. If you think that’s all, think about it again: who are you working with?
In case you request a withdrawal before making a turnover of 200 times, you will be charged an additional 10%. But also, there can be all other possible fees this broker makes up. Get your nerves ready, especially since processing time is not revealed.
Customer Support
As can be seen, the company has been offering two contact options. Those are e-mail and UK phone numbers. If we can trust those, we highly doubt it. Primarily because the company doesn’t disclose working hours. But also, don’t forget they are not regulated.
Key Information To Consider About RedStarChain
Obviously, all warning signs lead to one conclusion – that you will get scammed by this broker. Firstly, they are not licensed and they present themselves as UK-based. In addition to that, the company is hiding trading costs, using a shady platform, and having quite hefty withdrawal fees.
But before even applying for any withdrawals, you can expect a wide range of obstacles. Anyway, if you experience a problem withdrawing your funds, don’t worry. You are not alone. Our refund specialists are there to consult you on your next step. Most importantly, without any obligations or costs for the first meeting. Don’t wait for anything, and book yours now.
FAQ Section
What is RedStarChain?
RedStarChain is an anonymous investment firm allegedly operating from the United Kingdom with more than 300.000 clients.
Is RedStarChain Legit?
Not at all. As a UK-based brokerage, the company should have an FCA license or TPR. Yet, they don’t. Thus, they don’t have any other licenses either.
How to Recover Money From a Scam Broker?
If you are transferring crypto, CipherTrace is your best option. But for card transfers, we always recommend a chargeback. In both cases, feel free to contact our experts for guidance.
Source:
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