CySEC Suspends ‘in whole’ CIF License of UGL Exchange

The Cyprus Securities and Exchange Commission (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) on Thursday confirmed that it has wholly suspended the Cyprus Investment Firm (CIF) License of FX retail brokerage firm UGL Exchange.

CySEC ordered the company to take corrective measures within a set framework; otherwise, additional measures will be taken, such as the imposition of new fines and/or even the withdrawal of their licenses.

The Cypriot watchdogs didn’t provide a breakdown or specific details for the regulatory action but said its decision was taken based on possible violations of 'prudential requirements,' namely UGL Exchange’s funds and capital ratio. The broker was also flagged for non-compliance with authorization conditions stated in section 17(9) of the Law, which mainly concerns organizational requirements and the security of clients’ funds.

Finance Magnates contacted UGL Exchange for a comment but did not hear back before publication.

Two years in Cyprus operations

More specifically, UGL Exchange now has 30 days to take the necessary actions to comply with the specified provisions. During this time, they cannot provide any services or enter into a business relationship with any person and take on any new clients.

In addition, the broker is not allowed to execute any orders from clients for buying financial instruments or provide any investment services in or outside of Cyprus.

Furthermore, the suspended brand is not permitted to advertise itself as an investment services provider or has relating advertisements. They must also close all open positions in relation to clients’ contracts on their maturity date or upon their request, as well as return any funds and profits.

UGL Exchange secured its CySEC license back in 2018 to offer margin trading across FX, precious metals, 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, and CFDs. Earlier last year, it promoted its chief operating officer Alicia Ziomek to serve as its new chief executive officer (CEO).

Ziomek has nearly seven years of experience in the capital markets and originally joined the Cypriot retail firm back in June 2018. In her capacity as COO, a position she seemingly still retains, Alicia oversees daily operations of the company and the work of executives across IT, marketing, sales, and finance.