The CySEC Has Flagged These Brokers. What This Means for You
The following brokers are the targets of warnings from CySEC. It’s critical that you heed these cautions. It is advisable to move on and choose a reputable, licensed broker if you were considering opening an account with any of the brokers on this list.
Close your account and demand your money back if you have one of these brokers. You will require help from experts at the Broker Complaint Registry if they refuse to release them.
At Broker Complaint Registry, we compile regulatory alerts and conduct in-depth investigations into the issues that each broker is facing. We compile reviews from the world’s leading regulators into a single location for broker research, and we update these reviews on a regular basis.
Cyprus Securities and Exchange Commission (CySEC)
The government of Cyprus collaborates with the independent Cyprus Securities and Exchange Commission to oversee the nation’s financial and investment markets. It issues licenses, conducts inspections of brokers and financial institutions to make sure they are following the law, takes disciplinary action against noncompliant institutions, and alerts the public to possible frauds so they can make wise financial decisions.
Why Were These Brokers Flagged by the CySEC?
The CySEC may decide to alert the public about a financial service for a variety of reasons. These alerts are most commonly caused for the reasons listed below:
- Unlicensed
- False claims
- Clone broker
- Non-compliance
- Numerous customer complaints
- Legal action against the broker
The lack of a license is one of the main grounds CySEC uses to alert the public about a broker. It could be operating without a license at all, holding a license that has been revoked, or holding a license but not one that permits it to accept clients in Cyprus.
Red flags are raised by CySEC against brokers that provide false assurances, like daily and weekly returns at specific thresholds. Additionally, they alert the public of clone brokers, who act as legitimate brokers with identical identities in order to trick the public.
When brokers violate rules and regulations, CySEC will punish them severely and alert the public if the broker has received repeated complaints from clients. CySEC will notify the public if the financial service is insolvent, is the subject of legal action, or has received a cease and desist order.