Digibits is a forex and CFD broker that claims to offer a variety of trading instruments, including forex, stocks, indices, and commodities. However, there is a growing body of evidence that suggests that Digibits is a scam broker.
Company Overview
Digibits is a relatively new broker, having been founded in 2021. The company’s website is poorly designed and lacks transparency. There is no information about the company’s management team or its trading platform.
Team
The Digibits website does not list any information about the company’s management team. This is a red flag, as legitimate brokers are usually transparent about who is running the company. We did not find any information about this.
Services or Products
Digibits claims to offer a variety of trading instruments, including forex, stocks, indices, and commodities. However, there is no way to verify this claim, as the company’s website does not provide any real-time market data or trading charts.
License and Regulations
Digibits is not regulated by any major financial regulatory authority. This is a major red flag, as unregulated brokers are not subject to the same level of oversight as regulated brokers. This means that there is no one to protect you if you lose money trading with Digibits.
License Status
Digibits claims to be licensed by the SVG Financial Services Authority (FSA). However, the SVG FSA is not a reputable regulatory authority. It has been accused of lax oversight and of issuing licenses to scam brokers.
Regulation Status
Digibits is not regulated by any other major financial regulatory authority, such as the Financial Conduct Authority (FCA) in the UK or the Securities and Exchange Commission (SEC) in the US.
Why Dealing With An Unlicensed Broker Is Risky?
There are many reasons why it is risky to deal with an unlicensed broker. Here are a few:
- Unlicensed brokers are not subject to the same level of oversight as regulated brokers. This means that there is no one to protect you if you lose money trading with them.
- Unlicensed brokers are more likely to engage in fraudulent activities, such as front-running or market manipulation.
- Unlicensed brokers may not have the financial resources to cover your losses if they go bankrupt.
Legal Warning Against Digibits
The Financial Conduct Authority (FCA) in the UK has issued a warning against Digibits, stating that it is not authorized to conduct investment business in the UK. The FCA has also warned that Digibits is likely to be a scam.
You also can go through our other scammer lists such as the SEC Blacklisted Companies, FCA Unauthorised Firms List, ASIC Blacklisted Companies, & Bank Guarantee/SBLC Review.
Client Feedback
There are many negative reviews of Digibits online. Some people have complained that they have lost money trading with the broker, while others have said that they have been unable to withdraw their funds.
Feedback About Their Trading
The few people who have left positive reviews of Digibits have said that the trading platform is easy to use and that the spreads are competitive. However, these reviews should be taken with a grain of salt, as they could be fake.
Feedback About Their Customer Service
The customer service at Digibits is reportedly poor. People have complained that they have had difficulty getting in touch with customer support and that they have not received a response to their queries.
How Can “Reviews Advice” Help You If You Get Scammed?
If you have been scammed by Digibits, there are a few things you can do:
- File a complaint with the Financial Conduct Authority (FCA) in the UK.
- File a complaint with the Securities and Exchange Commission (SEC) in the US.
- Contact your bank and ask them to reverse the charges.
On the other side, you can contact us, and will provide you with a free consultation call and some recovery service recommendations.
Final Thought
Digibits is a scam broker. Do not trade with them. If you have already lost money trading with Digibits, you should seek legal advice. If you are ever unsure about a broker, it is always best to err on the side of caution and avoid trading with them.
