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Best CySEC Regulated Forex Brokers 2021

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You’ll be surprised by how many brokers are based out of Cyprus these days. Some good, some not so good, but the majority regulated by CySEC. In this article we’ll explore the background of the CySEC regulation and we’ll also show you the best CySEC regulated Forex Brokers based on our intense research into the operators.

The brokers below represent the best CySEC Regulated Forex Brokers

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BrokerRatingOfficial SiteRegulationsMin DepositMax LeverageTrading PlatformsFoundation YearPublicly TradedTrading Desk TypeCurrenciesCommoditiesIndicesStocksCryptoCommission on tradesFixed spreadsoffers promotionsOfficial Site
BDSwiss
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This website is for general information purposes only and is operated by BDSwiss AG. BDSwiss AG is the BDSwiss Group’s Holding Company domiciled in Grienbachstrasse 11, 6300, Zug, Switzerland. BDSwiss AG does NOT offer any financial products or services.

BaFin, CySEC, FSA(JP), FSC, NFA

$100

1:30

MT5, Proprietary, WebTrader

2012

Market Maker, STP

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This website is for general information purposes only and is operated by BDSwiss AG. BDSwiss AG is the BDSwiss Group’s Holding Company domiciled in Grienbachstrasse 11, 6300, Zug, Switzerland. BDSwiss AG does NOT offer any financial products or services.

IC Markets
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Trading Derivatives carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading Derivatives may not be suitable for all investors, so please ensure that you fully understand the risks involved, and seek independent advice if necessary. A Product Disclosure Statement (PDS) can be obtained either from this website or on request from our offices and should be considered before entering into a transaction with us. Raw Spread accounts offer spreads from 0.0 pips with a commission charge of USD $3.50 per 100k traded. Standard account offer spreads from 1 pips with no additional commission charges. Spreads on CFD indices start at 0.4 points. The information on this site is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

ASIC, CySEC, FSA(SC)

$200

1:500

cTrader, MT4, MT5

2007

ECN, No dealing desk

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Trading Derivatives carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading Derivatives may not be suitable for all investors, so please ensure that you fully understand the risks involved, and seek independent advice if necessary. A Product Disclosure Statement (PDS) can be obtained either from this website or on request from our offices and should be considered before entering into a transaction with us. Raw Spread accounts offer spreads from 0.0 pips with a commission charge of USD $3.50 per 100k traded. Standard account offer spreads from 1 pips with no additional commission charges. Spreads on CFD indices start at 0.4 points. The information on this site is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

FP Markets
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Your capital is at risk

ASIC, CySEC

$100

1:500

IRESS, MT4, MT5, WebTrader

2005

DMA, ECN, No dealing desk, STP

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Your capital is at risk

FXTM
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82% of retail CFD accounts lose money

CySEC, FCA, FSC

$10

1:30

MT4, MT5

2011

No dealing desk

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82% of retail CFD accounts lose money

Royal Financial Trading
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Your capital is at risk.

ASIC, CySEC, SVGFSA, VFSC

$50

500

MT4

2006

ECN, STP

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Your capital is at risk.

Tradeo
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Risk disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74.9% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

CySEC

$200

1:30

MT4

2014

No dealing desk, STP

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Risk disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74.9% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Plus500
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72% of retail CFD accounts lose money

ASIC, CySEC, FCA, FSB, ISA, MAS

$100

1:30

Plus500

2008

No dealing desk

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72% of retail CFD accounts lose money

eToro
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67% of retail CFD investors lose money

ASIC, CySEC, FCA, MiFID

$200

1:30

eToro Platform

2007

Market Maker, No dealing desk, STP

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67% of retail CFD investors lose money

Pro Tip: Most of these brokers offer free demo accounts so you can test the brokers and their platforms with virtual money. Give it a try with some play money before using your own cash.

Here’s a list of Best CySEC Regulated Forex Brokers
Note: Not all Forex brokers accept US clients. For your convenience we specified those that accept US Forex traders as clients.

BDSwiss

Regulated By:BaFin, CySEC, FSA(JP), FSC, NFA

Foundation Year:2012

Headquarters:Apostolou Andrea Street 11, Hyper Tower, 5th Floor, Limassol 4007

Min Deposit:$100

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This website is for general information purposes only and is operated by BDSwiss AG. BDSwiss AG is the BDSwiss Group’s Holding Company domiciled in Grienbachstrasse 11, 6300, Zug, Switzerland. BDSwiss AG does NOT offer any financial products or services.

BDSwiss was founded in 2012 and offers trading accounts regulated under the Mauritius Financial Services Commission and the Cyprus Securities and Exchange Commission.

Users can trade on more than 250+ financial CFD instruments covering Forex, Commodities, Cryptocurrencies, Indices and Equities, on 3 account types called Classic, VIP and Raw on the MetaTrader 4 and MetaTrader 5 trading platforms and the broker’s own BDSwiss Web Trader and BDSwiss Mobile App.

