zh-hansvitrruropt-brplnlnbmskojaitidhufrfieseneldedacsbgar

Regulatory Protocols For CySEC Forex Brokers

CySEC is one of the most popular regulatory agencies in the world when it comes to regulating all types of financial companies operating out of Cyprus. The Cyprus Securities And Exchange Commission was introduced way back in 2001, even before Cyprus joined the European Union in 2004. Ever since Cyprus became a part of the EU, the CySEC also became a subsidiary of the European MiFID regulatory organization, thereby enabling all CySEC members to carry out business across the European continent.
Cyprus is a highly popular attraction for Forex brokers who wish to set up base in a relatively easy and convenient location. Cyprus offers a lot of advantages when it comes to setting up a corporate headquarter, which is one of the main reasons why Cyprus sees the maximum number of Forex brokers offering financial services for traders across the world. CySEC Forex brokers are completely accountable to the CySEC under the MiFID directive, and are liable to legal action, including hefty fines and suspension of licenses, for non-compliance of the stipulated laws and guidelines.

Why Are CySEC Regulated Brokers Popular?

cysec forex brokersCySEC has relatively easy regulatory guidelines and a fast approval process that allows CySEC regulated brokers to set up camp in Cyprus with minimum formalities. Cyprus was also formerly known as a tax haven before being admitted into the EU, which provided additional incentives for companies who wished to save on taxes and increase their revenue.
CySEC also used to be broker friendly in terms of fines or suspension of licenses for misdeeds, which attracted criticism from all quarters of the globe, especially from other European Union members and their regulatory agencies. CySEC regulated Forex brokers have been known to indulge in financial malpractices and fraud, which had resulted in clients losing millions of dollars on an annual basis. This forced the CySEC to reform its regulatory guidelines to ensure that all regulated Forex brokers adhere to the most stringent laws to protect clients’ funds and interests.

Top Regulated Forex Brokers

.
Broker Min Deposit Regulation Bonus Read More Visit Site
XTrade $100 CySEC $20 Free Read Review Visit Broker
XM $5 FSA, CySec $30 Free Read Review Visit Broker
HY Markets $50 FSA, CySec Up to $5000 Read Review Visit Broker

CySEC Regulated Forex Brokers

.



.
Broker Min Deposit Regulation Bonus Read More Visit Site
FXPRIMUS $100 CySec No Bonus Read Review Not Verified
FXGlobe $250 CySec No Bonus Read Review Not Verified
FxNet $50 CySec, BaFin No Bonus Read Review Not Verified
GBE – Forex Broker $1000 CySec No Bonus Read Review Not Verified
iFOREX $100 CySec No Bonus Read Review Not Verified
FX Club N/A CySec, CFTC No Bonus Read Review Not Verified
Mayzus $100 CySec No Bonus Read Review Not Verified
Fxoro $200 CySec No Bonus Read Review Not Verified
Trade360.com $25 CySec No Bonus Read Review Not Verified
Nordfx.com $5 CySec No Bonus Read Review Not Verified
ORBEX $500 CySec No Bonus Read Review Not Verified
FXFINPRO Capital $500 CySec, BaFin No Bonus Read Review Not Verified
PriorFX $250 CySec No Bonus Read Review Not veified
RoboForex $1 CySec No Bonus Read Review Not veified
Skopalino $500 CySec No Bonus Read Review Not veified
FCM Forex $5 CySec No Bonus Read Review Not veified
TeleTrade $300 CySec No Bonus Read Review Not veified
.
Broker Min Deposit Regulation Bonus Read More Visit Site
Capital Index $1 CySec No Bonus Read Review Not verified
Colmex Pro $250 CySec No Bonus Read Review Not verified
Fenix Markets $200 CySec No Bonus Read Review Not verified
Exness $1 CySec No Bonus Read Review Not verified
FIBO Group $300 CySec N/A Read Review Visit Broker
ForexTB $1 CySec No Bonus Read Review Not verified
ForexTime $100 CySec No Bonus Read Review Not verified
FXCC Traders Hub $100 CySec No Bonus Read Review Not verified
.
Broker Min Deposit Regulation Bonus Read More Visit Site
TopFX $1 CySec, FCA No Bonus Read Review Not Verified
TTCM Traders-Trust $100 CySec, BaFin No Bonus Read Review Not Verified
Windsor Brokers $100 CySec, BaFin No Bonus Read Review Not Verified
X GLOBAL MARKETS $500 CySec, BaFin No Bonus Read Review Not Verified
Vistabrokers CIF Ltd $100 CySec No Bonus Read Review Not Verified
.
Broker Min Deposit Regulation Bonus Read More Visit Site
AGM Markets $250 CySec No Bonus Read Review Not verified
CapitAlpha $500 CySec No Bonus Read Review Not verified
Amana Capital N/A CySec, DFSA, FCA No Bonus Read Review Not verified
BDSwiss $1 CySEC No Bonus Read Review Not verified
BCFXbroker.com $100 CySEC No Bonus Read Review Not verified

