Spain’s financial regulators have caught a broker dealing with different assets trading without having prior permission to do so – henceforth blacklisted its trading in Spain.
Unauthorized Trading Caught
The latest report unveils that the financial regulatory body of Spain, CNMV (Comisión Nacional del Mercado de Valores) reviewed the trading activities of ‘FX Trading Corporation’, a financial broker. As a result, the broker is caught providing investment and trading service of digital assets which isn’t authorized within the nation.
Moreover, the details revealed that the firm is not officially registered in Spain which means they’re not supposed to provide financial services to Spain citizens without being compliant with the law. Consequently, FX Trading Corporation has seen violating the law provided under Article 17 of the Securities Markets Law.
Spain Isn’t Against Crypto
It’s not just Spain, crypto history records a number of regulators across various countries which are doing the effort to curb the crypto scams, hacks, and other illicit dealings. However, Spain doesn’t have any specific rules relating to cryptocurrencies but it does follow the suit of other countries. As such, over the past, it has released a series of warnings to caution public against illicit crypto investment and warns companies who indulged in promoting crypto oriented scam schemes.
Additionally, On Jan 14, 2019, CNMV authorities added 23 forex and crypto exchanges to the list of warning and claimed that they don’t carry license to work within the nation. Few of such firms were, Black Parrot Ltd (running domains like tradex1.com, trade111.com), Bron Fox Ltd, TRADEBNP (operating under domain – tradenbnp.com) and unlike. The statement notes that;
Only registered companies have obtained authorization after proving compliance with certain requirements (sufficient capital, organization and adequate means, etc.) and are subject to the controls of the supervisory bodies.
Further, it is worth to note that the country’s regulators aren’t against the cryptocurrency, indeed Spain counts amongst those EU countries that have signed a declaration to encourage DLTs (Distributed Ledger Technology) across European regions.
What’s your stake of CNMV’s decision of blacklisting FX Trading Corporation? Share your opinion.
The post Spain’s Financial Regulators Blacklisted Cryptocurrency Broker, FX Trading Corporation appeared first on Coingape.