10  Best CySEC Regulated Forex Brokers 2024

How to compare CySEC regulated brokers

CySEC is a tier 2 financial regulatory agency from Europe. They are a modern and well-funded organization and often the first to make regulatory changes needed to protect would-be traders and maintain fairness in the CFD industry. Generally speaking, CySEC-regulated brokers can be considered safe. Still, some few CySEC-regulated brokers have a history of controversy, and the regulator has only taken limited action on behalf of clients and partners. But it is essential to look at the detail of each broker to find out what differentiates them from each other. When comparing CySEC regulated brokers consider:

Regulation: While your broker is CySEC regulated, your trading account may not be. It is increasingly common for CySEC regulated brokers to onboard clients onto a different license where trading conditions, like leverage, can be increased without the CySEC oversight. While this is not fundamentally bad, the trader should know their trading account is regulated and that CySEC will not enforce their regulations in overseas territories. If you value the regulatory oversight of CySEC, don’t trade that for adjusted trading conditions.

Platform choice: Traders have a wide range of industry platforms to choose from, each with pros and cons. When comparing brokers, always consider the platform options, as unique features or a wide variety of platforms could change your trading experience. 

Trading costs: Every broker will charge for their services, but each will have different pricing models and costs. While ECN brokers will charge a smaller spread combined with a commission based on volume, market maker brokers will charge a wider spread. We compare brokers by looking at what 1 lot of EURUSD costs to trade and would encourage traders to do the same in comparing costs. 

MetaTrader 4 is still the industry standard, but many brokers offer MetaTrader 5 and their proprietary platforms. ECN/STP brokers will often support cTrader as it is built specifically for market execution and only allows for minimal broker interference.

Minimum Deposit: The minimum deposit could change by account type, with higher minimum deposits often linked to better conditions. Always consider the minimum deposit specific to the account type you may open. 

Deposit and Withdrawal Methods: Most brokers accept credit cards and bank transfer payment, and many accept online payments through Skrill and Neteller, and some will also accept Bitcoin. Always check the withdrawal fees before making a deposit. 

Broker Regulation and Why it’s Important

Regulators are essential in all financial markets because they set the rules that guarantee a level playing field. They also enforce those rules by requiring members to submit regular reports and have independent audits, most good regulators will also have an investigations department and will conduct unannounced visits to regulated companies to ensure day-to-day operations are compliant. Regulators also have the power to impose penalties on members, including fines, sanctions and even revoking a company’s operating licence, thereby putting them out of business.

What is interesting about the Forex market is that there is no legal requirement for brokers to be regulated. CFD Forex trading is an Over the Counter (OTC) derivatives market – this means that there is no central exchange and no overall regulator with oversight for the market.

Having a wholly unregulated market is a bad idea and leads to massive consumer fraud, as happens on a smaller scale in regions with poorly regulated local Forex industries. Instead of having a single regulator, countries and regions regulate the brokers who reside in their territory. As each regulator has different abilities and priorities, Forex regulation is not uniform, and brokers must abide by different rules depending on which country/countries they are legally resident.

What is CySEC?

CySEC is the financial regulatory agency of Cyprus. It was founded in 2001 and when Cyprus joined the EU in 2004 CySEC became part of the pan-European MiFID (Markets in Financial Instruments Directive). MiFID is an EU law the harmonises regulation for financial services across the member states, allowing for financial firms registered in one state to essentially have a “passport” to operate in all the other EU states.

In terms of the Forex industry, this means that any Forex broker registered in Cyprus can market to, and accept business from, all EU citizens.

As the Cyprus financial regulator, CySEC has many crucial obligations in the financial sector – most of them outside the Forex industry – these are:

• To review applications for and provide operating licenses to supervised financial companies – and revoke these if necessary.
• To supervise and regulate the operation of and all transactions on the Cyprus Stock Exchange
• To carry out all necessary investigations in view of the exercise of its duties under the law as well as on behalf of other foreign competent Authorities.
• To impose administrative and disciplinary sanctions provided by the law.
• To issue regulatory Directives and Decisions.
• To cooperate and exchange data and information with foreign supervisory authorities.

