CySEC Cancels Itrade Global Following €1 Million Fine

CySEC cancels Itrade Global following €1 million fine for regulatory breaches and controversial broker practices. The Cyprus Securities and Exchange Commission (CySEC) has officially cancelled the operational licence of Itrade Global. The company had operated two forex and contracts for differences (CFDs) broker brands, namely TradedWell and InvestFW.

The company expressly renounced the licence, leading to the cancellation, the regulator stated, although it made the resolution on 14 April.

CySEC Cancels Itrade Global Amid Ongoing Regulatory Crackdown

TradedWell discontinued its services in January 2023, posting a message on its website that it was “undergoing an operational optimisation process.” The shutdown occurred roughly two weeks after the platform barred clients from opening new trading positions and suspended new deposit functions.

Launched in 2020, TradedWell offered zero-commission trading and access to more than 170 CFD instruments across various asset classes, including forex, stocks, indices, cryptocurrencies, commodities, and precious metals.

Its sister platform, InvestFW, has also ceased operations and is no longer active in the market.

Broker’s Controversial Track Record

Throughout its operations, Itrade Global faced scrutiny while offering FX and CFD trading services. In 2023, the Cypriot regulator fined the firm €1 million due to several violations involving its tied agent in Spain.

As per the watchdog, Itrade Global failed, through the intermediary, to implement adequate measures for identifying and mitigating conflicts of interest, did not act fairly, honestly, and professionally in providing investment services, and failed to ensure that client-facing information was “fair, clear, and not misleading,” among other breaches.

Cyprus remains a popular base for CFDs brokers aiming to penetrate European markets. Many firms continue to launch operations from the Mediterranean island for this reason.

However, CySEC has recently tightened its grip on compliance breaches and taken action against numerous brokers. In a noteworthy development, Paphos Mayor Phedonas Phedonos claimed that some Cyprus-based forex companies funnel drug money through intricate shell networks in Latin America. These claims led Cypriot authorities to underline the limits of their jurisdiction abroad.

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