PowerStox boldly presents itself as a global brokerage firm, boasting access to over 10,000 markets. Intrigued by such ambitious claims, we delve into the conditions it offers to traders. However, our primary goal is to determine whether this is a legitimate entity or a potential scam. Join us as we conduct a thorough review to shed light on this matter.
- PowerStox General Information
- Registration and Client Portal Review
- PowerStox Trading Conditions
- Account Types Review
- Trading Platform
- PowerStox — Deposit and Withdrawal of Funds
- Verification
- Additional Options
- Is PowerStox a Scam?
- Legal Information and License
- Powerstox.com Domain Info
- Contacts Review
- Pros and Cons
- Frequently Asked Questions (FAQ)
PowerStox General Information
| Website | https://powerstox.com/ |
| Phone Number | +18007061196 |
| customersupport@powerstox.com | |
| Address | Carenage Bay Canouan Island, VC0450 Kingstown, Saint Vincent & Grenadines |
| License | — |
| Minimum Deposit | $250 |
| Assets | CFDs |
| Leverage | 1:400 |
| Trading Platform | WebTrader |
Registration and Client Portal Review
PowerStox has developed a rather simplistic website. Everything here suggests that the broker is positioned as a fast track to wealth. There are images of trading terminals and reputable traders, creating an impression of credibility. However, the website is only available in English, which raises doubts about the global nature of the broker. An important drawback is the lack of detailed information about the company, which is quite concerning. However, legal information is provided, which is at least somewhat reassuring.
The registration process on the website seems straightforward. Clients are essentially asked to fill out just one form with their personal details. This includes not only their name and surname but also their phone number, email, and even address. However, here’s the problem: you won’t be able to complete the registration. An error will simply appear in the form, and the broker will suggest you try again. The reason for this disorder is a good question. Perhaps on the PowerStox platform, you must have a promo code. Or maybe the broker simply opposes the registration of outsiders on its platform. Whatever the case, it’s concerning that you can’t complete the registration on your own.
The inability to complete the registration independently raises concerns about the reliability and functionality of the platform. A smooth and efficient registration process is crucial for building trust with potential clients. If users encounter difficulties or errors during registration, it may undermine traders’ confidence in the platform’s overall reliability and security.
PowerStox Trading Conditions
The broker claims to offer access to over 10,000 markets. It’s intriguing to consider whether PowerStox is aware that there aren’t actually that many markets in existence. Most likely, they are referring to trading instruments. However, attention to detail and accuracy are still essential. Let’s finally proceed to examine their offerings.
Account Types Review
Powerstox offers a variety of account types, purportedly catering to the needs of traders across different skill levels. However, delving into the details reveals a less than favorable picture.
- Firstly, the Mini Account requires a minimum deposit of $250, providing leverage up to 1:400, and it’s supposedly aimed at beginners or those merely testing the trading environment.
- Moving up the ladder, the Advanced Account necessitates a minimum deposit of $2,500, offering similar leverage but with a higher order size limit. It supposedly targets traders seeking broader market exposure.
- Then, there’s the Executive Account, demanding a hefty minimum deposit of $25,000. It grants access to trading portfolio and market analysis tools, presumably appealing to strategic traders.
- The Prime Account, requiring a substantial minimum deposit of $100,000, comes with hedging options and a trading portfolio. Ostensibly tailored for experienced traders with considerable capital.
- Lastly, the VIP Account, tailored for high net-worth individuals, boasts features like negative balance protection and low market price difference. It’s claimed to offer hedging capabilities and an extensive trading portfolio.
The leverage offered here is unreasonably high. 1:400 on a starter account? All reputable regulators prohibit this. Additionally, the company fails to disclose the size of spreads and other commissions. Instead, it directs all attention towards describing additional services.
Trading Platform
The trading experience with PowerStox is quite disappointing. Firstly, they do not provide access to a demo account, which is a significant drawback for traders who want to test their strategies risk-free. Secondly, PowerStox does not offer any access to their trading platform without registration. Although they claim to offer mobile and desktop applications, users cannot download them until they register. This means their software is not available on reputable platforms like the App Store or Google Play Store. Downloading unfamiliar software outside of these platforms is risky, as it could potentially be unlicensed or harmful.
PowerStox — Deposit and Withdrawal of Funds
PowerStox offers deposit methods through credit and debit cards, as well as cryptocurrencies. Additionally, these same methods can be used for withdrawals. However, there are limits imposed on deposits and withdrawals, which vary depending on the payment system and may change over time. The lack of specific details regarding these limits is concerning because it leaves users uncertain about the constraints they may encounter when managing their funds.
