London-listed financial broker IG Group announced its decision to remove cryptocurrencies from its offering to UK-based retail clients. Ahead of the removal of the crypto offering, IG Group will raise its margin requirements on existing positions. The move results from UK FCA’s ban on crypto derivatives sale.
A post on IG Community Forum states that clients were asked to close all their open spread bets and/or CFD positions on cryptocurrencies by 3 pm on Wednesday, 24 March. After that, the company will close open positions based on the prevailing bid/ask prices.
The broker noted that the margin on Bitcoin, Bitcoin Cash, Crypto 10 Index, EOS, Ethereum, Litecoin, NEO and Stellar will increase to 100% from 3 pm Monday on 22 February.
On 6 January we restricted UK retail clients from increasing their exposure to cryptocurrencies, in accordance with the ban imposed by the Financial Conduct Authority (FCA) on the sale of crypto derivatives. We have now reached our internal product limit for exposure to cryptocurrencies, and as a result will be removing cryptocurrencies from our offering to UK retail clients. Ahead of this, we will also be increasing margin requirements.
Experienced writer and journalist, working in the global online trading sector, Steffy is the Editor of LeapRate. She has previous experience as a copywriter and has been with the company since January 2020. Steffy has a British and American Studies degree from St. Kliment Ochridski University in Sofia.