CySEC Flags Binomo.com as an “Unauthorized Entity”

The Cyprus Securities and Exchange Commission (CySEC) has posted another warning on its website this Wednesday. This time, the Cypriot regulator has cautioned against the website binomo.com.

In its warning, the Cypriot watchdog warns consumers that the website “does not belong to an entity which has been granted an authorization for the provision of investment services and/or the performance of investment activities, as provided for in Article 5 of Law 87 (I)/2017.”

Taking a look at the website, Binomo claims to be an “innovative trading platform” and claims to offer foreign exchange (forex) trading, 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, stocks and commodities, which can be traded online or via mobile apps.

CySEC says in its warning: “CySEC urges investors to consult its website (www.cysec.gov.cy), before conducting business with investment firms, in order to ascertain the entities which are licensed to provide investment services and/or investment activities.”

However, a representative for Binomo told Finance Magnates that the company has never claimed to operate in Cyprus or through a Cypriot entity, nor to have a CySEC license. Binomo is currently filing an appeal to CySEC's warning.

Regulators try to stay on top of potential scams

The warning from CySEC comes just one day after the Financial Conduct Authority (FCA) published a warning on its website on Tuesday against a clone of a regulated entity.

As Finance Magnates reported, the British regulator has warned against Midpoint Exchange, which it states is a clone firm of the legitimate company Midpoint & Transfer Ltd, which is a currency exchange and international Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Read this Term platform.

In its warning, the FCA gives the following URL as belonging to the clone firm www.midpointexchange.com. Following this link, you are taken to an entity which claims to be an investment platform.

Through the platform, Midpoint Exchange claims that it offers to trade in foreign exchange (forex), stocks, indices, cryptocurrencies, and more.