It appears the grace period for Cyprus based binary brokers to apply for a CySEC CIF license has lapsed.
Cyprus financial regulator CySEC has sent out a release warning investors against binary options broker NRGbinary (www.nrgbinary.com), and its parent company NRG Capital (CY) Ltd. CySEC states that NRGbinary is not and has never been licensed by CySEC.
Based on information on its website, NRGbinary is based in Nicosia, Cyprus.
The lesson here? It appears as if CySEC is, one by one, going to go after the unregulated binary options brokers which are operating out of Cyprus, or claim to be doing so. A recent warning was issued by CySEC against binary options broker TraderXP.
Cyprus is one of just a handful of EU countries which require binary options brokers to be licensed by CySEC as investment firms. Although CySEC introduced that requirement in mid 2012, it has given binary options brokers in the country a (reasonable) amount of time to either apply for a CIF license, or leave the country. To date, CySEC has issued six CIF licenses to binary brokers, with four of those licenses handed out in just the past four months (see list below).
For those binary options brokers in Cyprus unwilling or unable to apply for and receive a CIF license, it looks like the party is over, as their days of operating unlicensed are numbered.
The six CySEC licensed binary options brokers, and the platforms they run, include:
|Binary Options Broker||Platform Provider|
|Banc de Binary||SpotOption|
For the complete CySEC warning release on NRGbinary click here.