Lnvesting State - AI risk analysis

beta

AI risk analysis - Lnvesting State (2025-04-29 17:35:38)

Below is a comprehensive analysis of the broker associated with the website https://investingstate.com/ (Investing State), based on the requested criteria. The analysis draws from available online information, including user complaints, risk assessments, and other relevant data, while critically evaluating potential risks and red flags.

1. Online Complaint Information ¶

User Complaints: Numerous complaints have been reported about Investing State across review platforms like Trustpilot, Scamadviser, and Forexbrokerz. Common issues include:
Inability to Withdraw Funds: Users report being unable to withdraw their deposits or profits, with the broker allegedly demanding additional payments (e.g., 20% of the account balance as “taxes” to release funds). One user mentioned being asked to pay $21,814 as a “Swiss tax,” which was unverifiable and likely fraudulent.
Aggressive Sales Tactics: Complaints highlight pushy representatives who contact users immediately after registration, pressuring them to deposit funds or share banking details. A user described a caller who became rude and persistent after refusal.
Loss of Funds: Several users reported significant financial losses, with one claiming to have lost €71,350 and another losing $46,890. Some users recovered funds only through third-party intervention (e.g., crypto financial analysts).
Fake Promises: Users noted that initial profits were shown to lure them, but these gains were inaccessible, suggesting manipulation of account balances.
Review Scores:
Scamadviser assigns Investing State a low trust score of 58.5/100, labeling it as “Active. Medium-Risk” due to phishing and spamming risks.
Trustpilot reviews show mixed feedback, with 71 reviews averaging 2.9/5 stars. Negative reviews dominate, calling it a “massive scam” and warning of unregulated operations.
Reviews.io reports a 3.99/5 average score from 108 reviews, with 92 positive ratings. However, positive reviews seem generic and may be manipulated, as they contrast sharply with detailed negative feedback elsewhere.
Red Flags in Complaints: The consistent pattern of withdrawal issues, high-pressure tactics, and unverifiable tax demands strongly suggests fraudulent behavior.

2. Risk Level Assessment ¶

High-Risk Indicators:
Unregulated Status: Investing State is not regulated by major financial authorities (e.g., FCA, ASIC, CySEC, SEC). It operates as an offshore entity in the Marshall Islands, a jurisdiction known for lax regulation and attracting shady brokers.
Offshore Location: The Marshall Islands lack a robust financial regulatory framework, increasing the risk of funds being unprotected.
Low Trust Scores: Scamadviser’s low trust score and warnings about phishing/spamming activities indicate a high likelihood of scam behavior.
User Losses: Reports of substantial financial losses and difficulty recovering funds elevate the risk level.
Proximity to Suspicious Websites: Scamadviser notes a high “Proximity to Suspicious Websites” score, suggesting connections to other dubious platforms, which increases risk.
Overall Risk Level: High. The combination of unregulated operations, offshore registration, and consistent user complaints points to a significant risk of financial loss and fraudulent activity.

3. Website Security Tools ¶

SSL/TLS Status: The website uses HTTPS, indicating an SSL certificate is present, which encrypts data between the user and the server. However, a secure connection does not guarantee legitimacy, as many scam sites use SSL.
Security Vulnerabilities:
Scamadviser reports potential phishing and spamming risks, suggesting the site may engage in malicious activities like unsolicited emails or ads.
No specific reports of malware were found, but the high “Proximity to Suspicious Websites” score indicates possible embedded risks in the site’s code or links.
Remote Access Software Concerns: Users report being asked to install AnyDesk software, allowing brokers to remotely access their computers or phones. This is a major security risk, as it could enable scammers to view sensitive information, including banking details.
Recommendation: Avoid sharing personal or financial information on the site, and do not install any software requested by the broker. Use reputable antivirus and anti-malware tools to scan for threats if you’ve interacted with the site.

