The Cyprus Securities and Exchange Commission (CySEC) has announced that on April 27 2017 the forex broker Lucro Capital and its subsidiaries www.hiwayfx.com and www.hiwayfx.eu renounced the authorization received by the regulator.
The reasons leading up to this decision remain unclear, but CySEC also announced its intention to maintain supervision over the financial service company until it has taken care of its responsibilities under the license.
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The European version of the HiWayFX website has already been shut down, but hiwayfx.com is still up and running. The latter claims to be registered in Gibraltar under registration no. 113204, and in Saint-Vincent and the Grenadines under registration no. 21980. This move is somewhat unusual, as in most cases the regulators are the ones to pull the plug on licenses. A company caught in charge of a fraudulent operation is an example of a situation where a license would be revoked. This situation, however, seems to be a horse of a different color.
Lucro Capital received its forex trading license from CySEC back in 2014. Finance Magnates provided at the time a comprehensive review of the company’s website, that went by the name HiwayFX. At the time, the firm had allowed clients to set up trading accounts without the identification documents required by most brokerages, whether authorized or not.
HiWayFX then went on to launch a binary options trading system about one year after receiving the authorization from CySEC. The then new trading platform was operated by Gwazy, which offered both contests and a demo version to attract clients to the feature.