Beware! Golden Sky Capital is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
Golden Sky Capital is an offshore broker awarded with an official warning issued by a European financial authority. The notices published by the regulators serve as scam confirmations and guide the traders which brokers to avoid. Golden Sky Capital is a confirmed scam, so you should stay away from them and report immediately if they contact you. Find out the rest about this broker in the full Golden Sky Capital review.
Golden Sky Capital REGULATION AND SAFETY OF FUNDS
Golden Sky Capital is allegedly a Marshall Islands broker, and that’s a problem for the traders. The islands are infamous for the lack of financial authority, let alone a regulated FX market. For traders, regulation means safety because the officers supervise the FX companies and prevent fraudulent activities. Golden Sky Capital doesn’t hold a license, so it’s a broker unsafe to trade with for the lack of regulation itself.
However, the bigger problem for Golden Sky Capital is the official notice the Swiss regulator FINMA published against them, warning the traders it’s a company breaching the laws. The address provided prompted the publication, and apparently, they’ve removed it for we can no longer see them pretending to be a Swiss broker. Your funds are not safe if you make a deposit with Golden Sky Capital because it’s an unlicensed and unregulated fraudulent broker, blacklisted by the Swiss financial authority.
See our list with CySEC regulated (EU) and FCA regulated (UK) brokers we’ve shortlisted for you. We recommend European brokers for the Old Continent created a safe and predictable trading environment. These companies have to comply with many strict rules and regulations, such as minimum capital requirements of 730 000 EUR, personnel qualification standards, segregation of the clients’ accounts etc. All of the rules mentioned are laid out as customer protection measures, but most importantly, UK and EU countries operate deposit insurance funds created to guarantee the clients’ deposits. If you trade with CySEC brokers, you can claim up to 20 000 EUR in compensation, while the British guarantees are of even up to 85 000 GBP per client. Each EU member state is compelled to create and further operate similar insurance funds seen as the last resort for traders if a Forex broker can’t meet its financial obligations.
Golden Sky Capital TRADING SOFTWARE
Warning! Golden Sky Capital provides the traders only with a web-based trading platform! The platforms brokers create by themselves are unreliable, but also lacking in functionality. Beware, these platforms are considered prone to fraud and price manipulation, so we do not recommend brokers providing proprietary web-based software only.
The EUR/USD spread floats between 0.5 pips and 1 pip, in line meets industry standards. The Buy/Sell difference is the price to execute a trade and it largely determines whether a broker is good. Lower rates make trading more affordable and improve profit potential.
The leverage provided by Golden Sky Capital is a weird story. Each currency pair has its own leverage level traders cannot change. For example, GBP/USD comes with 1:10, while EUR/USD has a fixed 1:100 ratio to the pair. In general, the highest possible level is 1:100, a level not recommended due to the risks involved. The leverage multiplies the size of the positions opened, improving the profit potential, but at the same time, it increases the hazards proportionally. The leveraged trading dangers made EU, UK and Australia (from 2021) force a leverage cap of 1:30 on the market as a customer protection measure. US brokers and Canadian brokers are not allowed to offer more than 1:50, so higher ratios are not recommended due to the lack of proper regulation, as well.
Avoid Golden Sky Capital and go for the MetaTrader4 and MetaTrader5 brokers. We recommend these companies because MT is the best retail Forex trading software globally, and it’s free to use. It’s stable and reliable, including sophisticated trading tools such as Expert Advisors (EA), Algorithmic trading, Complex indicators and even a marketplace where the traders can buy or use for free a variety of third-party-developed solutions.
Golden Sky Capital DEPOSIT/WITHDRAW METHODS AND FEES
The minimum initial deposit with Golden Sky Capital is $250, which is in line with the offshore brokers’ requirements but more than twice higher than the regulated industry standards- $100 on average. The funding methods are Credit/Debit cards, Wire Transfers, and most third-party providers. It’s somewhat a vague definition because there are hundreds of payment providers globally. Traders should know that Wires and Bitcoin payments are final and non-refundable. Currently, it’s best to fund accounts via bank cards only because it allows а chargeback within 540 days from the deposit date.
The minimum withdrawal amount is $100, which is a condition unfair for us. Most of the regulated brokers don’t impose such provisions, and traders can withdraw any sum that they want. Golden Sky Capital process the withdrawal request within 5 days, and the first one is free of charge. Each subsequent withdrawal will be charged with $30 fee, quite a hefty sum indeed. Add-up the charges banks might impose, and it costs a fortune to pull out some profits.
After 3 months of inactivity, an account becomes dormant and will be charged with a monthly maintenance fee of 55 EUR, yet another oversize fee they inflict on the traders’ accounts. To compare, most of the regulated brokers take 5 to 10 dollars per month from the dormant account balance.
Golden Sky Capital offers deposit bonuses starting from 25%, a warning sign itself. The bonuses are not free money, but a leverage tool further increasing the risks. The sums rewarded are impossible to withdraw unless traders fulfil specific demands. In this case, the minimum trading volume is 50% from the sum traded in lots. For a bonus of $100, traders should execute 50 lots equalling $5 mln in turnover, and that’s insane, isn’t it? Also, the bonuses merge with the balance, making it impossible to withdraw any sum whatsoever! The risks involved made EU and UK prohibit all forms of trading incentives as a customer protection measure, helping traders reduce losses caused by misunderstandings.
Overall, Golden Sky Capital is a confirmed scam, so keep your money safe and avoid!
HOW DOES THE SCAM WORK
A group of scammers usually operates many scam brokers, scam websites and call centres. Sometimes they simply rely on the quantity; they create many websites waiting for traders and investors with little or no experience to bite. Nowadays, it’s very cheap to create one, and it looks like a profitable strategy, as they carry on doing it.
Internet and social media are bustling with scammers. They approach people on Facebook, Instagram, Telegram; you name it. Pages showing lush lifestyle, cars, yachts, celebrities etc. lure people all over the Internet. Often the scammers give free advice or a tryout, and before you know it, they will be asking for a deposit. They’ll show you pictures of their trading accounts displaying huge profits and Bitcoin earnings, and if you have no FX experience, you might easily believe in your eyes. The scammers also post tons of positive comments and reviews about their phony brokers all over the Internet, so you should remain wary. Always look for more information before sending any money to a broker.
WHAT TO DO WHEN SCAMMED
Unfortunately, no one is immune to fraud. In case you got scammed, you need first to protect yourself from further risks. Contact your bank and explain to them your situation, they will give you necessary instructions to follow and will help you, if possible, recover your money.
Report what happened to you, file a complaint, contact the financial regulator, contact other government institutions related to trading and investing, call the police if you feel necessary. Seek help actively!
It’s crucial not to rush blindly trying to recover your funds because many scam recovery agencies and individuals are stalking, aiming to double scam the victims. They ask for an advanced payment, but do nothing to help you recover your losses and simply pocket the money you’ve sent!
Share online your experience; it’s important to protect others, as well. Be responsible!
Rich Snippet Data
Golden Sky Capital