The broker also offers educational events via live analysis and educational webinars and seminars, as well as a beginner to advanced courses in its Trading Academy. Users can also access AutoChartist and live trading alerts via Telegram, depending on account type. Customer service is offered 24/5.

Pros: Cons:
  • Multiple regulations.
  • Commission-free trading available.
  • Access to raw spreads available.
  • Can trade on MetaTrader 4 and MetaTrader 5.
  • Best spread accounts require higher minimum deposits.

IC Markets

Regulated By:ASIC, CySEC, FSA(SC)

Foundation Year:2007

Headquarters:International Capital Markets Pty Ltd Level 6 309 Kent Street Sydney NSW 2000, Australia

Min Deposit:$200

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Trading Derivatives carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading Derivatives may not be suitable for all investors, so please ensure that you fully understand the risks involved, and seek independent advice if necessary. A Product Disclosure Statement (PDS) can be obtained either from this website or on request from our offices and should be considered before entering into a transaction with us. Raw Spread accounts offer spreads from 0.0 pips with a commission charge of USD $3.50 per 100k traded. Standard account offer spreads from 1 pips with no additional commission charges. Spreads on CFD indices start at 0.4 points. The information on this site is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

IC Markets was founded in Sydney, Australia in 2007 and is regulated by the Australian Securities and Investments Commission (ASIC), as well as the Seychelles Financial Services Authority (FSA). According to the broker’s website, they processed $646 billion worth of trading volume in April 2019 alone.

While the broker offers services and features designed for both beginner and professional traders, the company promote themselves as the ‘go to’ choice for high volume traders, scalpers and trading algos due to their New York Equinix NY4 data centre – processing over 500,000 trades per day.

Pros: Cons:
  • True ECN broker with institutional grade liquidity.
  • MetaTrader and cTrader available on desktop, web and mobile.
  • Wide range of tradable products with 24/7 customer support.
  • Impressive library of educational material and videos.
  • Beginner traders may be overwhelmed by the choice of markets and platforms.

FP Markets

Regulated By:ASIC, CySEC

Foundation Year:2005

Headquarters:Level 5, Exchange House 10 Bridge St Sydney NSW 2000, Australia

Min Deposit:$100

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Your capital is at risk

FP Markets was founded in 2005 and is regulated by the Australian Securities and Investments Commission (ASIC), offering segregation of client funds and top tier liquidity. FP Markets is a group of companies that includes First Prudential Markets Ltd which is authorised and regulated by the Cyprus Securities and Exchange Commission.

Traders can use the globally-recognised MetaTrader 4 and MetaTrader 5 trading platforms for desktop, web and mobile, as well as, the Iress active trader trading platform. Traders can also access a wide variety of trading tools which include MAM/PAMM accounts, VPS services, Forex calculators, an MT4 Trader Toolbox full of additional indicators and access to AutoChartist.

Pros: Cons:
  • ASIC regulated.
  • ECN pricing and DMA trading available.
  • 10,000+ tradable financial instruments.
  • Wide range of trading platforms and trading tools available.
  • Excellent customer support and education tools.
  • The volume of choice of markets and accounts may be overwhelming for beginner traders.

FXTM

Regulated By:CySEC, FCA, FSC

Foundation Year:2011

Headquarters:30 Churchill Place, London, E14 5EU, UK

Min Deposit:$10

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82% of retail CFD accounts lose money

FXTM, short for ForexTime, is a platform with a primary focus on foreign exchange. That specialization allows it to rise above many others when it comes to Forex focused trading platforms and tools. CFDs are available on 50+ currency pairs including major, minor, and exotic pairs. Leverage is available up to 1000:1.

Spreads are competitive across all platforms with 24-hour trading open 5 days per week. FXTM is based in Cyprus and licensed by the International Financial Services Commission (IFSC), Cyprus Securities and Exchange Commission, and other regulators in and out of the EU. A free demo account is available. 

 Pros:  Cons:
  • Support for 250+ products to trade across global markets, including Forex, commodities, shares, indices and cryptocurrency CFDs
  • Competitive spreads
  • MetaTrader 4 and MetaTrader 5 platform support
  • Low maximum order size
  • No native Mac desktop app

Royal

Regulated By:ASIC, CySEC, SVGFSA, VFSC

Foundation Year:2006

Headquarters:Level 3 IRIS HOUSE Office 340, 8 John Kennedy Street, 3106 Limassol, Cyprus

Min Deposit:$50

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Your capital is at risk.

Royal was founded in 2006 in Australia and is regulated by the Australian Securities & Investments Commission (ASIC) for wholesale clients only, the Cyprus Securities & Exchange Commission (CySEC), Lebanese Capital Markets Authority (CMA) and the Vanuatu Financial Services Commission (VFSC). The brand also operates as an International Business Company registered in St. Vincent and the Grenadines which is not unregulated.

