How offshore jurisdictions are used to onboard retail FX clients to circumvent regulations - An incisive debate - FinanceFeeds

How offshore jurisdictions are used to onboard retail FX clients to circumvent regulations – An incisive debate

From onboarding clients via decoy offshore branches to lack of regulatory jurisdiction. Here are the conflicting practices that involve affiliates accepting deposit payments to personal accounts to bamboozle the merchant services providers and why such practices slip through the net

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Industry News, Retail FX, Week in Review

3 days until MiFID II – FX brokers onboarding clients offshore face losing their CySec license

Companies onboarding clients via subverting the CySec licences that they hold in order to onboard clients to offshore regions such as the Marshall Islands, and in some cases, FinanceFeeds has found that they do so via using personal entities as agencies (!) will no longer be able to do so, as European Union officials prepare to cut off the funds and make it impossible. We analyzed this during the course of 2017, and now the law is coming.

Industry News, Retail FX

Offshore chaos: Massive percentage of Vanuatu’s population runs away permanently. Want stability? Do NOT register there

Vanuatu, like most offshore regions where some unregulated FX firms choose to register their business, is now witnessing the permanent emigration of the vast majority of its population, representing the entire populace of Ambae. We look at the grave consequences of registering and operating from what is probably the world’s most unstable jurisdiction – you effectively face losing your entire brokerage and its funds.