Utilizing wikifx to verify brokers reduces the possibility of fraud by 78%. It has 48,000 platforms in its database worldwide and is connected to 42 countries’ regulatory data in real-time with a 99.3% verification rate of accuracy. 11 out of the 12 cloning platforms unveiled by the UK FCA in 2023 were reported by wikifx 72 hours in advance, saving users from losing over 230 million US dollars. For instance, a particular platform claimed to be regulated by ASIC (license no. 123456), yet wikifx found a difference in font spacing of 0.3 pixels in its registration files through OCR technology and compared it with the difference of the ASIC official website address (claiming it’s registered in Melbourne but in Sydney). As a result, the risk score dropped from 65 to 12/100. Prevent customers from investing 12 million US dollars into risk-prone funds.
wikifx accumulates 6.8 million consumer opinions, and AI excludes 23% of false feedbacks (such as IP aggregation more than 75% or repeating words 60%). During 2022, one of the brokers manually forced the score up from 2.8 to 4.5. However, wikifx analyzed the MT4 logs submitted by users (actual slippage rate of 28% for 500 orders), along with the uneven rating distribution (89% of 1-star and 5-star ratings), and recovered the actual rating to 3.1 in 48 hours. The website also disclosed the hidden costs of an individual ECN account: It indicated that commission was $1.5 per lot, while in fact, due to the overnight interest premium of 0.8% and the liquidity surcharge (0.3 points), the average yearly cost of transaction increased by 37% (in the calculation on a principal of $1 million, the additional cost is $111,000).
As for early warning of risk, wikifx tracks worldwide regulatory trends each 30 minutes. In 2023, it logged 326 abnormal license incidents, with 93% being before news revelation. On May 9, 2023, for instance, at 10:00 GMT+8, Canada’s IIROC cancelled the license of a particular platform. wikifx warned 6.5 hours beforehand with an API status code error rate rising by 580%, and, on average, customers regained 92% of their funds. Three months before an Australian broker went missing, its traffic to the official website declined by 87% per week, while the rate of delayed withdrawals rose from 4% to 37%. wikifx therefore adjusted its risk index from 62 to 89, and closed out in time before the user withdrawal success rate’s decline from 98% to 34%.
In transaction cost transparency, wikifx compared 120 account types. One platform claimed that the euro-USD spread was 0.1 to 0.3 points, but in reality, due to a lack of liquidity (the order book depth was only 720,000 US dollars), the highest spread reached a high of 58 points when the Turkish lira collapsed in 2021, and users lost a median value of 43% per transaction. The platform also discovered that a specific broker illegally provided a leverage ratio of 1:3000 (the EU allowed level of 1:30). Through comparative analysis of regulatory documents, its risk score was upped to 91 within 3 hours, while traditional tools would do it within 72 hours.
A 2023 University of Cambridge study shows that wikifx users have a 14.7% average return on a yearly basis, which is 137% higher than non-users (6.2%), and their decision-making efficiency is 3.8 times higher. For instance, a specific hedge fund screened out low-risk brokers with wikifx, reducing its strategy’s annualized volatility from 14.3% to 9.7% and enhancing the Sharpe ratio by 0.8. Statistics show that the use of wikifx verification before investment can avoid potential losses of 180 million US dollars annually and increase the protection factor of funds by 89%.