Royal offers clients access to trade on more than 250+ financial instruments covering Forex, Commodities, Indices, Crypto and Shares all through the globally popular MetaTrader 4 platform and the broker’s own web-based platform. The broker also offers a Mac version of MetaTrader 4 which can be downloaded on Apple computers.

Pros: Cons:
  • Commission-free trading available.
  • 250+ markets to trade on.
  • 24/5 quality customer support.
  • MetaTrader 4 platform available for PC and Mac.
  • St.Vincent & Grenadines is unregulated and based offshore.
  • Lebanese Capital Markets Authority is not a major financial regulator.

Tradeo

Regulated By:CySEC

Foundation Year:2014

Headquarters:Limassol, Cyprus

Min Deposit:$200

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Risk disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74.9% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Tradeo is a brand name of UR Trade Fix Ltd which is authorised and regulated by the Cyprus Securities and Exchange Commission (CySEC). The broker, due to regulatory requirements offers segregated trading accounts and negative balance protection for retail clients.

Users can choose from 5 different account types called Standard, Classic, Platinum, Premium and VIP. Each account has different features and benefits, as well as different minimum deposits and trading costs. Higher funded accounts come with additional features such as private educational sessions.

Pros: Cons:
  • CySEC regulated.
  • 200+ financial instruments to trade on.
  • Can trade on MetaTrader 4 platform.
  • No positive swaps.

Plus500

Regulated By:ASIC, CySEC, FCA, FSB, ISA, MAS

Foundation Year:2008

Headquarters:Building 25, MATAM, Haifa, Israel

Min Deposit:$100

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72% of retail CFD accounts lose money

Plus500 has been in the brokerage business for a decade. They boast of 317,000 clients from all over the world. They are properly regulated in four different countries including Australia, UK and Cyprus. The trading platforms are simple, user-friendly, fast and secure. Platforms that can be used across multiple devices and operating systems are available for trading in various situations.

No educational materials are available, which is a huge minus. Furthermore, no research materials (else then the economic calendar) or technical analysis is provided.

Pros Cons
  • 2,000+  CFD products available for trading across global markets, including cryptocurrency CFDs
  • Offers guaranteed stop-loss orders
  • Multiple regulations from different countries. Regulation includes FCA, ASIC, CySEC and MAS.
  • Over 100 chart indicators are available in the web platform
  • Lack of content and news headlines
  • Lack of Trader Education to clients
  • No phone support offered

eToro

Regulated By:ASIC, CySEC, FCA, MiFID

Foundation Year:2007

Headquarters:Kanika International Business Center 7th Floor, 4 Profiti Ilia Street Germasogeia, Limassol, Cyprus

Min Deposit:$200

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67% of retail CFD investors lose money

eToro is an online trading platform that was founded in 2007 by the Assia siblings and their friend David Ring in Tel Aviv, Israel. Formerly known as RetailFX, eToro is the pioneering online broker for social trading. Their Openbook social trading platform in fact changed the nature of the way beginner online traders can trade the financial markets. It made the markets accessible to everyone, no matter what their level of experience by creating a user-friendly environment and allowing traders to copy the trades of other traders’ strategies automatically.

Pros: Cons:
  • Highly regulated broker (FCA, CySEC and ASIC)
  • Innovative trading platform
  • Wide range of assets to trade with
  • Ability to earn 2% management fee as an Investor trader
  • Spreads are higher than average
  • Does not have the MetaTrader platform

Introduction to Forex Regulations

For many beginner traders who are new to online trading, the normal assumption is, if a broker is not regulated, then it is likely to be operating illegally. However, this is not the case for the forex market, as it is an OTC market with no specific regulations covering it. What you should be aware of is that most of the forex regulations that we often hear about only cover a specific jurisdiction and do not apply to the entire industry on a global scale. So if a forex broker is able to operate with no regulatory oversight, why bother regulating it? In fact proponents of the free market theory might argue that a market work most efficiently when it is not curtailed by any artificial regulations. While this might be true in theory, the reality is very much different.

Regulations unlike legislations are not written by the lawmakers but instead are crafted by bureaucrats based on their understanding of what the market needs in order to function smoothly. In other words, regulations are flexible and can change accordingly to circumstances unlike legislations which require amendments to the legislation before any changes can take effect.

over the last decade has become the major center for financial services providers to set up shop in Europe. Given the fact that Cyprus is also a member of the European Union (EU), under the MiFID (Markets in Financial Instruments Directive) rules, forex brokers are permitted to “passport” their authorization issued by CySEC and operate legally in other member states within the EU.

What is CySEC regulation?

