ECN Capital Review (2023)

Is ECN Capital a scam or a legit broker?

ECN Capital is not a secure Forex broker since it does not hold a license from any worldwide serious Forex authority. Meaning the broker is suspected of being a fraud company since it was not checked for its compliance before establishment, never monitored in terms of its safety and simply may operate the business in any way it wishes.

ECN Capital is a company incorporated in Moslok Ltd registered in Larnaca, Cyprus. The broker claims it offers of services to trade on a range of currency pairs, stocks and commodities through a technological execution. However, being based in Cyprus the company should be registered with the CySEC in order to deliver its financial service offering to the public.  Yet, the ECN Capital does not hold any license and targets their clients in those jurisdictions that are mainly popular by the fraud companies to concentrate in.

In addition to numerous negative user reviews that internet sources are full of, the company also was detected in its relation to Trade-24 broker. In the official agreement, there is a mentioning of the account name with the Trade-24, while the broker is also listed as a Broker to Avoid due to their fraud operations.

Moreover, the international authorities issued alerts to investors against trading with ECN Capital for offering services without regulatory authorization. This includes warnings from the FMA New Zealand, Estonian FSA, French AMF and Belize IFSC.

“Finantsinspektsioon (the Estonian Financial Supervision Authority) would like to inform investors that according to Finantsinspektsioon´s knowledge Moslok Ltd, ECN Capital has turned to Estonian population and offered them investment services. Moslok Ltd does not hold an activity license for the provision of investment services in Estonia and therefore is not authorized to provide investment services in Estonia.”

Estonia FSA, 2017

Conclusion

We strongly advise opening a trading account only with the brokers that are regulated by the respected world authorities that comply with the required set of rules and a good reputation through the delivered timeframe of operations. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as FP Markets and TMGM.