When Bullexo first launched, the website seemed comprehensive and good-looking – which is unusual with a lot of trading and investing sites as they can often appear clunky and dated. But, it quickly became apparent that all was not as it seemed. The broker site has since failed to prove its legitimacy and it is clear that the Bullexo trading platform is just one of many trading scams that are out there. 

At WRS, we’ve worked with clients who have lost money through Bullexo scams, with their journey similar to a lot of other trading scams we have experience in recovering funds for. Here, we look at 3 things you should know about the Bullexo trading platform and how we helped clients affected by the scam. 

Appearance Isn’t All That It Seems

Bullexo is an example of an ever-growing trend where well-designed and attractive trading and broker websites are operated by scammers. The design of the Bullexo trading platform is one which looks sophisticated, which to someone who is new to trading or investing can provide an aura of trustworthiness. It does a good job of appearing legitimate, but when it comes to the important aspect, which is the broker services that it is meant to provide, it’s here where the broker begins to show signs of illegitimacy. 

It’s easy to register your details on the Bullexo trading platform and shortly after, you’re then redirected to your depositing wallet. This ease of registration and almost immediate redirection to deposit are just two of the more common signs of a trading scam. You can then access a web trader which is where you will find the available trading assets, such as ETF, cryptocurrencies and Forex, but there is no mention of the available commissions or the ability to choose an account type as, upon sign up, you are only able to access one type. To an inexperienced trader, this will all seem fairly straightforward, however, these tactics are synonymous with trading scams. 

The Bullexo Trading Platform Is Unregulated

On the Bullexo trading platform, there is no indication that it is regulated. Unlike other platforms, where you might see logos of regulatory bodies and links to these, there is nothing. Previous users have noted seeing logos of the Grenadines Financial Services Authority, which doesn’t hold any regulatory power over the FX market, so this information is deceptive. In the T&Cs, it was also found that the broker doesn’t offer services to residents within the Grenadines, which is another red flag in terms of this being a scam. 

The FCA notes that the Bullexo trading platform is unauthorised and warns against trading with this broker. Not only is Bullexo untraceable, but most deposits made on the platform are likely to be lost, along with your personal information and details. 

Beware Of The Deposit and Withdrawal Methods

The Bullexo trading platform will only accept deposits in the form of bitcoin – this should be a huge indicator that Bullexo is a scam platform. There is no legitimate reason for a broker to urge you to make a deposit in bitcoin or crypto only and it is unclear as to whether the funds will ever appear within the wallet. The reason why scammers prefer this method of deposit is that the transaction is essentially untraceable and irreversible, or so investors may think. Here at WRS, we’ve been able to successfully trace and recover funds lost through Bullexo, so if you have fallen victim to a Bullexo scam, contact us today.  

In terms of withdrawal, the only option is through bank transfer, however, this isn’t made clear. When clients go to the withdrawal dashboard, they are then told of bank fees and commissions which will be applicable to their withdrawal, but there is no further information provided anywhere on the site. 

How Does The Bullexo Trading Scam Work?

The Bullexo trading scam works similarly to other trading scams. Although there has been an increase in the number of different trading scams that are circulating, there is actually little difference between the complexities of each scam – they all essentially use the same principle. 

The broker, in this case Bullexo, will attempt to gain the attention of investors and traders through ads or direct contact. Then, they will be pushed to invest on the platform. The goal for most trading scams is to only get the user to invest once and then after this, not only have they gained their personal information, but a deposit as well. Any further investments are seen as a bonus. Sometimes, the client will see a small profit gain, which only then encourages and motivates them to invest more. 

How WRS Have Helped Clients Of The Bullexo Trading Scam

The journey in which our clients have been taken on with Bullexo trading scams is very similar to other trading and investment scams we have worked on. The clients have seen a social media advertisement from “Wixi Crypto Trading” which offers a cryptocurrency-based trading platform and the promise of very high returns. 

We’ve investigated the WhatsApp correspondence between the victims and Bullexo trading platform, although the preferred contact is through untraceable telephone calls. These messages show that one client was coerced into sending funds to the scammers via cryptocurrency. As to be expected, the Bullexo representatives appeared to be extremely friendly, sincere and helpful, explaining exactly how to place “trades”, withdraw crypto, and navigate cryptocurrency exchanges & wallets. A lot of the technical stuff that traders may not be familiar with is usually done via screen-sharing software such as Anydesk, as was the case here.

