The Cyprus Securities and Exchange Commission (CySEC), as an independent public supervisory body, was established under Article 5 of the Securities and Exchange Commission (Establishment and Responsibility) Act 2001 to supervise the investment service market and the negotiable securities market in the Republic of Cyprus. Institutional Vision: To establish the Cyprus Stock Market as one of the safest, most reliable and most attractive investment destinations. Institutional Mission: To carry out effective supervision to ensure the protection of investors and the healthy development of the securities market.
There are 216 regulated foreign exchange businessmen.
Cyprus Securities and Exchange Commission (CySEC) is the financial regulator of Cyprus. As a member of the EU, CySEC's financial supervision and operation coincide with the EU's MiFID financial system. A large number of overseas foreign exchange retail brokers and Binary Options brokers are registered with CySEC.
CySEC was established in 2001. When Cyprus became a member of the EU in 2004, CySEC also became a member of the EU's MiFID regulatory system, opening the door for companies registered in Cyprus to enter the European market. Accession to the European Union and the euro zone has dramatically changed the financial regulatory framework of CySEC, which was previously considered a tax haven.
CySEC assumes the following responsibilities:
Supervise and control the Cyprus Stock Exchange and its transactions, listed companies, brokers and brokers.
Supervise and control licensed investment service companies, private equity funds, investment consultants and public fund management companies.
Licensing to investment companies, including investment consultants, brokers and brokers.
Manage the market and punish the irregularities of brokers, brokers and investment companies. At the same time, individuals or legal persons who violate the regulations are punished.
Throughout 2014 and 2015, CySEC received a lot of criticism from traders and industry commentators, arguing that CySEC needed stronger regulations to regulate and control high-risk investment companies, and that the penalties were too small for other countries. Most of these criticisms are directed at binary options brokers.
CySEC is the first financial institution to regulate binary options. In this case, dualistic options brokers, including many well-known ones, are competing to register with CySEC in the hope of operating in the euro area in a legitimate capacity and receiving trust around the world.
CySEC is making all-round changes in its registration and regulatory process. Changes include more transparent information from licensed agencies, more severe penalties, suspension or even revocation of brokerage licences. At the same time, it has taken more stringent measures to change the name of licensed institutions. Throughout 2016, CySEC explained that "the names of regulators, or the terms used in their names, should reflect their business activities in order not to mislead investors". CySEC has also undertaken institutional reforms to improve the handling of investor complaints.
Acquisition of Cysec regulatory licence in Cyprus
In the world of finance, Jews always dominate, as do brokers. Because Cyprus is very close to Israel, it naturally becomes a good place for Israelis to seek supervision.Hence the large number of brokerage firms registered in Cyprus.
Currently, there are two types of brokerage licenses in Cyprus, one is stp-only license, and the other is STP or market maker license. The second is more demanding and costly.
Step 1: fill in the application form 144-03-01
Step 2: calculate the required fees according to chapter 2 of the application form
Step 3: submit the application form to the securities and exchange commission of Cyprus
Step 4: CySEC reviews applications or subpoenas applicants (if necessary)
Step 5: CySEC board of directors decides whether to authorize or not
Step 6: reply to the decision within 6 months from the date of application submission
To guide the preparation of related application documents
Establish standard Cyprus company as CIF applicant
1 year appointment of company secretary
1 year basic trust support
Submission of complete set of enterprise/legal documents
Appointment of legal counsel in the application process
Liaison work assigned by the external auditor
Determination of the organizational structure of a company based on regulatory requirements
Guidance on board members' proposals
Resume review and questionnaire finalization
The final version of CYSEC's filing
The final business plan was completed
Completed operation manual
Completed anti-money laundering manual
On behalf of the CYSEC applicant
All CYSEC contacts and follow up on the project to completion
During the application process, necessary coordination shall be made among the parties involved