The Cyprus Securities and Exchange Commission (CySEC) has granted a license to binary options broker Daweda Exchange to provide investment and ancillary services in the country, data published on the financial regulator’s website indicated.
The license was issued on 11 January, 2016, and is currently not active.
Earlier this month, the CySEC said Starfish Markets, another binary options broker, obtained license in the country, which has, however, not been activated yet.
In July 2015, the CySEC made regulatory amendments, under which once a company receives a license (a non activated one), it will also get certain conditions which it has to meet in order the license to get activated. The broker will not be permitted to provide any type of services for which it has received authorization, until it has fully complied with the conditions of the regulator.
Many brokers choose to obtain forex broker license in Cyprus. Brokers need to comply with a number of requirements in order to be granted a license, and the ongoing regulation in the country is strict, and all this makes a broker more secure and attractive to traders. Moreover, a license by the CySEC ensures access to the markets of all other EU member states, as well.
Other brokers that hold licenses issued by the Cypriot financial regulator include FxPro, XM, FXTM, EXNESS, Hot Forex, and IronFX.