Broker Plus500 get CySEC license

The company Plus500, an online broker based in Israel and specializing in Contracts For Difference based on multiple assets like stocks, indices, currencies, commodities, ETF, and others, has received an additional license in the European Union from CySEC (Cyprus Securities and Exchange Commission) of Cyprus,  which adds to the license that the company has with the FCA of UK. This increases the opportunities for customers of the broker and increases their confidence because now Plus500 has more control over its operations and services as a broker.

Plus500, through its subsidiary Plus500CY, has received authorization from CySEC to operate as a regulated investment firm. Now the company extends its coverage in Europe through the new licensee and is set as the second most popular broker in the sector in this region.

The phenomenon of Cyprus

Cyprus has quickly become a financial center for European financial and capital markets. The island has positioned itself as a jurisdiction that is well regulated and is ideal for international brokers specialized in the Forex market (and other markets such as CFD and even binary options) that are in search of a European approval stamp. The financial regulator made headlines when he was the first to officially recognize the binary options as a class of financial assets. Moreover, Cyprus has established a complete ecosystem for operations with all types of financial derivatives that include complete and readily available services in the country that support the operation of the brokers.

Thus, Plus500 joins the group of international companies that have launched operations in Cyprus after having entities in well-regulated jurisdictions such as the UK. However, the recent trend has been the opposite, with a number of companies of Cypriot origin expanding to the British Isles in search of opportunities.

Benefits of CySEC license for Plus500

Plus500 is a CFD service with thousands of customers around the world. The website of the company is translated into a total of 34 languages, covering Europe and Asia extensively. Licensed by CySEC, the broker will compete with other Cypriots regulated brokers, each with its own niche.

A company regulated in Cyprus has the same status in the eyes of European regulators as the FCA concerning the protection of client money. However, under the regulation of CySEC, companies interpret the rules relating to clients differently. In addition, Cyprus has more importance to the sales strategy of a broker who has an interest in covering the Asian markets, as its location and time zone make it more convenient, accessible, and profitable to enter the markets of Southeast Asia and the Middle East regions.

Plus500 becomes another major provider of derivatives trading services to settle on the Mediterranean island. Apart from currency derivatives and spot Forex (foreign exchange transactions in the spot market), CySEC is becoming an important center for binary options, a class of financial instruments that are mainly used for short-term trading, which is an added value for Plus500 under the Cypriot license.

Other related news of Plus500

-Plus500 has lowered spreads for major instruments in its trading platform. The spreads are variable and depend on the trading instrument and are constantly adjusted according to the market spread.

-The company has developed a new trading platform for Windows.

76.4% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

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