PaxForex has been operating as an offshore broker for many years. In 2020, the U.S. regulator CFTC brought a lawsuit against St. Vincent & Tthe Grenadines registered operator, Laino Group Ltd. The FBI seized the domain www.paxforex.com. Since then, the offshore broker has been operating with the domain www.paxforex.org. The offshore entity has disappeared, but the website lists it as the operator. Stay far away.
Key Data
| Trading name | PaxForex |
| Related scheme | AdroFX |
| Business activity | Multi-asset brokerage platform |
| Domains | https://paxforex.org https://partners.paxforex.org |
| Social media | LinkedIn, Facebook, Twitter, Instagram |
| Legal entities | Laino Group Ltd, SVG |
| Contact data | +44 203 504 0303 [email protected] [email protected] |
| Jurisdiction | St. Vincent & The Grenadines |
| Authorization | No |
| Related individuals | not disclosed |
| Leverage | up to 1:500 |
| Payment options | e-wallets, crypto bank wire |
| Payment processors | Perfect Money, Skrill, Neteller |
| Trustpilot | 3.2-star rating with an “Average” trust level |
| Warnings | CFTC, Banned by U.S. Court |
| Compliance rating | Black |
Short Narrative
In 2020, the CFTC filed a fraud complaint against the offshore broker charging PaxForex with engaging in illegal, off-exchange transactions in Ether, Litecoin, and Bitcoin, in addition to precious metals and foreign currency, with retail customers on a leveraged, margined, or financed basis and acting as a futures commission merchant (FCM) without CFTC registration as required. The FBI seized the domain www.paxforex.com.
In July 2021, a U.S. court ordered imposed permanent trading, solicitation, and registration bans against PaxForex and required PaxForex to pay a civil monetary penalty of $374,864.
Compliance Check
In our compliance test, the following findings were made:
- We could register with PaxForex as EEA residents without any problems, even though the broker does not have regulatory permission for these jurisdictions.
- We could have made theoretically unlimited pre-KYC deposits via Perfect Money, Skrill, Neteller, and Crypto.
- The broker offers maximum leverage of 1:500, which is against the regulatory requirements of most Western countries.
Due to the U.S. court order, the lack of regulatory permission, the ability to conduct unlimited pre-KYC, and the high leverage not allowed in most jurisdictions, we have placed PaxForex on our Black Compliance list.
Share Information
We recommend staying away from this unregulated offshore broker scheme. If you have any information about the scam operators or supporting partners, we would be happy if you share it with us.
