Warning signs of fraudulent trading platforms

Before you deposit a single dollar

Fraudulent platforms are polished. Professional design is free; verification is what matters.

1. Registration. Check the platform against your provincial securities commission and the CSA National Registration Search. If it isn't registered to serve Canadian clients, walk away.
2. Who's behind it. Look for a legal entity name, physical address, and regulator licence number — then verify the number with the regulator, not the website's own footer.
3. Domain age. Fraud platforms are often weeks old. A WHOIS lookup showing recent registration is a strong signal.
4. Withdrawal terms. Read the withdrawal policy before depositing. Vague “processing fees”, “tax withholding”, or minimum-lockup language is a red flag.
5. Payment direction. Legitimate brokers never ask for deposits via crypto transfers to personal wallets, gift cards, or e-Transfers to individuals.

Technical tells

• Trading software that is a simple web dashboard rather than an established platform
• “Account managers” who contact you and trade on your behalf
• Charts that only ever go up, with suspiciously smooth curves
• Typosquat domains imitating real brands (e.g. extra hyphens, .co instead of .com)

Already deposited?

Do not pay any “release fee” to withdraw — that is the second stage of the scam. Document everything (screenshots, receipts, wallet addresses) and file a report. See our guide on what to do after losing money.