METAVERSE FOREIGN EXCHANGE GROUP INC known as MTFE claims to be “an online trading provider.” They provide the opportunity for investors to trade various assets through their platform. These assets include currencies (virtual and fiat), stocks and commodities.
The popularity of MTFE has exploded, this is evidenced by over a million downloads their app has on the Google Playstore.
But due diligence is not to be swayed by numbers but evidence and critical thinking. Hence, we will begin with our appraisal of this platform where it matters most, its license status. This is important because licensing means the activities of the company are regulated, there are checks being done and, in some cases, funds are set aside with the regulators with which customers are reimbursed if things go wrong. Looking at the MTFE website, we see claims of being licensed by Canadian FINTRAC, this is seen in their footer.
A check on the FINTRAC website shows this information checks out to be true
But FINTRAC does not license or regulate brokers or online trading providers. It is clearly stated on their website that “Registration with FINTRAC does not indicate that FINTRAC endorses or licenses the business. It indicates only that the business has satisfied the legal requirements to register.” Also, in the past, we have recorded lots of fraudulent schemes that have projected FINTRAC registration as a bar for legitimacy and consequently absconded with investors’ funds.
At the very least, a broker or online trading provider should have a local license to at least prove that it can operate in its home area. Since MTFE is domiciled in Ontario Canada, the entity that regulates firms in that area is Investment Industry Regulatory Organization of Canada. A visit to their website showed MTFE is not amongst its registered dealers.
Another local regulatory agency that would have to oversee its activities is the Ontario Securities Commission. They are also not on the list of its licensed firms.
Another thing worthy of note is that MTFE requires you to input a “Promote code” before you can complete your registration. This functions as a form of referral system. Most Ponzi and pyramid schemes always contain this feature.
Another thing to consider is some worrying reviews on Trust Pilot, below are screenshots of a few
In conclusion, aside from the reviews and the referral feature, the fact that MTFE is not licensed is its major Achillies hill, and for this fact we advise that you avoid this platform.