CySEC, the renowned Cypriot regulator and FX license issuer, recently issued a warning against a list of brokers. These companies were offering scammer forex, CFD, and crypto trading services, as they themselves were unregulated.
The Cypriot watchdog said that some of these are sheer ripoffs of previously closed brokers, while others were simply lying about their affiliation with legitimate brokers, many of which hold CySEC licenses.
The following is the list of the blacklisted entities:
The overseer wants to stress that firms such as these ones, as well as these ones, are not in any way authorized to provide legitimate FX service in the country. Nor are they tied to other legitimate FX companies. The regulator further stressed that users who have lost their funds to these, and other fraudsters, cannot be reimbursed by the Investor Compensation Fund (ICF) initiative.
CySEC states that most of these fraudulent brokers are in fact offshore companies that provide entirely false and misleading addresses, sometimes even letterbox addresses that have nothing to do with the shady firm at hand. It further stated that those scammers based in Cyprus will be dealt with appropriately.
Since the beginning of the COVID-19 pandemic, many suspicious brokers have been taking advantage of the panic and stress, and have been offering COVID-19 specific trading conditions. Many regulators, as well as CySEC, have been vigilant against these shameless schemes.