The Securities and Futures Commission (SFC), the regulatory authority supervising financial market services providers in Hong Kong, has issued a warning for citizens residing in the special administrative region of China that XTrade has been targeting clients in its jurisdiction.
The warning was issued today with the firm’s name appearing on the official ‘Alert List’ compiled by the SFC. The list is comprised of entities which the Hong Kong regulator has outlined as unlicensed in Hong Kong and are “believed to be, or to have been, targeting Hong Kong investors or claim to have an association with Hong Kong.”
Viberate Teams Up with Blockparty to Deliver World’s First Live Event NFTGo to article >>
XTrade South Africa Regulation
Commenting to Finance Magnates on the matter, the Chief Operation Officer of XTrade, Mark Leigh, said: “Xtrade is not targeting investors in Hong Kong. We adhere to regional licensing laws and have never attempted to target investors outside of the jurisdictions in which we are licensed and regulated.”
“As a result, we received just yesterday an operating license from the Financial Services Board of the Republic of South Africa. We trust that the Hong Kong SFC will remove the alert and contact us about resolving this matter.”
XTrade has become the third forex and CFDs brokerage that recently acquires a license to operate in South Africa. Back in June and August, Cyprus based HotForex and FXTM acquired licenses to expand into the same lucrative market, with the country and the continent as a whole experiencing rapid growth in population and internet use.