Be very careful of SpectroCoin Exchange. We have been receiving numerous complaints from customers pertaining to the unethical business practices of this exchange. Therefore, we have compiled an extensive SpectroCoin.com review whose ultimate aim is to inform the public of the many complaints and violations experienced from past and current SpectroCoin users.
SpectroCoin is an online cryptocurrency exchange, e-wallet and debit card provider located at spectrocoin.com. Vytautus Karalevicius, Mantas Mockevicius and Justas Dobiliauskas founded the Bitcoin based service in February 2013 under their company Spectro Finance LTD. Before we start detailing the bad side of this exchange, let us first take a general look at what they offer their customers. SpectroCoin currently offers four products to their customers. Below you will find a brief overview of the products offered.
Users can obtain a free mobile Bitcoin wallet with which they can trade on the go through the buying and selling of bitcoins. The SpectroCoin mobile wallet app can be downloaded on Windows, Android or IOs. Users also have the option to send and receive bitcoins anywhere in the world. SpectroCoin claim their wallet is secured through various authentication methods so only you have access to it. Additionally, they claim that 99% of the digital currency is stored in protected offline storage in order to secure funds.
The SpectroCoin debit card is linked to your Bitcoin wallet and can be utilized much like any other debit card. The card is apparently accepted in most shops around the world and users can also withdraw cash at any ATM on a global scale. Cardholders need not worry about exchanging their bitcoins in advance before using the card as it is funded instantly from your SpectroCoin wallet. The cards are available in dollar, euro and pound denominations. You can also choose either a virtual card or a physical plastic debit card. The cost of the virtual card is $0.50/€0.50/£0.50, while the plastic card costs $9.00/€8.00/£6.00. Delivery time is estimated at 3 weeks and normal shipping is free. There is a monthly card service fee of $1.00/€1.00/£1.00. Furthermore, as the card is offered in three different fiat currencies (USD, EUR, GBP) users may order up to six debit cards – two cards per currency with no verification process necessary.
The exchange offers a platform in which to trade cryptocurrencies and the currently supported fiat currencies. SpectroCoin serves as the liquidity provider for its users, which translates, to customers being able to buy/sell bitcoins almost immediately. Although the exchange advocates matching orders internally, they claim that in instances where liquidity is lacking, they have the ability to access other exchange pools in order to offer better pricing. SpectroCoin’s digital currency offering is relatively small in comparison with other major exchanges. As it stands, they only offer three cryptocurrencies, which are Bitcoin, Dash and Ether. There are over 20 supported fiat currencies like USD, GBP, EUR, AUD, JPY, CHF, CAD, RUB & ZAR to name a few. The London based exchange also offers Gold as a market against the digital currencies. They have over 20 payment options with which to buy bitcoins, for example local bank transfers, international wires, debit or credit cards, e-wallets and payment providers like Skrill, Neteller, OKPay and Payeer. Withdrawals are limited with only 10 options available.
SpectroCoin offers both physical and online businesses the opportunity to accept bitcoins as a method of payment from consumers. This is done in the form of an API (Application Program Interface) as well as internally developed e-commerce plugins. Both the plugins and the API support main e-commerce platforms like Drupal, Opencart and Magento. The exchange takes place via the SpectroCoin brokerage and all settlements are automatically concluded in either USD, EUR or GBP.
SpectroCoin.com Scam Warning!
You may be thinking that everything you’ve read so far in our SpectroCoin review sounds like a wonderful all in one solution for bitcoin users. However, there is a dark side to this service. We spent many hours conducting investigative research, which includes but is not limited to, liaising with readers who have contacted us with serious scam allegations, as well as deeply scouring the web and reading through all the available information pertaining to SpectroCoin and its mother company Spectro Finance LTD. What we uncovered is certainly cause for alarm and is what inspired us to publish this SpectroCoin review as a warning.
To begin with, all a potential user has to do is conduct a quick Google search on SpectroCoin and the majority of the returned search results will be negative. This alone is a major warning sign that something is amiss and not all may be as it appears on SpectroCoin.com and their associated site SpectroCard.com. Additionally, there are many allegations pointed towards the main founder Vytautus Karalevicus, of being a known fraudster. However, we noted that the main allegations stemming from actual SpectroCoin users are in the form of account blocking which then leads to user’s funds disappearing. Although Vytautus Karalevicus appears to troll certain sites trying to defend against such allegations, his excuses are unacceptable to say the least. Majority of the time he can found trying to turn the accuser into the accused by claiming they were violating the policies of spectrocoin.com, therefore had their account blocked while under investigation.
This however still does not explain nor justify SpectroCoin’s misappropriation of customer funds, including denying the existence of such funds or refusing to return said funds. In such an instance where a user did in fact violate any terms or policies found at spectrocoin.com, the correct way for any legitimate business would be to first issue a warning to said user. Should the user ignore the warning and continue in their behaviour, the ethical way to proceed should then be to close the users account and return any outstanding funds remaining to the user.
Unfortunately, this is not how SpectroCoin operates. Instead, they choose to block the user from accessing their account for the above-mentioned reasons. When the now panicked customer tries to contact their customer support, they either are told that there are no such funds in their account or simply flat out refuse to return any funds. In our opinion, this translates to outright theft. Of which there is no excuse for. There are many trusted cryptocurrency organizations and Bitcoin forums one can visit in order to verify these claims against this exchange. SpectroCoin’s reputation is sinking rapidly.
We also noted that this selective account blocking as a means to steal customer’s money generally happens to those with a slightly larger account balance. Hopefully this kind of thing can serve as a lesson to all investors not to leave any assets within a website. In the world of cryptocurrencies, the rule of thumb is that if you do not hold the keys to your bitcoins then you do not own the bitcoins, period! All of us need to utilize an exchange at some point in our lives, however, do not let your chosen exchange hold your funds. As soon as you have completed your transaction, immediately move your bitcoins off the exchange and into your wallet or address that only you control.
There are many other complaints laid against SpectroCoin.com, these range from faking BTC transfers, to depositing funds which reflect on the blockchain but do not reflect in SpectroCoin and many others. There is a lot more information we could add to this SpectroCoin review, such as the fact that simply Googling the words ‘’Vytautus Karalevicus scam’’ additionally leads to further allegations of his new ICO Bankera, found at Bankera.com being a fraud as well. However, you would end up reading this review for hours on end as there is enough information on that topic for another review altogether.
In all fairness, we did note during our investigation that there was a minority, who stated they used SpectroCoin and had no issues. However, the majority led with complaints against the service. It might also be of interest to you that although they claim to be based and registered in the UK, we contacted the FCA (Financial Conduct Authority) and received an official reply stating that the company, which runs SpectroCoin, Spectro Finance LTD, were in fact not registered in the UK. In all probability, as they do list a Lithuanian contact address on their website, they are registered there and allegedly comply with the Lithuanian law. In this case, we would advise you, should you for some reason still consider using this exchange, that you read the terms & conditions carefully and brush up your general knowledge of Lithuanian law while you’re at it.
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