Today we will talk about a company that positions itself as an honest broker, providing traders with simple yet powerful tools and individual support for trading currency pairs and CFD contracts. Before starting to work, it is important to ensure that the legal status of the project is not just a legend. To help users assess the risks, we have prepared a detailed Capitalix review. See what we found below.
Key Features
- Company Name: 4Square SY Ltd
- Website: https://www.capitalix.com/
- Available Contacts: [email protected]; +2484632032, +41275087668
- Foundation: 2020
- Services: Forex/CFD trading
- License: SFSA (Seychelles Financial Services Authority) № SD052
- Initial Deposit: 250 USD/EUR
From Sign-Up to Payout
It is impossible not to note the high-quality visual design of the official Capitalix website. Special attention should be given to:
- Harmonious color palette — the color choices are quite well-done, not straining the visitor’s eyes, while still allowing them to focus on important blocks and control elements.
- Convenient navigation — the logical arrangement of sections combines with optimized page loading speed.
The website indeed leaves a positive impression and stands out from many similar ones. However, it is important to emphasize: professional design is far from a guarantee that everything on the site is in order. This also applies to Capitalix.
- Not all pages are informationally valuable. In fact, there is an entire section, Knowledge Center, where users won’t find anything useful.
- Registering and obtaining a valid account will not be possible for all users. The broker has an extensive list of exceptions (jurisdictions where it does not operate), including the USA, Canada, Japan, all EU countries, etc.
- Even non-trading operations are not so simple. The broker states that no commissions are charged for deposits or withdrawals. However, fees are taken by the payment operators and the payment systems themselves. The fee charged by the first is quite high — at least 3% of the transaction amount. Interestingly, the payment operator is a company called 4SQUARE (CY) LTD, registered in Cyprus. Isn’t it quite a coincidence that the broker’s owner’s name is similar? In fact, this is no coincidence; the firm simply does not want to give even a small portion of the client’s funds to anyone.
In principle, there are no major complaints about the network “representation” of Capitalix, although some features do raise certain questions.
Our Trading Experience With Capitalix
The broker’s trading platform hardly resembles professional trading software, especially compared to popular industry terminals. Yes, some features like the asset dashboard and quick trade opening with a couple of clicks may seem convenient. But why bother with these when the platform ignores basic trader needs? For example, the price chart — a critically important element — is literally hidden and opens in a separate window, closing all other workspaces.
And that’s not all. On the chart, you won’t find trading levels (entry price, Stop Loss, Take Profit), and the set of built-in analysis tools is frankly scarce. It feels like the developers intentionally limited the functionality to prevent traders from fully controlling their trades.
Seriously, calling six indicators and a dozen graphical analysis tools a “powerful arsenal” is quite difficult. Add to this the dubious pleasure of restoring chart settings at the beginning of every session, and the picture becomes complete.
It feels like Capitalix intentionally turned trading into a quest. And this is not paranoia: as a dealer, the company is directly interested in its clients’ losses. The limited functionality and toolset are part of a scheme where clients are not supposed to make a profit at all.
Mobile Versions? Try downloading them. Links to Google Play and the App Store are blocked for most regions, and attempts to bypass these restrictions via VPN end in errors. Meanwhile, even those who were able to install the app complain about functionality issues and an inconvenient interface.
The only plus is the demo account. However, this primarily serves the purpose of attracting user money. In the virtual terminal, quotes are artificially smoothed, and orders are executed instantly, which cannot be said about real trading.
To be honest, Capitalix’s publication of trading conditions is quite decent. On the page with account types, the broker shows the maximum leverage and spread sizes.
The leverage is the same across all account types and is as follows:
- 1:200 for Forex instruments.
- 1:50 for indices, precious metals, and commodities.
- 1:10 for stocks and ETFs.
- 1:5 for crypto assets.
The spreads on the Silver, Gold, and Platinum accounts vary significantly. For example, for the EURUSD pair, it is 2.5 pips for the first, 1.3 pips for the second, and 0.7 pips for the third account.
What we would like to know is how these accounts differ in terms of deposit size. While the minimum deposit of 250 USD/EUR is mentioned in the FAQ, the minimum deposit amounts for the other two accounts are not provided anywhere. How much will a trader have to pay for significantly reduced trading costs?
