Categories: CryptoNews

Bitcoin User Falsely Accuses 1Broker of Scamming Him

Companies dealing with bitcoin transactions have to ensure they treat all their customers fairly. Every now and then, a dispute will occur which could end up being a PR nightmare. One Reddit user claims 1Broker scammed him out of US$20 worth of bitcoin, although it appears these claims are vastly overstated. This story highlights how users are responsible for their actions, especially in the bitcoin world.

1Broker Has Not Scammed Anyone

It is good to know the 1Broker platform has not scammed any of its users, despite one person claiming otherwise. One of the platform’s customers opened a thread on Reddit explaining how he lost US$20 worth of bitcoin in less than three seconds. Such claims should always be taken with a grain of salt, as people have a tendency to overreact and only tell their side of the story.

As it turns out, the 1Broker user complains about how the platform’s default maximum leverage setting cost him US$20 worth of bitcoin. Additionally, the company’s terms of service states how they can force-close any user’s position without consent. This is not unusual in the world of brokers, as virtually every company using leveraged trades employs a similar strategy. Without them force closing positions, users would pile up debt rather quickly, which is not in anybody’s best interest.

Claiming the 1Broker platform is a scam because of these practices is rather strange, though. The company has done nothing wrong and only acted in the interest of protecting its client against further financial losses. While it’s not fun to lose US$20 worth of bitcoin in just three seconds, it appears most of this loss is due to user error. Opening a leveraged SNAP position just before the market continues to push against that trade is a matter of bad timing, rather than the company trying to do anything malicious.

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One of the company’s representatives was quick to answer this issue on Reddit. He explains how the company decided not to refund the customer for this loss as everything on the platform worked as expected. There was no software glitch affecting this trade, nor does 1Broker have any control over the market by any means. The user simply got stopped out after 46 minutes because the market continued to move against this trade. An unfortunate incident, but no reason whatsoever to call 1Broker a scam.

It is good to see the company take notice of this thread on Reddit, though. After all, Reddit is one of the platforms where a lot of people come to find information and share experiences. Addressing any concerns people may have regarding your company or service is of the utmost importance. Failure to do will allow these stories to take on a life of their own, which can have disastrous consequences, to say the least. Events like these could have easily tarnished 1Broker’s reputation if no swift action was undertaken by one of their representatives.

One thing people need to keep in mind is how the company has been around for a long time, and scamming someone out of US$20 would make no sense whatsoever. Forex brokers dealing with bitcoin transactions process a lot of volume every month. If they wanted to scam users, they would do so by stealing thousands of US Dollars. This does not mean there are no platforms looking to scam bitcoin users though, but it is evident 1Broker is not one of them.

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JP Buntinx

JP Buntinx is a FinTech and Bitcoin enthusiast living in Belgium. His passion for finance and technology made him one of the world's leading freelance Bitcoin writers, and he aims to achieve the same level of respect in the FinTech sector.

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