The Cyprus Securities and Exchange Commission (CySEC) has imposed an administrative fine of €100,000 on the Cyprus investment firm BDSwiss Holding Ltd.
CySEC said in a statement on 27 July that it had reached the decision "after finding that BDSwiss Holding Ltd enabled offshore companies with which it was associated, to refer on the CIF's status, as a Cyprus Investment Firm, to attract clients to whom they offered investment services in CFDs.
"That was without requiring customers to pay initial margin protection and not giving the necessary risk warning, as it would have to, if the provider was the CIF, avoiding the application of the statutory requirement", the regulator said.
