Recently, a XeroMarkets employee posted an internal notice of the company on Facebook (see figure below):
The main content of this notice is that XeroMarkets will cease operations and dissolve all employees within two weeks. The notice states that all employees will work from home from the notification time until May 14th.
In this internal notice, the manager of XeroMarkets mentioned the issue of withdrawal of account funds:
Be a gentleman, make a statement and pay our withdrawal all to prove that both of you did not intend to scam but there was something unexpected that happened causing XerMarkets to collapse
In the statement, XeroMarkets executives also expressed their sympathy for traders who needed money, many of whom were trading with their own funds.
From the content severance file of XeroMarkets, it seems that it is a responsible trading platform. But the actual situation is completely different from paper writing. In the following days, the withdrawal of XeroMarkets revealed many problems, and many users stated that their withdrawal requests on XeroMarkets were not processed and they were unable to withdraw successfully.
There are reports that XeroMarkets will file for bankruptcy and, after liquidation of the company's assets, will be able to compensate some of the funds to investment clients. In response, its clients expressed great sadness, indicating that they were unable to recover their investment funds in a short period of time.
According to the information found by Aihuicha, XeroMarkets is not a legitimate trader. Its registered address is in Saint Vincent, but it is well known that the Saint Vincent FSA does not regulate financial derivatives. Its official website has released a contact number for the UK, according to which we have found that it was previously registered with the UK Industrial and Commercial Bureau. However, the registration information shows that the company was dissolved as early as January 14, 2020, and there is no regulatory information on XeroMarkets in the UK FCA.
From this perspective, the withdrawal issue of XeroMarkets seems even more unpredictable. The first thing to consider in investment trading is not profit and leverage, but fund security. Please be sure to invest on a trading platform with a regulatory license.
