Is Wischoffspreads a Scam?

At FXCanary, our safety assessment is built on a foundation of verifiable facts: regulatory registrations, corporate records, and the broker's own public claims, weighed against independent evidence. We do not rely on marketing language or unverified user testimonials. For Wischoffspreads, our records show a Malta-registered entity named Wischoffspreads ltd., founded on 5 December 2024, with a registered address at 168 St Christopher Street, Valletta. The company lists a single MFSA licence for Market Making (MM) under licence number C 56519, but the status of that licence is marked as '—' in our files, meaning we cannot confirm it is active or valid.

Our FXCanary Scam Risk Score for Wischoffspreads stands at 50 out of 100, which we classify as 'Elevated'. This score is driven by two primary risk flags: the broker is recently established — only about 20 months old — and it has no verifiable website or social-media presence. Both factors are common in high-risk broker profiles, where a short operating history and lack of transparency make it difficult for traders to independently verify the entity's legitimacy. We treat these flags seriously, especially when combined with the regulatory warnings detailed below.

The most significant finding in our research is a public warning issued by the Malta Financial Services Authority (MFSA) on 30 January 2025. The MFSA explicitly states that Wischoffspreads is 'NEITHER a Maltese registered company NOR licensed or otherwise authorised by the MFSA to provide any investment services or other financial services which are required to be licensed'. The regulator further notes that the entity claims to be a 'Maltese directed investment services supplier' and purports to be 'regulated under the strict standards of the MFSA', while making 'unauthorised use and reference to company details of another Maltese licensed company'.

This warning directly contradicts the information in our known facts, which list an MFSA licence for Wischoffspreads. In FXCanary's assessment, the regulator's statement takes precedence: if the MFSA says the entity is not licensed, then any claim to the contrary — including the licence number C 56519 in our records — must be treated as suspect. The licence number may belong to a different, legitimate Maltese company, and Wischoffspreads may be misusing it. This is a classic impersonation pattern, and it elevates the risk profile considerably. Traders should treat the MFSA warning as the authoritative source on this broker's regulatory status.

Our research also uncovered a warning from the Bank of Russia, which lists Wischoffspreads as showing 'signs of illegal professional securities market participant'. The Bank of Russia's warning list, dated 28 November 2024, identifies the website wischoffspreads.com and flags the entity for operating without proper authorisation. While the Bank of Russia's jurisdiction is limited to Russia, its inclusion of Wischoffspreads adds to the pattern of regulatory concern.

We cross-checked this warning against our known facts and found no direct conflict: the domain matches, and the entity name matches. This is not a case of a similarly named but different broker. The Bank of Russia's warning reinforces the MFSA's position and suggests that Wischoffspreads has attracted scrutiny from multiple regulators within a short period. For a broker that claims to be regulated, accumulating warnings from two separate authorities is a serious red flag that we cannot ignore.

For regulated brokers, client fund protection typically includes segregation of client money, participation in compensation schemes, and negative balance protection. In the case of Wischoffspreads, none of these protections can be confirmed. Our records show no evidence of client fund segregation, no participation in any compensation scheme, and no negative balance protection. The MFSA warning suggests that the entity is not authorised, which means any funds deposited would not be covered by the Maltese Investor Compensation Scheme or any other statutory protection.

In FXCanary's assessment, the absence of these protections is a critical safety gap. If a trader deposits funds with Wischoffspreads and the entity fails or disappears, there is no safety net to recover those funds. The lack of a verifiable licence also means there is no regulatory body to which a trader can complain or seek redress. This is a fundamental difference from trading with a fully regulated broker, where such protections are mandatory. We advise traders to treat any claim of protection with extreme scepticism until the licence is independently verified.

Our records show that no clone or impersonator sites have been found for Wischoffspreads, but this is not necessarily reassuring. The MFSA warning indicates that Wischoffspreads itself may be impersonating another licensed Maltese company by using its details without authorisation. This means the entity is not a victim of cloning but rather a potential perpetrator of it. The risk for traders is twofold: first, they may be dealing with an unlicensed entity that misrepresents its regulatory status; second, they may inadvertently confuse Wischoffspreads with the legitimate company whose details are being misused.

We recommend that traders who receive any communication from Wischoffspreads verify the identity of the entity directly with the MFSA. The regulator's public register is the only reliable source for confirming whether a company is licensed. If the details do not match, the communication should be treated as fraudulent. The absence of clone sites does not mitigate this risk; it simply means that the impersonation is occurring at the level of the entity itself, which is more dangerous.

Wischoffspreads has no independent user reviews, which is itself a significant data point. In our experience, legitimate brokers typically accumulate at least some reviews or community discussion within a few months of operation. The complete absence of any independent feedback, combined with the regulatory warnings, suggests that the broker is either very new, very obscure, or actively avoiding scrutiny. None of these scenarios is favourable for a trader.

We attempted to verify the broker's claims through web searches, but the results returned information about entirely different entities, such as t4trade, Milton Markets, and EGM Securities. These are not related to Wischoffspreads and should be ignored. The only relevant results were the regulatory warnings from the MFSA and the Bank of Russia. This lack of a verifiable online footprint is a red flag in itself. A legitimate broker should have a clear, consistent presence that can be cross-referenced across multiple independent sources.

If you are considering trading with Wischoffspreads, we strongly advise you to pause and conduct your own due diligence. First, check the MFSA's official register to see whether the licence number C 56519 is actually associated with Wischoffspreads ltd. If it is not, or if the register shows a different company, do not proceed. Second, search for the broker's name on independent review sites and forums; the absence of any results is a warning sign. Third, verify the company's registration with the Malta Business Registry to confirm that it is a real legal entity and that its directors and address match the claims.

We also recommend that you never deposit funds with a broker that cannot provide verifiable regulatory authorisation. If a broker claims to be regulated, ask for the licence number and check it directly with the regulator. If the regulator issues a warning, as the MFSA has done, take it at face value. In FXCanary's assessment, the evidence against Wischoffspreads is sufficient to classify it as high-risk, and we advise traders to avoid it until the regulatory status is clarified. The absence of independent reviews and the presence of multiple warnings make this a clear case for caution.

In summary, Wischoffspreads presents a high-risk profile that is difficult to reconcile with its claims of MFSA regulation. The MFSA's explicit warning that the entity is not licensed, combined with the Bank of Russia's warning, creates a strong presumption that the broker is operating without proper authorisation. The lack of client fund protections, the absence of independent reviews, and the potential impersonation of another licensed company further compound the risk.

We cannot recommend Wischoffspreads to any trader at this time. The regulatory warnings are public, verifiable, and directly contradict the broker's own claims. Until Wischoffspreads can provide evidence of a valid, active licence and demonstrate compliance with regulatory standards, we advise traders to steer clear. In the world of forex trading, the absence of regulation is not a minor detail — it is a fundamental risk that can lead to total loss of funds. Our review is based on the facts available, and those facts point to a broker that should be avoided.