BDSwiss Fined €100K by CySEC for Non-Compliance

The Cyprus Securities and Exchange Commission (CySEC) Thursday announced a €100,000 monetary penalty against Cyprus investment firm BDSwiss Holding Ltd, the operator of FX and CFDs broker BDSwiss and holds a Cyprus Investment Firm (CIF) license granted by CySEC.

The regulator stated that the fine was for the company's failure to comply with mandatory requirements of initial margin and risk warning during the year 2021. The company enabled "offshore companies with which it was associated, to refer on the CIF's status, as a Cyprus Investment Firm, licensed by CySEC, to attract clients to whom they offered investment services in CFDs without requiring customers to pay initial margin protection, and giving the necessary risk warning", according to the announcement.

BDSwiss was granted a CIF license by the Cyprus regulator in May 2013.

In a separate case, Goldenburg Group Ltd, another Cyprus investment firm, was fined €400,000 by CySEC last week for violating multiple provisions of the Investment Services and Activities and Regulated Markets Law of 2017 and the Regulation (EU) 1286/2014 on key information documents for packaged retail and insurance-based investment products (PRIIPs) ('Regulation (EU) 1286/2014').