Binary options scams were a big deal some time ago.

Why are so many investors being deceived every day?

So, how to identify non-genuine platforms and institutions?

How to prevent yourself from falling into financial traps?

Xiao Q is here to give you a little popular science!

Let’s look at an example first

In September 2015, Mr. Cai from Wenzhou received a call from an “investor” who recommended to Mr. Cai that he could do it at home. Spot crude oil and silver trading are convenient and have high returns. Unable to withstand the other party's repeated sales calls, Mr. Cai was moved. On the day of opening, Mr. Cai transferred 10,000 yuan into the "trading platform". Under the guidance of analysts, he made a profit of more than 2,000 yuan that day, and Mr. Cai was very excited. At first, Mr. Cai had doubts about this high-return investment, but several successful attempts to withdraw some cash from the platform dispelled his doubts.

In fact, Mr. Cai has unknowingly fallen into the trap set by scammers: the amount of investment has gradually increased, but has been in a state of loss; the "platform staff" can always make up reasons to refuse. Mr. Cai’s withdrawal application. It was not until January this year that Mr. Cai discovered that he had been defrauded after the account in which he invested 2 million yuan suffered losses of several hundred yuan.

Does the situation mentioned in the case look familiar?

In recent years, there have been many platforms that trade spot, crude oil, silver, and other bulk commodities, and there have been many disputes. The above case is a typical fraud method.

Do you often click on a very normal link when searching for relevant content on a search engine, but after entering it, various boxes pop up, as well as various live orders for spot crude oil and the like? Have you seen that many users are using this platform and many people are making money? Are you a little excited? So congratulations, you have been fooled! What Xiao Q wants to say here is that it’s better not to trust some unknown platforms!

What is the so-called "spot" speculation? How is it different from futures trading?

Why do so many people speculate in spot goods now? In fact, it is because these illegal spot platforms have introduced some mechanisms of modern futures trading, such as so-called "high leverage", "two-way trading" and "T+0" trading mechanisms, which have improved investment efficiency. Many investors do not understand that the trading platform is illegal, and are attracted by others in the name of "speculating on spot goods", resulting in being deceived.

The biggest difference is that the futures market is a market regulated by the China Securities Regulatory Commission. It is a market under legal supervision, comprehensive supervision, and strict supervision. All actions and processes in the futures market are under supervision, so they are real. Nowadays, these spot platforms, so-called "small plates", actually provide fake market prices, which are simulated, without entry-level transactions, and are not real. Its purpose is to defraud you of your money, not to allow you to gain profits through trading.

What the hell is the so-called "crude oil" speculation?

There are many crude oil futures platforms on the market now. I wonder if you are running transactions on one of them?

"I heard that speculation in crude oil and spot crude oil is the same as stock speculation. They are all traded on genuine exchanges and are legal." A deceived investor described it this way.

So are crude oil futures and spot crude oil trading legal? As far as Xiao Q knows, platforms engaged in crude oil and spot crude oil transactions require approval from the Ministry of Commerce, but the Ministry of Commerce has never approved any trading platform to engage in crude oil and refined oil transactions. According to relevant information released by the China Securities Regulatory Commission, there are currently only four futures exchanges in my country, namely the Shanghai Futures Exchange, Zhengzhou Futures Exchange, Dalian Futures Exchange and China Financial Futures Exchange. And the main business of these exchanges does not include "crude oil".

How to judge the trading platform?

There are 8 exchanges nationwide, 3 securities, 4 futures and 1 precious metal. They are Shenzhen Stock Exchange, Shanghai Stock Exchange, National Equities Exchange and Quotations (NEEQ), Shanghai Futures Exchange, Zhengzhou Futures Exchange, Dalian Futures Exchange, China Financial Futures Exchange, and Shanghai Gold Exchange. They are all approved by the State Council, so you can trade with confidence, because if something goes wrong, the state will take care of it.

All other platforms are fake! If your trading platform is not one of the above, then you can be careful!

In addition to the four futures exchanges approved by the state, namely China Financial Futures Exchange, Zhengzhou Commodity Exchange, Dalian Commodity Exchange and Shanghai Futures Exchange, what do you think of other trading venues and platforms?

Some platforms have local government approval or filing. First, we cannot say that they are illegal because they have local government documents. Second, it is difficult to say that what they do or the model they adopt is legal, because they adopt a futures-like trading model. Because according to the "Regulations on the Administration of Futures Trading", any unit or individual without the approval of the Securities and Futures Regulatory Authority of the State Council cannot organize futures trading. Third, most of these platforms are operated by means that we cannot see or touch. Nowadays, the price trend of commodities on some platforms is similar to that of videos. They do not form prices themselves. Some platforms will say that they adopt international prices and follow international prices.

Have you ever encountered various beauties who actively added you as friends to promote themselves?

Do you often receive friend requests from beautiful women?

Generally speaking, would you disagree with adding beautiful women as friends? (Laughing)

After becoming friends, did people just ask some basic information about making friends without going into depth?

However, do you often see screenshots of these beauties posting on a certain platform and making a lot of money in your circle of friends?

The beauties will brainwash you step by step!

When you are interested and take the initiative to chat with someone, that’s when you take the bait!

As the saying goes, "Flies don't bite seamless eggs." In fact, all illegal marketing now seizes on people's psychological weaknesses, such as single men's yearning for beautiful women and people's greed for money. , they all take advantage of human weaknesses to break through the defense line.

Any scam has two stages, just like "fishing". The first is "fishing", and later it is "making fish". To "cook fish" is to be "fried and fried" by him.

In general, the general scam is to lure investors to run investment transactions on unfair platforms.

These platforms are either betting against customers, black platforms, or simulated trading systems. Your money has not entered the trading platform at all, so tell your friends quickly, except for those approved by the State Council. Apart from a few large platforms, do not touch other trading products and platforms. This is a matter of saving lives. There are still thousands of so-called spot and futures trading platforms across the country. Please keep your relatives and friends away from these trading platforms.