4. WHOIS Lookup ¶

Domain Information:
Registrar: GoDaddy.com, LLC
Registrant: Domains By Proxy, LLC (a privacy protection service hiding the true owner’s identity)
Tech Contact: Registration Private, Domains By Proxy, LLC, located in Tempe, Arizona, USA
Contact Email: Available via GoDaddy’s WHOIS results page
Registration Date: First analyzed on February 22, 2021, with the last update on November 26, 2024.
Red Flags:
Hidden Ownership: The use of Domains By Proxy to conceal the registrant’s identity is a common tactic among dubious brokers, reducing transparency and accountability.
Offshore Entity: The broker claims to be operated by Wooko Global LTD, registered in the Marshall Islands (Ajeltake Road, Ajeltake Island, Majuro, MH96960). This address is associated with multiple shady brokers, including IntelligentCapital, Pro X Finance, and CryptoEU, further raising concerns.
Implication: The lack of transparent ownership and the use of a notorious offshore address suggest a high risk of unaccountability.

5. IP and Hosting Analysis ¶

Hosting Details:
Specific IP and hosting provider details are not provided in the available data, but Scamadviser notes that Investing State shares server connections with suspicious websites, increasing the risk of malicious activity.
Server Location: Likely hosted in a jurisdiction that aligns with its offshore status (e.g., Marshall Islands or a related data center). The exact location is unclear, which is typical for high-risk brokers aiming to obscure their operations.
Red Flags:
Shared Hosting with Dubious Sites: The association with other suspicious websites on the same server suggests potential cross-contamination or coordinated fraudulent activities.
Lack of Transparency: The absence of clear hosting information makes it harder to verify the site’s legitimacy or pursue legal recourse.
Recommendation: Use tools like WhoisXML API or VirusTotal to analyze the site’s IP and hosting for potential threats or connections to known malicious servers.

Limited Information: No specific details about Investing State’s social media accounts (e.g., Facebook, Twitter, LinkedIn) were found in the provided data. However, the broker’s tactics align with common social media fraud patterns:
Impersonation Risks: Fraudsters often use social media to impersonate legitimate brokers or create fake profiles to lure victims. Investing State may employ similar tactics, given reports of aggressive phone calls and unsolicited contact.
Potential Fake Reviews: Positive reviews on platforms like Reviews.io appear generic and may be fabricated or paid for, a common tactic to boost credibility on social media or review sites.
Red Flags:
Lack of Verifiable Presence: Legitimate brokers typically maintain active, verifiable social media accounts with engagement. The absence of such accounts or reliance on fake testimonials is concerning.
Unsolicited Contact: Reports of immediate phone calls after registration suggest the broker may use harvested data to target users, possibly via social media or messaging apps like WhatsApp.
Recommendation: Avoid engaging with any social media accounts claiming to represent Investing State unless verified through official regulatory channels. Check for signs of impersonation, such as typos in account names or unverified profiles.

7. Red Flags and Potential Risk Indicators ¶

Unregulated Operations: The broker’s lack of licensing from reputable authorities (e.g., FCA, ASIC, CySEC) is a major red flag. Offshore brokers in the Marshall Islands are not subject to strict oversight, increasing the risk of fraud.
High Leverage: Investing State offers leverage up to 1:400, which is unusually high and risky. High leverage can lead to significant losses, and regulatory bodies often cap leverage for consumer protection.
Withdrawal Issues: Consistent reports of blocked withdrawals, additional fees, or rude customer service when requesting funds are classic scam indicators.
Remote Access Requests: Asking users to install AnyDesk for remote access is highly suspicious and could enable theft of sensitive information.
Fake Promises: Promises of high returns with low risk, as reported by users, are a hallmark of investment scams.
Offshore Address: The Marshall Islands address is linked to multiple scam brokers, suggesting a pattern of fraudulent operations.
Pushy Sales Tactics: Aggressive phone calls and pressure to deposit funds immediately are common scam tactics.
Inconsistent Reviews: The discrepancy between positive reviews (potentially fake) and detailed negative complaints suggests review manipulation.