Verification
PowerStox offers full identity verification for its users. After completing the initial registration, users are required to submit documents to verify their identity. This includes providing a copy of a government-issued ID, such as a passport or driver’s license. In addition, traders may also need to verify their residential address. This can be done by submitting a recent utility bill or bank statement that displays the user’s name and address.
Once the necessary documents are submitted, the PowerStox team reviews the information provided. This process may take some time, as the platform ensures the authenticity and accuracy of the submitted documents.
Upon successful verification, users will receive confirmation that their account has been fully verified. They can then access all features and functionalities offered by PowerStox, including funding their account and executing trades.
Additional Options
The company offers various additional services, such as an Education Center and Price Alerts. However, we are unable to verify the quality of their education because access to the platform, as mentioned earlier, is only granted to invited individuals. As for Price Alerts, we also do not see this functionality available in open access. Furthermore, these services are inexplicably only offered in accounts with high minimum deposits, although they would likely be more beneficial to novice clients.
Is PowerStox a Scam?
PowerStox offers trading services that we found to be rather ordinary. As for the legality of this project, let’s take a closer look at the situation.
Legal Information and License
In the agreement, it is strangely stated that the company operates according to the laws of the British Virgin Islands. However, there are no PowerStox brokers listed in the registry of licensed brokers. And furthermore, the company claims to be registered in Saint Vincent and the Grenadines. However, this offshore jurisdiction is not considered the best choice for registering a broker due to its loose regulatory oversight and lack of stringent financial regulations. Additionally, Saint Vincent and the Grenadines do not provide licenses for online brokers, which raises concerns about the legitimacy and regulatory compliance of PowerStox.
As if that’s not enough, the situation is actually even worse. We checked the information in the Grenadines registry and found no matches either by number or by the name PowerStox. This means that the project is not officially registered and operates just like any regular website.
Powerstox.com Domain Info
Another peculiar fact we uncovered was the project’s duration of operation. According to the Whois service, the official website of the project was only created in September 2023. This is an unusually short period of operation.
A newly established broker may lack the experience and infrastructure needed to handle clients’ funds and provide adequate support and services. Additionally, the short duration of operation makes it challenging to assess the broker’s track record and reputation in the industry.
Contacts Review
PowerStox provides contact options such as email and a phone number for communication. Additionally, the company has listed an address in the footer of its website. However, upon investigation, it appears to be a fake address, as the company is not registered there as claimed.
Pros and Cons
- Wide range of trading instruments.
- Lack of access to a demo.
- Inability to access the trading platform without registration.
- High leverage ratios offered.
- Short operational period.
- No licenses.
PowerStox appears to be a relatively young brokerage project with evident legal issues. The lack of transparency surrounding its registration and regulatory status raises significant concerns about its legitimacy and reliability as a trading platform. Therefore, engaging in trading activities with it may pose considerable risks to investors, and it is advisable to avoid trading with this broker.
Frequently Asked Questions (FAQ)
PowerStox offers trading services in various financial instruments, including Forex, stocks, commodities, and cryptocurrencies. Additionally, the platform provides access to educational resources, market analysis tools, and customer support.
According to the trading conditions, the minimum deposit required to start trading with PowerStox is $250.
No, PowerStox cannot be considered safe. The company operates as an offshore entity with no regulatory oversight or documentation to ensure the safety of investors’ funds.
Do not get involved
Fraudsters lure you into their scam with a “low entry threshold,” super offers like a personal analyst or miracle signals, and then people who trusted them and handed over their capital lose everything down to the last penny. Yes, I’m talking about Powerstox right now. because it’s a prime example of a deceitful and fraudulent broker. There’s no license here, and what you see on the website (supposedly registered in SVG) is nonsense because no company is associated with this number. Guess what the catch is? And I’ll tell you. Scammers used someone else’s name, creating a fake brokerage site. And the company whose name they used seems to have already closed down. And now their legend is so easily exposed. And what’s the point of all this? Right, to scam naive and trusting traders out of money, those who believe in this nonsense, won’t bother to check, won’t understand the catch, and so on. Well, now that you’ve read my review of this scam, you know that you should never trust fraudsters under any circumstances.
I strongly advise against getting involved with this scam
I’m sure you’ll lose every last euro. Don’t fall into this trap because you’ll be scammed. I fell victim to it, and now I’m writing these comments to warn others, to help save money for beginners and those who don’t understand where the scam broker is and where the honest organization is. So, this Powerstox is a blatant fraud. Please don’t fall for it. I left €1,000 here, and now I can’t withdraw these funds. The criminals are unresponsive, providing no information, including any hope of withdrawing the money. It’s a sad experience, but what can you do? It will be a lesson for me, and I need to move on.