CySEC warns investors about Forex Place (4XP)

Is this payback for 4XP running “We’re not in Cyprus” ads during the EU-Cyprus bailout crisis?

Cyprus financial regulator CySEC has sent out a release warning investors against Forex Place Ltd (also known in the industry as 4XP), and their website, stating that they are not and have never been licensed by CySEC.

A quick visit to the 4XP website reveals that they state they are based in the British Virgin Islands (BVI); however they are not regulated by the BVI’s Financial Services Commission; instead, they are “regulated” by an “independent regulator”, Russia-based FMRRC (Financial Market Relations Regulation Center). We cannot find any mention of Cyprus on their website or marketing materials.

So why would CySEC warn against them? Perhaps this is payback for ads run by 4XP back in the springtime during the EU-Cyprus bailout crisis, stating “Your money is safe with us. We’re not in Cyprus….”. We can imagine that the Cypriot authorities did not take too kindly to that type of negative advertising.

For the complete CySEC warning against Forex Place click here.

For more on the global Forex industry see the LeapRate-Dow Jones Forex Industry Report.

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