Step 1: Look at its regulatory agencies.
In the field of foreign exchange margin, ASIC of Australian Securities Investment Committee, CFTC of the United States and FSA of the United Kingdom are called the three strict regulations in the world.
Step 2: Understand the business scope of its regulatory license (take AETOS Company regulated by ASIC as an example-compliant foreign exchange platform).
On the official website of ASIC, you can find out the time, company name and address of each trader in detail. You can also check the dealer's licensed business scope under the supervision of ASIC, which indicates the details. It is illegal for any foreign exchange dealer to operate beyond the scope. Working with these dealers, customers' funds cannot be guaranteed. To a certain extent, the richer the business scope, the stronger the company is. Specifically, we can compare the regulatory information of HSBC and Bank of China in ASIC. According to the inquiry, AETOS and Bank of China have similar regulatory qualifications in ASIC, but in contrast, HSBC has more operating rights. If you are not familiar with English, you can go to Google Translate to translate it.
Step 3: Verify whether the receiving bank is a regulated country and whether the payee is consistent with the regulated enterprise.
In fact, there are two typical types of financial crimes in the industry, namely, playing cards and evading supervision. What do you mean? In other words, whoever is regulated must accept the funds of the customers in which country, and the payee must be a regulated enterprise. If AETOS is supervised by ASIC in Australia, AETOS must be supervised by ASIC in Australia, with AETOS as payee.