CySEC Settles €35,000 Case with Squared Financial Over CFD Retail Restrictions

The Cyprus Securities and Exchange Commission (CySEC) has reached a €35,000 settlement with Squared Financial (CY) Ltd regarding a possible violation of EU Regulation 600/2014 (MiFIR).

According to the regulator, the case focused on the company’s compliance with Article 42 of MiFIR, which covers product intervention measures. The review examined Squared Financial’s practices between 26 October 2022 and 16 September 2024, with specific attention to paragraph 5 of CySEC Directive OD87-09. The directive restricts the marketing, distribution, and sale of CFDs to retail clients.

CySEC noted that the settlement resolves suspicions of a potential breach. The firm has already paid the €35,000 amount.

The regulator stated that, under Article 37(4) of the Cyprus Securities and Exchange Commission Law, it is authorized to settle actual or potential violations of laws under its supervision.