Discovery FX is a forex broker registered in Samoa, providing trading services in forex and precious metals for investors. The broker supports multiple languages, including Simplified Chinese, Traditional Chinese, English, Japanese, and Indonesian, catering to the needs of customers in different regions. The company offers two types of trading accounts, as well as trading software such as MetaTrader 4 (MT4) and MetaTrader 5 (MT5).
Corporate Background:
Discovery FX is a forex broker whose official website claims it is registered in Samoa, but no registration information related to the company can be found on the Samoa Business Registry website. Additionally, its affiliated entity DISCOVERY CAPITAL GROUP PTY LTD is registered in Australia, which has been confirmed by the search results on the Australian Securities and Investments Commission (ASIC) website. Moreover, a Whois search shows that the company's official website domain has been registered since August 31, 2018, with the registration exceeding five years.
How to Open an Account?
Discovery FX Real Account Registration Process:
- Visit the official website: First, enter the Discovery FX official website.
- Select the Account Type: Click on "Create Live Account" in the top right corner or on the left side of the homepage to access the account registration page.
- Fill out account information: On the registration page, you need to choose between a personal account or a corporate account, and then fill in related information such as account type, trading software (like MetaTrader 4 or MetaTrader 5), account currency, etc.
- Complete Personal Details: Fill in work status, identification information, country, address, contact phone number, email, and password as required.
- Submit the Registration: After filling all the necessary information, submit the form to complete the registration of the real account.
Discovery FX Demo Account Registration Process:
- Select a Demo Account: On the Discovery FX official website, select "Create Demo Account" in the top right corner or on the left side of the homepage.
- Fill in Personal Information: After entering the demo account registration page, fill in personal information such as name, email, phone number, country, and select the preferred language.
- Choose Account Details: Select the trading platform, account currency, account preferences, and account type, etc.
- Complete Registration: After filling out all the information, submit the registration form to finish creating the demo account.
Account Types:
Discovery FX offers investors two different types of trading accounts: Standard Account and Nano Spread Account.
Standard Account is the primary product of Discovery FX, providing competitive spreads without commission charges. The minimum trading unit is 0.01 lots, with an initial margin requirement of $200 (or the equivalent of 20,000 JPY).
Nano Spread Account is a premium product of Discovery FX, designed to offer ultra-small spreads close to those of an Electronic Communication Network (ECN). This account type provides near-zero spreads by reducing intermediary profits, but charges a transparent fee of $3 per lot. Similarly, the minimum deposit amount is $200, and the minimum trading unit is also 0.01 lots.
Trading Products:
As a forex broker, Discovery FX provides trading services in forex and precious metals for investors. In addition, the Discovery FX official website offers a range of products within forex and precious metals, giving investors the opportunity to trade on global financial markets, especially for those who can adapt to inherent market volatility.
Margin Ratios:
Discovery FX offers clients a range of margin ratios from 1:1 to 1000:1, where higher leverage allows investors to trade larger scales with smaller funds, but also increases the risk. Margin serves as collateral and guarantee during trading and plays a critical role when the market fluctuates. The smaller the margin ratio, the greater the sensitivity to market movements and profit (or loss).
Trading Hours:
Discovery FX provides information on trading hours under "Account Types" on its official website.
Deposits and Withdrawals:
Although the Discovery FX official website homepage displays a notification of credit card deposit maintenance, the website does not provide any information on supported channels and methods for deposit and withdrawal, the currencies supported, or details on timing and fees for these transactions.
Trading Software:
Information on the Discovery FX official website shows that the company provides investors with two types of trading software: MetaTrader 4 (MT4) and MetaTrader 5 (MT5). Usually, both MT4 and MT5 support desktop (Windows/MacOS), web versions, and mobile apps (iOS/Android). Both account types offered by Discovery FX support the MetaTrader 4 (MT4) and MetaTrader 5 (MT5) trading platforms.
Additional Services:
Information on the Discovery FX official website shows that the company provides investors with copy trading services, which allows investors to use or replicate the trading strategies or investment methods of other investors.
Regulatory Information:
Discovery FX claims to have a Money Services Business (MSB) license from the Financial Crimes Enforcement Network (FinCEN) of the US Department of Treasury and an Authorized Representative (AR) license from the Australian Securities and Investments Commission (ASIC). The Financial Crimes Enforcement Network (FinCEN) is the financial intelligence unit of the United States, primarily tasked with enhancing the investigation, prevention, and deterrence of money laundering and the financing of terrorism, and it does not regulate or authorize forex brokers.
Therefore, FinCEN does not regulate the forex market or issue operating licenses for such activities. Additionally, the AR license held by DISCOVERY CAPITAL GROUP PTY LTD (affiliated with Discovery FX) is weak in terms of regulatory and investor protection. DISCOVERY CAPITAL GROUP PTY LTD and more than 30 similar companies purchased AR licenses from MGF CAPITAL PTY LTD (421246) and used these licenses for promotion. Consequently, despite Discovery FX offering a range of trading services, the broker does not hold valid regulatory licenses.
Summary:
Discovery FX is a forex broker that is registered in Samoa and provides trading services in forex and precious metals to investors. However, Discovery FX does not possess any valid regulation, and no registration information related to the company can be found on the Samoa Business Registry website. Based on this, it is possible that Discovery FX could be suspect of fraud, and investors should be cautious in choosing the services provided by this company. Currently, the broker is marked as "Suspicious of Fraud" on the Traderknows.
