The term "overseas forex" often evokes a somewhat suspicious image. For example, you may have seen topics related to overseas forex like the following. As you can see, there are opinions that advise against overseas forex. Indeed, even I, with 7 years of experience in forex trading, believe that "for those with ample funds and the ability to distinguish between reputable overseas forex brokers, domestic forex is the safer option." That being said, I cannot agree with opinions that say overseas forex is dangerous and therefore not recommended, or that it's impossible to profit from overseas forex. Therefore, in this article, we will delve into the reasons why overseas forex is not recommended, without any bias, to understand what the reality is. Beginners in overseas forex are advised to read the Complete Guide to Overseas Forex for Beginners. Contents 1 Why is Overseas Forex Not Recommended? A thorough explanation of the risks: 1.1 Why we don't recommend overseas FX: Because they are "not registered with the Financial Services Agency" 1.2 Because trust protection is not mandatory 1.3 Because there is a risk of unfair withdrawal refusal 1.4 Because overseas FX has wider spreads than domestic FX 1.5 Because taxes are higher than domestic FX 1.6 Because there is a risk of large losses due to high leverage 1.7 Because there is a risk of becoming a victim of fraud or illegal activities 1.8 Because many brokers do not support Japanese 2 Advantages of using overseas FX | Why are there so many Japanese traders? 2.1 Adopts a highly transparent NDD system 2.2 Earn big with small capital 2.3 Zero cut, no losses exceeding account balance 2.4 Funding can be obtained using bonuses 2.5 Trading is possible with MT4/MT5 2.6 Earn with cashback 3 Disadvantages of using overseas FX 3.1 Basically self-responsibility in case of trouble 3.2 There are also malicious overseas FX brokers 4 How to identify overseas FX brokers that are not recommended 4.1 Do not have a financial license 4.2 No office or location unknown 4.3 Brokers that have been established for a short period of time 4.4 Brokers with no reviews of high-value withdrawals exceeding 1 million yen 4.5 Brokers without Japanese support 4.6 Brokers with poor ratings on SNS and review sites 5 Recommended overseas FX brokers with high safety and reliability 5.1 Exness | Over 1 million active users 5.2 HFM | Major broker with numerous awards 5.3 FXGT | Covered by €1 million liability insurance 6 Frequently asked questions about overseas FX 6.1 Why is it said that "overseas FX is not recommended"? 6.2 Is it true that withdrawals are sometimes refused in overseas forex trading? 6.3 What are the disadvantages of overseas forex trading? 6.4 Why is overseas forex trading considered risky? 6.5 What is zero cut in overseas forex trading? 7 Summary of reasons why overseas forex trading is not recommended Why is overseas forex trading not recommended? A thorough explanation of the risks There are eight reasons why overseas forex trading is not recommended. Here, we will explain the reasons why overseas forex trading is not recommended based on financial regulations and the actual situation. The reason why overseas forex trading is not recommended is because it is "not registered with the Financial Services Agency" The number one reason why overseas forex trading is not recommended is because it is "not registered with the Financial Services Agency". A common misconception among beginners is that overseas forex brokers themselves are "not registered with the Japanese Financial Services Agency". In other words, it does not mean that all overseas forex brokers are not licensed by any country's financial authorities, so please do not misunderstand. Except for some unscrupulous brokers, most overseas forex brokers are operated with appropriate licenses from the financial authorities of the country where they are based. Overseas Forex Brokers Have Received Warnings from the Financial Services Agency Many overseas forex brokers have been warned by the Japanese Financial Services Agency as "conducting financial instrument transactions without registration." ... Continue reading Why Overseas Forex is Not Recommended? We Explain the Reasons Why You Should Avoid It and the Dangers Involved