Capitalix posted an XLS file on the website where they specified contract specifications. In this file, clients will find the standard lot size, minimum and maximum trade volumes, and margin requirements. The last parameters are quite interesting: simple calculations based on them show that the leverage for retail traders does not exceed 1:20, while for professional traders, it can go up to 1:200. We saw the second value in the account types table, but where is the first? And how does the broker determine the client’s status? Or does the broker consider all registered users to be professionals capable of taking on maximum risk?
In summary, there are more questions than answers. There’s also the impression that the company is keen on quickly extorting the deposits of each client. However, this is not surprising, as for a licensed broker/dealer, making a trader incur a loss is one of the few legal ways to take their money. It seems Capitalix is not about to miss such an opportunity.
The Reality Check
Capitalix proudly states in the website footer that it is registered in the Seychelles and holds a license from the local regulator, SFSA. A registry check confirms that the company 4Squares SY Limited exists and has the SFSA authorization.
However, there’s a small issue: the Security Dealer License allows activity within the Seychelles territory. To operate on the international market, the broker needs a CSL status (which requires a special license), and the broker does not have it. Perhaps that’s why there are entire regions with strict regulations missing from the jurisdiction list, which leads to issues when trying to register or download the mobile apps.
And there’s yet another “but”… The published SFSA certificate is valid until May 9, 2024, after which it should be renewed. Whether the company has taken care of this or continues to show traders an expired license, offering illegal services, remains unknown to us.
How Long Has Capitalix Been in the Game?
We’d also like to find out another piece of information: how long has the broker been operating online? To do this, we used the whois service to find the domain registration date.
We see that the broker uses the domain capitalix.com, registered in October 2010. Naturally, the broker’s operation time is much shorter. According to web archive snapshots, the first activity on the site was recorded in the fall of 2020. Thus, the company has been in existence for five years. A quite solid time frame, especially considering all the problems we’ve mentioned above.
Extra Fraud Indicators
There is nothing surprising about the fact that after 4 years of operating online, Capitalix has accumulated quite a few reviews. On Trustpilot, there are 449 comments, on reviews.io 264, and on Sitejabber 168. However, the number of reviews is not what stands out the most. On the first two portals, nearly 50% of the comments about the broker’s activity are negative. On the third one, the percentage of such posts is even higher, and the company’s average rating is just 1.8.
At the same time, authors who speak positively about the firm have not provided any evidence to support their point of view. This suggests that they might be working on behalf of the project owners.
In negative comments, current and former clients of the platform provide a lot of evidence of the broker’s failure to fulfill its obligations. We believe you already know the main complaints traders have: issues with withdrawals or the failure to process withdrawal requests. Agree, this is a rather strange approach for a licensed broker.
Is Capitalix the Right Fit?
The materials in our Capitalix review do not provide enough grounds to label the project as fraudulent. However, we strongly recommend traders refrain from opening accounts and trading on this platform. The reasons are based on a complex set of risks. The SFSA license does not offer strong protection for clients, and the regulator itself is not considered one of the most reputable. Furthermore, not everything is transparent regarding the trading conditions and non-trading operations. User comments also contain many reasons not to trust the company.
There are absolutely no conditions for traders (the terminal freezes, and the charts don’t move in real-time, they move randomly). Capitalix support responds evasively (especially when you talk about withdrawals). And getting a withdrawal request executed is like a quest. In short, even though it’s licensed, it’s a terrible broker, and it feels like a company of scammers who think your money is theirs.
Another scam project, in my opinion. I’ve already lost around $3k here. The reasons are various: slippage, spreads that only keep increasing, additional charges – insurance, mentorship, etc. The managers “help” with draining the deposit. But I’m not sure I would have earned on my own, they are tricky and set up technical failures and other things to steal money.
From the reviews, it seems that Capitalix has already ruined many traders, and I’m one of them!!! I’m gathering everyone who’s been deceived to write a collective report to the police!!! The more of us there are, the sooner they’ll pay attention to our complaints!! Scammers pretending to be a legitimate company must be punished. Otherwise, they’ll continue their business, and the number of victims will only grow.