Last week, the British Columbia Securities Commission (BCSC), a Canadian based regulatory authority, added three additional brokers to its blacklist. The companies, Boss Capital, TR Binary Options, and CFD Capital Markets (CFD Capital), were put on the blacklist for approaching clients without being authorized or licensed by the BCSC.
CFD Capital states that it offers traders an online trading platform for forex, commodities, forex options, and contracts for difference (CFDs). TR Binary Options, previously known as Trade Rush, and Boss Capital are both binary options brokerages.
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Each company was banned from British Columbia after opening a single account with a local client without having the proper license issued by the BCSC, according to the statement released by the Canadian regulator.
Canada has been battling against online trading firms for a while now, and has added several brokers to its list as weeks go by. In early May this year, the BCSC banned Icon Markets Limited, which owns the brand Hedgestone Group. The brand, which offers CFDs and binary options trading, announced on its website that it does not accept Canadian and South African clients.
Finance Magnates reported the Canadian authority’s warning, stating that a large number of binary options trading platform were running an illegal operation. The BCSC acknowledged that some brokerages are legitimate, working under a license.
The BCSC is a provincial government regulator which operates independently in enforcing regulation under the administration of the Securities Act. The regulator’s website offers information including warnings regarding firms and individuals that have been found guilty of partaking in illegal activities like recruiting clients without the required license and registration.