The rest of the scam process was also fairly similar to what we see with scams, with the client’s supposed profits reaching $328,000. Unfortunately, when they decided to try and withdraw funds, they were initially told the funds were stuck in the blockchain (this would never happen), later being told they are also being held in escrow and will be available as soon as more funds are sent to them.

Initially, it might seem as though there is no getting your funds back after a Bullexo scam. But, here at WRS we’ve been successful in recovering funds for clients who have fallen victim to scams on the Bullexo trading platform.

What To Do If You’ve Fallen Victim To A Bullexo Trading Scam 

If you’ve fallen victim to a Bullexo trading scam, then the first thing to do is contact your bank as soon as you realise. You should also get in touch with us – we’re here to help clients who have lost money through online trades, such as the Bullexo trading platform and have helped clients before who have lost money this way. Get in touch with the team today and arrange a free consultation.

Last year, police swooped in on the iSpoof site, closing it down in one of the biggest fraud stings on record which saw over 100 scammers arrested and facing prosecution for fraud. In the wake of these arrests and the recent conviction of the mastermind behind the criminal subscription website, up to 200,000 Brits may soon be receiving communications from the police informing them that they could have been a victim of a scam conducted using the iSpoof website. Here we take a look at iSpoof, including what it was, what it did, and what to do if you think you may have been a victim of fraud.

What was iSpoof?

iSpoof was created in late 2020 by small time criminal Tejay Fletcher. The site was used by criminals looking to target their victims via phone scams by masquerading as a trusted source – in this case, large and well known banks including HSBC, Santander, Natwest, Nationwide, Lloyds, Halifax and TSB. iSpoof provided it’s users with a subscription based service, essentially allowing them to pay a monthly fee in order to disguise themselves as various services from banks. At iSpoof’s peak, the Metropolitan Police reported that the site had up to 59,000 users subscribed to use the spoofing service, and as many as 20 unsuspecting people per minute were being targeted at the height of its’ usage.

By allowing criminals to portray banks, iSpoof effectively enabled them to contact hundreds of thousands of people and request monetary transfers and/or sensitive financial or account information that granted them access to bank accounts. Victims were targeted in their droves by iSpoof users via phone and also via text message, often having their bank accounts completely emptied once they had provided access information to the scammers. The website is thought to have earned around £3.2million in cryptocurrency, with the iSpoof founder Tejay Fletcher taking a reported £2million of the overall sum.

What is a ‘spoofing’ scam?

‘Spoofing’ is terminology used in cybersecurity and cybercrime and refers to the act of masking the identity of an unknown source, usually as a known and trusted entity, with malicious intent. Usually, the intention behind spoofing is to gain access to sensitive information such as bank accounts and identity information, and/or to request payments and monetary transfers. Spoofing can be carried out in a number of ways, most commonly via phone, text message, email and other messaging services such as WhatsApp.

Who has been scammed by iSpoof?

The victims of Fletcher’s iSpoof are, unfortunately, wide ranging in demographics as the scammers using the website were indiscriminate in their targeting, often calling people en-mass every day until they were successful. We do know, however, that the majority of victims of iSpoof are based in the UK (35% of victims) and the US (40% of victims), as well as a smaller number in Australia and other areas of Europe. Whilst some victims have reported financial losses of up to £3million, the average loss as a result of being targeted by iSpoof is around £10,000.

The site was targeting up to 20 people per minute at the height of its usage, and in the year prior to being taken down in August 2022 it is reported that as many as 10million calls were made using the iSpoof technology, with 350,000 calls lasting more than one minute – an indication that they could have been successful. The 350,000 calls that lasted into a full conversation were made to around 200,000 individuals. To date, there have been around 4,800 cases of fraud enabled by iSpoof reported to Action Fraud – a drop in the ocean compared to the estimated 200,000 minimum victims.

If you received a call from someone purporting to be from your bank between December 2020 and August 2022, and experienced an account breach and financial losses shortly afterwards, then the chances are you may have been a victim of fraud enabled by iSpoof.

Can I get back my money that was lost to iSpoof scams?

