When people visit the websites of any one of the forex companies Lanza runs, they would get a popup saying that ESMA measures wouldn’t apply here and that it’s the responsibility of the user to find a suitable broker.
That’s it.
Recently, some of the websites such as NewFX and DBFX have begun blocking access of EU customers, plenty of them still allow them to access their website.
All of the forex companies Gennaro Lanza runs have no authorization to offer financial services in Europe. Furthermore, they violate basic FCA and ESMA laws such as allowing clients to make deposits without confirming their identities.
Even though the forex scams are based offshore, plenty of them use European addresses or phone numbers.
There used to be two additional members of the scam, Italo Mainofli and Massimiliano Moroni. However, they resigned in 2020 and sold their shares to Invest Group Global Ltd, another offshore entity.
This company falls under the control of Gennaro Lanza.
Recently, Gennaro has added a new company to his web, DBX Consultants. Also, he launched Karma Group, a real estate company in Cyprus and released press releases about the same.
DBInvesting is an offshore broker which claims to provide customers with MetaTrader 4, the most popular trading platform in the industry. However, the company fails to provide MT4. It lies about the platform so it could get people to sign up.
Furthermore, the company’s website mentions several of the shell companies present in Gennaro Lanza’s network such as DB Invest Limited.
The company has a Seychelles license but that doesn’t instill much confidence in their reliability because Seychelles is notorious for having poor regulations. Plenty of forex scams have licenses from such weakly regulated places but that doesn’t stop them from scamming others. Some examples include Kowela and MSP Limited.
This Gennaro Lanza firm uses the trading platform of DBFX Trades, which received a CNMV warning for being a scam.
So, Lanza’s companies have received regulatory actions from different government authorities.Another sign that it’s a scam is the 1:200 leverage it offers. Regulated brokers in the EU cannot offer more than 1:30 leverage so you can understand just how dangerous DBInvesting is.
Also, the minimum deposit requirement of this broker is $200, much higher than the industry standard of $10. A high minimum deposit is a huge red flag because it’s the sum you are supposed to experiment with.
Trusted brokers keep their minimum deposit requirement low so their clients get ample opportunity to try out their services without taking a significant financial risk. On the other hand, scammers keep their minimum deposit requirement so they can steal as much as possible from every victim.
DBInvesting is just one example, Gennaro Lanza has a ton of similar companies and they all operate similarly.