FINADEX.COM A SCAM:  My Experience with a Cryptocurrency Exchange Website Part 1

I feel compelled to share a troubling experience I had with a cryptocurrency exchange website, hoping to raise awareness among fellow investors.  

It all began when I stumbled upon an advertisement on Telegram promoting a free crypto signal from a user boasting an impressive 33,000 followers. The signals seemed promising, and I began to see positive results.

Encouraged by this success, I was enticed by his next investment opportunity, which purported to offer excellent returns through an arbitrage strategy.   Eager to dive in, I created an account on finadex where the profits appeared to be just as advertised. For context, the process was straightforward, and I felt optimistic about my investments.  

Here's the Telegram Message

Good morning, community! As promised, I'm sharing a new signal with you.

We're using the SOL-USDT trading pair. Right now, the price difference between exchanges is approximately 9.2%.

You can check out the detailed video tutorial in the pinned videos (the video uses the ETH-USDT pair as an example).

SOL price on Binance - $138.54
SOL price on Finadex: -$151.03

1. Buy SOL on Binance (or any other exchange)
Buy a small amount of SOL to test, then use your main deposit.

2. Create a Finadex Account
Sign up at Finadex and complete verification.

3.Transfer SOL to Finadex
Transfer your SOL from Binance to Finadex.

4. Exchange SOL for USDT on Finadex
Go to the spot market, find the SOL/USDT pair, and exchange SOL for USDT.

5. Withdraw USDT to Binance (or any other exchange)
Withdraw USDT from Finadex back to your Binance account.

Repeat the Process: Congratulations! You have successfully completed an arbitrage trade. You can repeat this process multiple times to maximize your profits.

However, after three attempts to withdraw my earnings, I was met with a disheartening message: my account had been frozen. The system prompted me to deposit an amount of 192 USDT to reactivate my account. Despite complying with this request, my account remained inaccessible. When I reached out to a live agent for assistance, I was informed that I had sent an incorrect amount, having overlooked a 1% exchange fee. Following his guidance, I deposited 195 USDT, and he assured me that my account was now verified.  

Confident that I could finally access my funds, I attempted to withdraw 735.72 USDT to my wallet. Yet, 30 minutes later, the amount had yet to arrive in my KuCoin account, and a nagging suspicion began to creep in—I feared I had been scammed.  

I contacted the live agent once more, and he reassured me that the funds would be available for withdrawal within 3 to 5 days. Deep down, I knew something was amiss, but I held onto a glimmer of hope.  

Four days passed, and the live agent messaged me again, claiming that I would receive the USDT in my KuCoin wallet within 30 to 60 minutes. However, just five minutes later, the website vanished without a trace.

Left with nothing but disappointment, I had no choice but to move on.   

A New Purpose  

Because of what happened to me, I have set a new goal in my life: to protect investors from scammers. I envision developing a system that will validate the authenticity of investment websites, helping to safeguard others from falling into similar traps. While the concept is still incomplete, I am committed to turning my experience into a force for good.   

In my next article, I will share the valuable lessons I've learned from this experience, hoping to protect others from falling into the same trap. Stay vigilant, fellow investors!