Online trading technology provider Tradologic announced that it has acquired the Bulgarian brokerage company FINEX, joining the trend of regulated firms being acquired by foreign entities. According to the company, this is a way to a new regulatory jurisdiction for its clients that wish to offer CFDs and cryptocurrencies.
The deal will enable the clients of Tradologic’s Krypton Software cryptocurrency-centered subsidiary to offer a regulated solution to the market.
The news comes as the CySEC regulatory regime appears to be faltering for some parts of the industry. The regulator has recently tightened the screws on local companies and is demanding a slew of new compliance procedures from Cyprus Investment Firms (CIFs).
The Bulgarian Financial Supervision Commission (FSC) has been mainly involved in the regulation of brokers that are focused on the local market, meaning that the Bulgarian license can be used to onboard clients in other countries when under European passporting rules.