8. Website Content Analysis ¶

Website Interface: The site is described as simple and straightforward but lacks transparency. Key issues include:
No Licensing Information: The website does not disclose regulatory status or licensing details, a red flag for legitimacy.
High Leverage Claims: Promotes leverage up to 1:400, which is risky and not aligned with regulated brokers’ standards.
Vague Ownership: Claims to be operated by Wooko Global LTD but provides no verifiable details about the company’s leadership or operations.
Trading Platforms: Offers MetaTrader 4 and a web trader, but users reported issues with account registration links being insecure or non-functional. This suggests potential technical unreliability or intentional barriers to access.
Content Red Flags:
Lack of Transparency: No clear contact number, physical address, or regulatory credentials are provided, which is unusual for legitimate brokers.
Overpromising: Claims of “profitable trading conditions” and “fast withdrawals” contradict user experiences.
Recommendation: Treat the website’s claims with skepticism. Cross-check any promises with independent sources and regulatory databases.

9. Regulatory Status ¶

Unregulated: Investing State is not licensed by any major financial regulator (e.g., FCA, ASIC, CySEC, SEC). It operates under Wooko Global LTD in the Marshall Islands, a jurisdiction with no forex regulatory body.
Verification:
Checked against FINRA BrokerCheck, SEC Investment Adviser Public Disclosure, and other regulatory databases, but no record of Investing State or Wooko Global LTD was found.
The Marshall Islands’ lack of a financial regulator means there’s no oversight to protect investors.
Implication: Without regulation, there’s no guarantee of fund security, fair practices, or recourse in case of disputes. Legitimate brokers are typically regulated in jurisdictions like the UK, EU, or Australia.

10. User Precautions ¶

To protect yourself when considering Investing State or similar brokers:

Verify Regulation: Always check a broker’s licensing status using tools like FINRA BrokerCheck, SEC’s IAPD, or regulators like FCA, ASIC, or CySEC.
Research Reviews: Cross-reference user reviews on multiple platforms (e.g., Trustpilot, Scamadviser) and prioritize detailed negative feedback over generic positive reviews.
Avoid Remote Access: Never install software like AnyDesk at a broker’s request, as it can compromise your device’s security.
Test Withdrawals: If you’ve already deposited funds, attempt a small withdrawal to test the process before committing more.
Secure Your Data: Use strong, unique passwords and enable two-factor authentication (2FA) on all financial accounts. Avoid sharing banking details or personal information.
Report Suspicions: If you suspect fraud, contact the SEC (800-732-0330), FINRA (301-590-6500), or your state securities regulator. File a complaint with the FBI’s Internet Crime Complaint Center (IC3).
Use Reputable Platforms: Choose brokers regulated in established jurisdictions (e.g., EU, UK, Australia) with transparent operations.

11. Potential Brand Confusion ¶

Similar Names: The name “Investing State” could be confused with legitimate financial institutions or platforms, especially those using “Invest” or “State” in their branding (e.g., State Street Global Advisors). This is a common tactic to exploit trust in established brands.
Impersonation Risks: Fraudsters may create fake websites or social media accounts mimicking legitimate brokers, using similar logos or domain names. Investing State’s lack of a verifiable online presence increases this risk.
Domain Similarity: The domain investingstate.com is not visibly similar to major brokers, but its generic name could mislead users searching for reputable investment platforms. No evidence of cybersquatting was found, but vigilance is advised.
Recommendation: Verify the exact domain and company details through regulatory databases or official websites to avoid confusion with legitimate entities.

12. Conclusion ¶

Investing State (https://investingstate.com/) exhibits multiple red flags and high-risk indicators, strongly suggesting it is an unregulated, potentially fraudulent broker. Key concerns include:

Unregulated Status: Operates in the Marshall Islands with no oversight from reputable financial authorities.
User Complaints: Widespread reports of withdrawal issues, aggressive sales tactics, and significant financial losses.
Security Risks: Requests for remote access software (AnyDesk) and connections to suspicious websites.
Lack of Transparency: Hidden ownership, unverifiable address, and no clear regulatory credentials.
High-Risk Practices: High leverage, fake promises, and potential review manipulation. Recommendation: Avoid Investing State due to the high risk of financial loss and fraudulent activity. Instead, choose brokers regulated by reputable authorities (e.g., FCA, ASIC, SEC) with transparent operations and positive, verifiable user feedback. If you’ve already engaged with Investing State, attempt to withdraw funds immediately, secure your devices, and report any issues to regulators or law enforcement. If you need further assistance or specific checks (e.g., IP analysis, social media verification), please provide additional details, and I can deepen the investigation using available tools.