CySec Administers €15,000 Penalty To Zoompartners For Unlicensed Binary Options
- Cypriot regulatory authority CySec has today announced that it has issued a €15,000 administrative penalty to binary options brand Zoompartners for allegedly operating without a license.
Regulatory authorities across the globe have been increasingly involved in ensuring that the FX industry is stringently regulated, and in doing so, often imposing very large financial penalties on transgressors.
Cyprus, being a region synonymous with a very large number of retail FX and binary options companies, has today dealt a mild €15,000 administrative penalty to binary options brand Zoompartners for operating in the jurisdiction without the appropriate licensing from CySEC CySEC The Cyprus Securities and Exchange Commission (CySEC) is a financial regulatory authority of Cyprus. CySEC is one of the key watchdog authorities for brokerages in Europe, whose financial regulations and operations comply with the European MiFID financial harmonization law.Founded in 2001, CySEC is instrumental in providing licensing and registration for forex brokers and previously binary options providers.CySEC is responsible for a variety of different functions, which includes the supervision The Cyprus Securities and Exchange Commission (CySEC) is a financial regulatory authority of Cyprus. CySEC is one of the key watchdog authorities for brokerages in Europe, whose financial regulations and operations comply with the European MiFID financial harmonization law.Founded in 2001, CySEC is instrumental in providing licensing and registration for forex brokers and previously binary options providers.CySEC is responsible for a variety of different functions, which includes the supervision Read this Term, as detailed in an announcement by the regulatory authority today.
A Fraction Of The Maximum Fine
According to the announcement today by CySec, the company infringed Article 4 (1) of the Investment Services and Activities and Regulated Markets Law of 2007 by providing binary options contracts within the jurisdiction without a license, which was brought to the attention of the regulator by the nature of the company's zoomtrader.com website on October 12, 2012.
CySec stipulates that the maximum financial penalty for violating this particular law is €350,000, however due to the "mitigating circumstances" that the company was acknowledged by CySec as "having taken measures to terminate these activities," more than a degree of leniency has been extended to the company, with a final figure of €15,000 having been handed down.
Some retail Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term companies which were issued with CySec licenses very recently have since demonstrated their wish to set aside greater net capital, and be regulated by the UK's Financial Conduct Authority instead, which administers much higher penalties for transgressing its rules, and stricter, more bureaucratic client protection measures.
Perhaps the encouraging factor is that market participants in the retail FX industry are concerned with demonstrating credibility and reliable backing toward their clients, as well as from a commercial perspective, ability to obtain business-related services such as segregated bank accounts, in which to contain client funds being more accessible with licenses from other jurisdictions such as the UK or Australia, regardless of the considerably higher cost.
Regulatory authorities across the globe have been increasingly involved in ensuring that the FX industry is stringently regulated, and in doing so, often imposing very large financial penalties on transgressors.
Cyprus, being a region synonymous with a very large number of retail FX and binary options companies, has today dealt a mild €15,000 administrative penalty to binary options brand Zoompartners for operating in the jurisdiction without the appropriate licensing from CySEC CySEC The Cyprus Securities and Exchange Commission (CySEC) is a financial regulatory authority of Cyprus. CySEC is one of the key watchdog authorities for brokerages in Europe, whose financial regulations and operations comply with the European MiFID financial harmonization law.Founded in 2001, CySEC is instrumental in providing licensing and registration for forex brokers and previously binary options providers.CySEC is responsible for a variety of different functions, which includes the supervision The Cyprus Securities and Exchange Commission (CySEC) is a financial regulatory authority of Cyprus. CySEC is one of the key watchdog authorities for brokerages in Europe, whose financial regulations and operations comply with the European MiFID financial harmonization law.Founded in 2001, CySEC is instrumental in providing licensing and registration for forex brokers and previously binary options providers.CySEC is responsible for a variety of different functions, which includes the supervision Read this Term, as detailed in an announcement by the regulatory authority today.
A Fraction Of The Maximum Fine
According to the announcement today by CySec, the company infringed Article 4 (1) of the Investment Services and Activities and Regulated Markets Law of 2007 by providing binary options contracts within the jurisdiction without a license, which was brought to the attention of the regulator by the nature of the company's zoomtrader.com website on October 12, 2012.
CySec stipulates that the maximum financial penalty for violating this particular law is €350,000, however due to the "mitigating circumstances" that the company was acknowledged by CySec as "having taken measures to terminate these activities," more than a degree of leniency has been extended to the company, with a final figure of €15,000 having been handed down.
Some retail Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term companies which were issued with CySec licenses very recently have since demonstrated their wish to set aside greater net capital, and be regulated by the UK's Financial Conduct Authority instead, which administers much higher penalties for transgressing its rules, and stricter, more bureaucratic client protection measures.
Perhaps the encouraging factor is that market participants in the retail FX industry are concerned with demonstrating credibility and reliable backing toward their clients, as well as from a commercial perspective, ability to obtain business-related services such as segregated bank accounts, in which to contain client funds being more accessible with licenses from other jurisdictions such as the UK or Australia, regardless of the considerably higher cost.