CySEC has change of heart: revises stance on CIF licenses withdrawn

Maria Nikolova

The Cypriot financial regulator has demonstrated some startling swiftness in revising its stance on CIF licenses withdrawn – it took CySEC a weekend to decide to give back authorisations suspended on Friday.

cyprus

Sometimes the ways a regulator operates and makes its authoritative calls are mysterious… The Cyprus Securities and Exchange Commission (CySEC) has suffered a change of heart over the last weekend, which by chance included the Fools Day. It is not yet clear whether the Cypriot regulator decided to play a prank to the public or not but it has just published announcements saying it is withdrawing the suspension on a couple of licenses suspended last Friday.

It took CySEC a weekend to realize that at least two of the companies affected by the Cyprus Investment Firms (CIFs) licenses withdrawal – TTCM Traders Trust Capital Markets Ltd and Leadtrade, are now compliant with legal requirements. On Friday, the regulator claimed that four companies – the two just mentioned, as well as Dragon Options and Gametech, are suspected of breaching legal provisions concerning own funds and capital adequacy ratio. Today, CySEC says TTCM Traders Trust Capital and Leadtrade have rectified the problems.

The designation “suspended” next to Dragon Options has also disappeared. The designation remains in place against the name of Gametech at the moment of publication of this article. For how long? Only CySEC knows.

The latest swift revision of CySEC’s mind on law violations by several companies raises questions on whether the regulatory proposals regarding binary options will indeed be implemented. Maybe they will be changed over the next weekend?

Read this next

Retail FX

Italian watchdog red flags Olympus Brokers, UnicoFX and Allfina Group

Italy’s Commissione Nazionale per le Società e la Borsa (CONSOB) has shut down new websites in an ongoing clampdown against firms it accuses of illegally promoting investment products in the country.

Retail FX

XTB revenues hits zł1.45 billion in 2022, Q4 earnings disappoint

Poland-based Forex and CFDs broker, XTB has reported its final results for Q4 of 2022 and the full fiscal year ending on December 31, 2022, showing one of its most successful corporate years.

Executive Moves

Lirunex Limited recruits Waleed Salah as head of MENA sales

Maldives-based brokerage firm Lirunex Limited has secured the services of Waleed Salah, who joined the company in the role of its head of sales for the MENA region.

Executive Moves

Trading 212 parts ways with co-founder Borislav Nedialkov

Trading 212 has a void to fill at its FCA-regulated business in London, following the departure of two key players, Raj Somal and Borislav Nedialkov.

Digital Assets

Binance acquires troubled crypto exchange GOPAX

Binance, the world’s largest digital asset trading platform, has reportedly acquired a majority stake in the troubled South Korea-based cryptocurrency exchange GOPAX.

Digital Assets

Kraken exits Middle East, closes UAE office

Digital currency exchange Kraken will close down its operations in Abu Dhabi, UAE and lay off the majority of its team focused on the Middle East and North Africa.

Industry News

CFTC comments on ION Cleared Derivatives issues after Russian-linked hack

“The ongoing issue is impacting some clearing members’ ability to provide the CFTC with timely and accurate data. As this incident unfolded, it became clear that the submission of data that is required by registrants will be delayed until the trading issues are resolved.”

Industry News

FCA took down 14 times more misleading ads in 2022 thanks to technology

The FCA has made significant improvements to the digital tools it uses to find problem firms and misleading adverts. These improvements have enabled it to work through a much larger number of cases compared with 2021.

Executive Moves

HKEX appoints ex-Goldman Sachs Matthew Cheong to lead platform’s focus on derivatives

“He has worked for a number of the world’s leading investment banks and his experience will be invaluable to HKEX as we continue to enhance our derivatives product offerings and build on our innovative and robust platform business, connecting capital with opportunities.”

<