A Pioneer In The Field Of Regulations

While CySEC received wide-spread criticism for its governing policies during the initial days, CySEC is clearly a pioneer in terms of bringing ground-breaking regulatory guidelines that changed the financial markets for the better. CySEC is the first regulatory agency in the world to regulate binary options by terming it as a valid financial instrument and is at the forefront of regulating a majority of leading binary options brokers in the entire world. CySEC paved the way for all the other regulatory agencies to quickly follow in their footsteps by recognizing binary options as a valid financial instrument and regulating related brokers in their respective countries.

How Are The Consumers Protected?

Since 2012, CySEC has been continuously updating their regulatory framework to incorporate several new initiatives that are designed to safeguard consumers against financial crimes and abuse. CySEC now works extensively with the European MiFID to create guidelines that concentrate on ensuring that all compliant members are honest in their dealings with the general public to ensure the integrity of the markets.
Unlike the NFA or CFTC, CySEC does not entertain consumer complaints directly. The CySEC has instructed all regulated members to address their clients’ complaints in an efficient manner through a dedicated customer support channel. Therefore, a trader should contact their broker directly regarding any complaints and await further instructions on a problem resolution. In case the client does not receive an amicable solution, CySEC recommends contacting the Financial Ombudsman, or the Court as a last resort.

subscribe

Stay Informed & Be A Step Ahead!

When you sign up to receive our email updates you will be the first to learn about the latest Forex promotions, ratings and reviews.

The primary mission of CySEC is to regulate the markets and to supervise the conduct of financial organizations operating on Cyprus soil. While investor protection is a top priority in their updated mission, consumers can not contact the CySEC directly for any complaint resolution or arbitration services.

Verifying The Authenticity of CySEC Regulated Forex Brokers

The relatively easy CySEC regulations provided scam Forex brokers to make false regulatory claims and trick unsuspecting users. Current CySEC regulations state that all Forex brokers are required to quote the five digit CySEC license number prominently on their website. Consumers are also encouraged to verify the authenticity of a Forex broker by confirming the license information through the official CySEC website.
CySEC frequently updates its circulars and warning notices to inform the public about members that have been fined or have their licenses revoked for any financial wrongdoings. In case the consumers are confused about the status of any particular company, they can directly contact the CySEC to get more information.

Criticism & Way Forward

CySEC can be considered as a controversy’s play child since most EU regulators often criticise the way CySEC works. Most regulators often feel that the fines levied on members for non-compliance is small, and companies are let off with a simple warning for financial frauds that can get them banned in other countries. Therefore, the MiFID constantly oversees the working of the CySEC to ensure that their regulatory guidelines are continually adjusted to bring financial firms in line with standard protocols.
Despite the fact that CySEC has a long way to move forward in terms of regulation, it is indeed one of the most popular regulatory organizations that have achieved a tremendous growth rate. Financial companies still favour CySEC over other agencies due to the relative ease of regulation and lesser formalities. However, all of that is set to change in the next few years if CySEC hopes to be taken seriously by the MiFID.

Was the information useful?
CySEC Regulated Forex Brokers
4.8 (96%) 5 votes