The Financial Conduct Authority (FCA) warned today (Tuesday) about scammers impersonating XTB Limited, a UK-regulated broker and local branch of the publicly traded fintech Fintech Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to suppl Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to suppl Read this Term XTB. Using the company's address details and a deceptively similar website, they may attempt to defraud unsuspecting consumers.

Beware of XTB Broker Clone, FCA Cautions

According to the FCA warning, a cloned XTB broker site operates at xtbtrading.org, which is strikingly similar to the original English-language website. The scammers are using the same company address and impersonating company representatives, contacting people from the phone number +442036953085.

“Scammers may give out other false details, including email addresses, telephone numbers, postal addresses and Firm Reference Numbers,” the FCA warns in its alert.

The screenshot below shows the appearance of the site impersonating XTB:

Meanwhile, the original website looks as follows. Both are strikingly similar:

Furthermore, the scammers have cloned practically the entire website. All of its functions appear to be clickable, including the registration system. Users may, therefore, believe they are opening an account with XTB when, in reality, they are registering with fraudsters. There is a risk of sending funds to the wrong entity and losing them.

This isn't the first time that the UK's FCA has issued a warning about a clone of the Poland-originating broker. Such alerts have been appearing roughly once a year. The last warning from the British regulator was issued in December 2023 and before that, in March 2022. However, previous clones did not replicate the website of the regulated entity with as much accuracy as seen recently.

Clone Websites Undermine Trust

Clone websites pose significant dangers in the FX/CFD industry, threatening both brokers and traders alike. These fraudulent sites mimic legitimate companies or regulatory bodies, aiming to deceive unsuspecting individuals.

Clone Clone A clone refers to a fraudulent attempt by an entity or individual to use the details of an authorized firm in a bid to convince people that they work that firm.This refers to a relatively new tactic that has seen fraudsters using the name, ‘firm registration number’, and address of firms and individuals authorized by regulators to suggest they are genuine. Clones are seemingly primitive techniques, though newly adopted by scammers that have evolved in the information era. As regulators push for A clone refers to a fraudulent attempt by an entity or individual to use the details of an authorized firm in a bid to convince people that they work that firm.This refers to a relatively new tactic that has seen fraudsters using the name, ‘firm registration number’, and address of firms and individuals authorized by regulators to suggest they are genuine. Clones are seemingly primitive techniques, though newly adopted by scammers that have evolved in the information era. As regulators push for Read this Term websites often lure traders with promises of attractive deals or investment opportunities. Unsuspecting victims may deposit funds, only to find their money stolen. By providing personal and financial information to these fraudulent sites, traders risk having their identities compromised, leading to further financial and personal damage.

On the one hand, regulators struggle to deal with clones that advertise their services across Europe. On the other, they block access to promotions for regulated entities by citing the risks associated with the CFD industry. For instance, there is a ban on promoting such instruments in Spain, which XTB complied with last month.

To protect themselves, traders should always verify the authenticity of a broker's website by checking official regulatory databases and being wary of unsolicited offers or deals that seem too good to be true.