How to Distinguish a Real Broker from a Forex Kitchen

"30% earnings per month", "no risk", "double your deposit in a week" — if you've seen something like this, it's most likely not a broker, but a forex scam. Let's break down how a real broker differs from it and how to verify whom you're giving your money to.

What is a forex scam

A forex scam is an establishment that only imitates entering the market. Your trades never reach the real exchange: you're "trading" within their system against the company itself. This means your loss is their direct income, and they're interested in making clients lose money.

Warning signs

• Income promises. A real broker never guarantees profit — the market is unpredictable. Guarantees are only given where they want to lure you in.
• No license. Or it's "somewhere on an offshore island" that doesn't regulate anything.
• Pressure and urgency. "Only today", "deposit quickly" — a tactic to prevent you from thinking.
• Unclear where your money is. With an honest broker, securities are kept in a depository and belong to you, not disappearing into a common pot.
• Withdrawal problems. It's easy to deposit money, but suddenly there are lots of conditions to withdraw.

How to check a broker

The main thing is the regulator's license and transparency. A conscientious broker openly lists the legal entity, licenses, and tariffs, and your assets are accounted for on the exchange and in the depository. This is the infrastructure that a scam simply doesn't have.

How this applies to "Exchange Broker"

"Exchange Broker" operates under licenses from the Ministry of Finance of Tajikistan — brokerage, dealer, depository, and securities management. Trades go to the real U.S. market (NYSE and NASDAQ), and the purchased securities belong to you. No promises of "monthly percentages": income depends on the market, and this is stated honestly. If you're choosing whom to trust your money with, start by checking the license, not the promises.

This material is for informational purposes only and is not an individual investment recommendation. Investment returns are not guaranteed, past results do not determine future ones.