Recovering your money from phone scams like iSpoof can be difficult, but is not impossible with the correct processes and/or professional help. Due to the nature of the scams and the obviously fraudulent activity involved, there are often ways to try and recover your lost money. Whilst the methodology for doing so depends largely on the circumstances of your case, a proportion of your lost funds may very well be recoverable so, whilst you may not get all of your money back, you will at least be able to recoup some of your financial losses from the scammers. The best way to get this process started is to take advice from a professional recovery solicitor with experience in dealing with cases involving fraud. If you are looking for assistance, we offer no-obligation, free of charge consultations to run through your individual case, and, having recovered millions for our clients over the last year alone, we are well-positioned to advise you of the best steps to take to recover your funds where it may be possible to do so. Contact us to book an appointment or call us on 02036959239 / 01617684798.

What will happen now with the iSpoof case?

Following the successful police investigation that resulted in the take down of the iSpoof website, police were able to trace Bitcoin records from the site and pinpoint any UK based users who had spent more than £100 on iSpoof during the time it was active. This has led to a large number of arrests with many cases still pending against alleged offenders. As things stand, it appears as though facilitator Tejay Fletcher’s arrest and conviction is just the tip of the iceberg.

FTX, which was once valued at $32 billion, filed for bankruptcy on the 11th of November 2022, with the collapse branded a failure of corporate control. It is believed that the FTX collapse was a case of embezzlement and this left investors and creditors unlikely to get their money back as a result. In our latest blog, we take a closer look at the collapse of FTX and what this means for traders now, a few months on from the fallout. 

The Collapse of FTX

FTX was founded by MIT graduate and former trader Sam Bankman-Fried, with FTX offering a range of trading products. The collapse of FTX shook the cryptocurrency market, causing it to lose billions of dollars in value, dropping below $1 trillion. The collapse of FTX took place over a 10-day period and is considered one of the most spectacular situations to happen within the crypto industry thus far. 

A Timeline Of The Collapse of FTX

• On November 6th, the rival exchange Binance sells their FTT tokens.
• On November 7th, FTX announces liquidity and seeks a bailout from venture capitalists, then Binance.
• On November 8th, Binance announces that it will buy FTX’s non-U.S. business. 
• On November 9th, Binance walks away from the FTX acquisition after doing their due diligence. 
• On November 10th, the Bahamas freezes assets of FTX’s subsidiary business there, and Bankman-Fried admits a non-U.S. businesses’ liquidity crisis. 
• On November 11th, Bankman-Fried steps down as CEO of FTX and is replaced by court-appointed CEO that has restructuring experience. On this day, FTX files for Chapter 11 bankruptcy protection. 
• On November 12th, FTX reports the possibility of a hack, with a suspected $477 million involved, and they then decide to move their digital assets into cold storage for security. 
• On November 18th, the Bahamas takes control of FTX assets held in the country.

Consequences Of The Collapse of FTX

The collapse of FTX left the future of the exchange in serious jeopardy. Following the collapse, in mid-November all withdrawals from the platform were disabled and, on the company website, there was a notice advising against depositing any further funds. As the largest collapse of an exchange or currency in the short history of cryptocurrency, this could have an impact on the way in which investors, who may already be cautious or wary about the stability and security of the market, make future investments and trades. Traders who traded on the FTX platform may not recover their lost assets which again could make traders more cautious with their investments. 

In the days following the collapse of FTX, many other platforms saw an increase in the number of withdrawals, whilst some lenders, such as BlockFi and Genesis paused withdrawals completely whilst the effects calmed down. 

What Now For FTX?

At the beginning of April 2023, it was reported that the exchange might soon be restarted as, following the collapse of FTX in the previous November, it has since recovered $7.3 billion of customer funds. The situation has reportedly stabilised and with this announcement, FTX’s native token apparently soared over the following days. It could be that in the second quarter of 2024, the exchange has raised enough to pay back traders and have enough to be able to start up again. When the collapse of FTX occurred, the company had recovered just $3.3 billion, so it shows that recovery efforts to settle the amount lost are well underway. 

With Cryptocurrency on the increase again, this is largely believed to be one of the reasons why the token started performing well again following the collapse of FTX. It is believed that FTX will set out its plan for the future by July, but details are still to be worked out as many creditors fight for their share of the company’s assets.

What Does The Collapse Of FTX Show? 

The collapse of FTX showed that, although funds can be lost when trading as a result of exchanges or tokens collapsing, they can be recovered. Exchanges are now a lot more compliant and there is more in the way of trader protection. Here at Wealth Recovery, we’ve found that with these new compliances, this now means that for traders where money has been lost through trading, often the need for court orders isn’t required, not only saving time, but additional cost too. If you have lost money, get in touch with our team of wealth recovery solicitors to start the recovery process.