Belize’s IFSC Sounds Alarm Over FX Brokers' False Licenses

Belize’s financial watchdog (IFSC) on Thursday issued a string of warnings alerting investors of the recent spate of unregulated FX and binary options brokers.

The newly-blacklisted firms work differently across various industries, but generally, some of them pretend to be registered with the agency or copy authorized firms’ branding and logo on their website.

The watchdog warned users who had trusted the firms with their investments that they might not recover their deposits.

The IFSC agency has updated its blacklist to include the following brands: OptimaFX Global Investment LTD, which is using a fraudulent license No: IFSC/60/345/APM/18, and claims to be based out of New York. The second flagged broker called ‘UZMAN FX LLC’ which is also falsely claiming to hold International Business Company registration in Belize while not actually licensed by the commission ‎or any other competent authority in the country.

Forged licenses

Due to the illegal nature of its conduct, the Online Trading Online Trading Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Read this Term firms have been ‎instructed by the IFSC to cease and desist from providing financial services and engaging in ‎finance-oriented activities. Offering such services in this manner is a violation of the law in ‎Belize.‎

Earlier this year, Belize’s financial watchdog (IFSC) ‎ issued a list of asset managers, FX, and ‎binary options brokers that are no longer licensed by the International Financial Services Commission.

Should these firms continue providing professional ‎investment services to domestic clients without proper authorization, the practice will be considered a criminal offense. According to the regulatory manifest, however, there is no one-size-fits-all reasoning that the IFSC gives for lapsing these licenses.

The Belizean regulator has experienced its share of unlicensed firms operating within its jurisdiction. As the financial world continues to adapt to the growing demand for Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term, many institutions are making the necessary adjustments. The IFSC is no exception, as the authority has already begun to monitor and assess crypto companies and their respective activity.

Finance Magnates previously reported that the IFSC had issued a warning regarding unauthorized cryptocurrency promoter and brokerage OneLife Network.