The Cyprus Securities and Exchange Commission (CySEC) announced on Thursday that it has imposed a fine of €100,000 on Cyprus investment firm BDSwiss Holding Ltd. The company is the operator of BDSwiss, a currency pairs and contracts for difference (CDF) broker, and it holds a Cyprus Investment Firm (CIF) license.
The regulator said the fine was imposed because the company failed to comply with mandatory requirements for initial margin and risk warnings in 2021. It was reported that the firm allowed offshore companies associated with it to take advantage of its CIF license to attract clients, offering them CFD investment services without requiring initial margin payments or providing necessary risk warnings.
BDSwiss was issued its CIF license in May 2013.
Recently, CySEC also fined another Cypriot investment firm, Goldenburg Group Ltd, €400,000 for breaching several regulatory provisions, including The Investment Services and Activities and Regulated Markets Law in 2017.