Coverdeal Renounces CySEC License, Terminates Services

Cypriot brokerage operator, Coverdeal Holdings Limited is renouncing its Cyprus Investment Firm (CIF) license and has terminated all its activities.

The platform has announced its decision to exit its business by putting a notice on its website. The brokerage has already stopped taking any new clients and closed all positions of its existing clients.

“...the Company does not accept any new clients, and any existing clients will not be able to trade in their account or to enter any positions unrelated to the closing/termination of their open positions,” the notification stated.

“We kindly ask you to close/liquidate all open positions and withdraw any available balance on your account by 15/11/2020 at 18:00 GMT+3. The withdrawal of your funds will be processed in accordance with your valid documents.”

For the funds which were not withdrawn before the deadline, the brokerage transferred those to the Investor Compensation fund of the Cyprus Securities and Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term Commission (CySEC).

Termination of All Platforms

Coverdeal offered investment and ancillary services, and operated multiple CySEC CySEC The Cyprus Securities and Exchange Commission (CySEC) is a financial regulatory authority of Cyprus. CySEC is one of the key watchdog authorities for brokerages in Europe, whose financial regulations and operations comply with the European MiFID financial harmonization law.Founded in 2001, CySEC is instrumental in providing licensing and registration for forex brokers and previously binary options providers.CySEC is responsible for a variety of different functions, which includes the supervision The Cyprus Securities and Exchange Commission (CySEC) is a financial regulatory authority of Cyprus. CySEC is one of the key watchdog authorities for brokerages in Europe, whose financial regulations and operations comply with the European MiFID financial harmonization law.Founded in 2001, CySEC is instrumental in providing licensing and registration for forex brokers and previously binary options providers.CySEC is responsible for a variety of different functions, which includes the supervision Read this Term-regulated platforms: www.coverdealfx.eu; www.coverdealfx.cz; www.coverdealfx.pl; www.coverdealfx.sk; www.globtrex.com; www.coverdealfx.com; www.coverdeal.eu; and www.globtrex.co.za.

Despite notifying of the major decision, the holding company did not reveal the reasons behind the termination of services and renouncing its license.

The company received the license in 2014, and the regulator is now examining the authorization for the voluntary renunciation.

It is to be noted that Coverdeal settled with CySEC in 2018 for alleged regulatory violations, paying €250,000. Earlier this year, two other brokers, Hoch Capital Ltd and Rodeler Ltd, renounced their CIF licenses following a monetary settlement with the regulator.

While some brokers are renouncing their CIF licenses, Pepperstone recently received a license from the Cypriot regulator.