Cyprus regulator warns against three forex and crypto companies

The Cypriot securities market regulator has published a warning against three forex and cryptocurrency brokers it believes have been operating without its approval. The Cyprus Securities and Exchange Commission (CySEC) accused the three of misleading their investors that they are based in, and authorized to serve clients in Cyprus.

The three may be based overseas but have used fake addresses in Cyprus to lure clients in Cyprus and the rest of Europe, CySEC believes. As reported by Finance Magnates, the watchdog promised to take more stern actions if it discovered that any of these firms was based in the European country.

One of the firms is IcFxMarkets, a trading company that claims to be fully regulated. It offers forex and CFD, crypto and options trading. The other is Calibur Capital, a company that claims to offer trading in over 2,100 global CFDs. It also offers indices, bonds, commodities, ETFs, stocks and crypto. The company’s website claims that it’s based in London, in the U.K. The third, Naga Markets, wasn’t accessible at press time.

CySEC has always sought to impose stringent regulations on the country’s securities market as it seeks to protect investors. Early last year, the regulator called for the transposition of the EU’s AMLD5 regulations into national law. The Fifth Anti-Money Laundering DIrective (AMLD5) came into effect last month across Europe, shaking up the region’s financial industry. It also gave a legal definition to cryptos for the first time, making them legally recognized.

The transposition would help the island nation of Cyprus protect and maintain the integrity of its financial markets, the watchdog argued at the time. It also recommended an extension of the AMLD5 to encompass the transfer of crypto and the provision of financial services related to crypto.

The efforts of Cyprus to promote a sound and safe digital currencies industry go beyond regulation and into education. The University of Nicosia was among the first globally to develop the first certified online course for blockchain, as well as the first master’s degree for crypto in the world. By last year, the master’s degree had enrolled over 500 students, with the online course seeing interest from over 25,000 students.

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