The Cyprus Securities Exchange Commission or CySEC as it is often known, is the regulator for the financial industry in Cyprus. As a member state of the EU, it is required to abide by the regulatory framework as established under the Markets in Financial Instruments Directive. MiFID was passed by the European Parliament in 2008 in order to harmonize the regulations governing the financial services industry within the EU. It established the standards for financial services providers to follow. It is primarily focused on OTC transactions such as the forex industry.

When Cyprus joined the EU in 2004, this meant that CySEC fell under the MiFID rules. This gave firms regulated under CySEC access to the financial markets within the EU.  While Cyprus was previously known internationally as a tax haven, as a result of the MiFID, the financial regulatory framework in Cyprus since then changed significantly to much higher standard on par with other major financial centers around the world. In fact, CySEC became the first major regulatory body in Europe with recognize and regulate binary options as a financial instrument.

CySEC’s Responsibilities

The main responsibilities of CySEC are as follows:

  • Supervision and control of the Cyprus Stock Market
  • Monitor transactions carried on the Cyprus Stock Market
  • Monitor the conduct of listed companies and financial services providers
  • Grant operation license to investment firms, consultants and brokers
  • Monitor investment services companies, investments funds and related services
  • Apply penalties or administrative sanctions for non compliance of regulatory requirements

How CySEC Regulation protects you

So how do CySEC regulations protect you as an investor? Since the majority of Europe’s regulated forex brokers fall under the jurisdiction of CySEC, the regulations imposed by CySEC have a strong impact on investor’s protection. It implies that forex brokers under the oversight of CySEC are required to operate with transparency and in a fair manner. Specifically as an investor trading with a CySEC regulated forex broker, you will benefit in the following manner:

  • All your monies are kept in a segregated trust account which the broker is not permitted to access. This helps to prevent any abuse of your money by the broker. In other words, the broker is not allowed to use your money for its own operational needs. Another benefit of having your money separated from the broker’s own funds is that the fact that creditors of the broker cannot file a claim on this money as it is not part of the broker’s asset.
  • Regulated brokers under CySEC are required to maintain sufficient capital to meet the capital adequacy ratio requirement. This is ensure that the broker have sufficient capital at all times to fulfill the contractual obligations arising out of the transactions of their clients.
  • CySEC regulated brokers are required to submit regular financial statements to CySEC in order for the regulatory agency to monitor their compliances of the regulatory requirements. In this way, brokers will not be able to hide anything that is not in the interest of the investors.
  • As part of the regulatory requirement, CySEC’s regulated brokers are required to submit an independently audited financial report to CySEC.
  • Before any forex broker can be issued a licensed by CySEC, the broker is required to join the Investor Compensation Fund Scheme. The purpose of this fund is to protect investor should the broker becomes bankrupt and is unable to fulfill its contractual obligations. Under this scheme, an investor can file for compensation up to a maximum amount of 20,000 euros.
  • Brokers are constantly kept on their toes to ensure they operate fairly as they run the risk of having sanctions and penalties imposed on them. In the worse case scenario, the offending broker might even lose its operational license.

Guidelines for CySEC Regulated Brokers

Before a forex broker can be issued a Cyprus Investment Firm (CIF) by CySEC, it must first be able to meet certain guidelines. Some of these guidelines include:

  • Having more than one individual involved in the administration of the forex brokerage.
  • Under its CySEC license application, the broker must list all the services and products which they plan to offer.
  • Must have an initial share capital of at least 200,000 euros if they handle their clients’ funds.
  • Must have an insurance coverage of at one million euros for individual loss and a total coverage of 1.5 million euros annually for losses resulting from inactions or negligence.
  • CySEC Forex brokers should maintain at least €750,000 in operating capital.

Verifying the Authenticity Of CySEC Regulated Forex Brokers

In order to help investors and traders verify the authenticity of a CySEC regulated broker, CySEC has published a list of regulated brokers on its website which investors can refer to check the authenticity of a broker’s CIF license number. The link to this list is: http://www.cysec.gov.cy/en-GB/entities/investment-firms/cypriot/

In addition, CySEC also regularly issue warnings on its website to warn investors of any unregulated broker claiming to be regulated by CySEC. This list is updated regularly and can be viewed at the following link:  http://www.cysec.gov.cy/en-GB/public-info/warnings/cysec/

Conclusion

Although an unregulated forex broker does not necessarily mean that the broker is in any way inferior to a CySEC regulated broker, we have to bear in mind that CySEC’s main objective is to protect the interest of investors. It has no other vested interests except to maintain the reputation of Cyprus as an international major financial center. Furthermore, we should also remember that even regulated brokers can sometimes break the rules. The difference between the unregulated broker and a regulated broker is that for the latter, you have an independent body that will hold the broker accountable for its infractions. So ask yourself this, why should you accept any less from a broker when you obviously have a better choice in term of a CySEC regulated forex broker?

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