Broker selection is one of the core fundamentals that keeps evolving in the online trading industry. Luzuna is a new entrant that seems to be creating quite a stir nowadays, albeit sometimes for the wrong reasons. This review on Luzuna looks at the background, regulations, user reviews, and a few other red flags to let you decide: Is Luzuna a scam?
Luzuna Background Overview (luzuna.com)
Luzuna markets itself as a livelier trading site with access to more than 600 instruments spanning the categories of currency, commodities, indices, and shares. Techna Solutions LTD manages it, and the company claims registered in Saint Lucia at the address Massade, Gros Islet, LC01 101, with registration number 2021-00184. Features like real-time market prices, charting software, and a user-friendly interface have all been mentioned as being advantageous to new and experienced traders alike.
No Regulation or Accountability
This regulatory status is one of the critical considerations while scrutinizing any broker. Luzuna is a brokerage business operating unregulated, meaning that it escapes the attention of recognized financial authorities. Inquiries show that Saint Lucia does not regulate financial derivatives trading and that no evidence exists that Luzuna had authorization from any reputable financial regulatory body. The lack of regulation raises reasonable doubts about the credibility of the platform and the security of client funds.
Potential Red Flags
- Unverified Company Registration. There are no records in the country’s company registration database to establish any such registration to Luzuna.
- Clients are Unprotected and Underregulated. This is where the companies design the operations; in such jurisdictions with lenient regulatory frameworks, companies often try to escape stringent oversight, hence posing a high risk for investors.
- High Leverage. A degree of leverage of 1:400 is very convincing to draw in traders who look for high returns, whereas the same scenario exposes them to equally great losses without an element of proper regulation.
- Company Specifications are Not Clear. The platform has a hazy description of its corporate framework that does not inspire confidence.
Negative User Reviews
User experiences do shine some light on the problems besetting Luzuna:
- Withdrawal Problems. Many users complain that they have difficulty repaying money. One user said, “I tried to close my account and withdraw when I had over €445k but they continued to make excuses not to give me my money.”
- Account Closure and Seizure of Funds. As stated in the terms, the company has the right to block accounts without notice, thereby putting funds’ safety at risk. Clients reported sudden account closures and funds disappearing without a reasonable explanation.
- Manipulating Behavior. Some traders have accused the platform does not letting them close trades, particularly when the market goes against them, amplifying losses.
If you are a victim of loss of money from the Luzuna scam, you need to officially report the fraud to the concerned authorities and consult an expert. Proupshot has expertise in recovering losses incurred through broker disputes, Forex scams, and cryptocurrency scams, increasing your chances of getting back your lost money.
Learn more about scam brokers. Read more scam broker reviews here.
Visit our Facebook page
Leave a Reply