How CySEC protects Forex traders

Most Forex brokers in Europe are based in Cyprus and are subject to CySEC’s regulations, so it follows that many millions of Forex traders are directly impacted not only by CySEC’s rules but also by how well they enforce them. The most important regulatory benefits for customers of a CySEC-regulated broker are as follow:

• Segregated Funds: All trader funds are kept in a segregated trust account which the broker cannot access. This prevents the broker from using trader funds for operational purposes. It also ensures that in the case of broker bankruptcy, trader funds can be returned.
• Capital Adequacy: CySEC requires all regulated brokers to hold enough capital to meet the capital adequacy ratio requirement. This decreases the likelihood of broker failure in the event of significant losses.
• Reports and Auditing: Because brokers are required to submit regular financial compliance reports to CySEC, it is very difficult for brokers to hide any wrongdoing. Similarly, because these brokers are also subject to independent audits and visits from CySEC investigators, any malfeasance will be exposed.
• Compensation Fund: All CySEC-regulated brokers are required to join the Investor Compensation Fund Scheme. Under this scheme, traders are liable for compensation up to 20,000 EUR in the case of broker bankruptcy.
• Insurance Coverage: CySEC demands that all licenced brokers maintain insurance coverage of at least 1.5 million EUR for losses resulting from negligence.
• Transparency: CySEC expects to have a complete overview of all products that a broker is planning to offer, and that these products are the same as the products offered to clients.

These protections are enshrined in regulatory law and brokers who are found to be in contravention are penalised and can even have their operating licence removed altogether.

A useful resource for traders, CySEC hosts an up-to-date list of brokers that are legally allowed to operate in their jurisdiction, if you are concerned that a broker may be operating illegally, check CySEC’s regulated entities list.

CySEC also publishes warnings on unregulated brokers operating illegally, many illegal brokers will often disguise themselves as regulated brokers so it is important to check here if you are concerned.

CySEC and ESMA: Restrictions on Trading Conditions

In March 2018, the European Securities Markets Authority (ESMA – a EU taskforce which examines EU-wide financial risk) announced new regulations on all CFD trading in the EU; these regulations were a directive at the supranational level – meaning that all EU members were required to abide by the regulations and enshrine them in domestic law.

Cyprus, as an EU member state, must also abide by this new set of regulations and all CySEC-regulated brokers will have the following restrictions as a result:

• Leverage Restriction: Maximum leverage of 30:1 on major currency pairs, 20:1 on all other pairs, 5:1 on equities, 2:1 on cryptocurrencies
• Negative Balance Protection: All brokers must guarantee negative balance protection for all traders
• No Bonus: All bonuses, promotions or any other type of trading incentive are banned
• Margin Call: Brokers will be required to close a client’s open positions when the account equity reaches 50% of the required minimum margin by all open positions.
• Risk Warning: All brokers will be required to display a standard risk warning showing what percentage of clients lose money with them.

While traders and brokers were unhappy with the restriction on leverage, industry experts agree that the new ESMA regulations protect traders from making huge losses without critically damaging broker profits.

CySEC vs FCA

The Financial Conduct Authority is the United Kingdom’s financial regulator and is generally upheld as the best and strictest national regulatory authority in the world. Most good brokers will be regulated either by CySEC, the FCA or sometimes both.

On paper, there is little difference between CySEC or FCA regulation – though the licencing fee for CySEC brokers is only 7,000 EUR, compared to 25,000 GBP for the FCA. Aside from that, both regulators require segregated accounts, membership of a compensation fund and have high capital adequacy standards. All brokers regulated by both authorities will have the same leverage restrictions and other constraints required by the ESMA regulation – though whether this continues to remain the case once the United Kingdom leaves the EU remains to be seen.

The differences between the two regulators are mainly anecdotal, while the FCA is seen as unimpeachable when it comes to protecting consumers and being tough on brokers, many traders complain that CySEC is too broker-friendly and that it gives away operating licences too easily. CySEC also has a history of being easy on badly behaved brokers, with industry commentators noting that fines being levied by CySEC tended to be smaller than those handed out by other EU regulatory organizations.

But since 2016, CySEC has made sweeping changes to both the registration and regulation processes of all registered entities. Changes include more transparency regarding existing listed entities, tougher fines and regular unannounced onsite visits from CySEC investigators to check compliance. This has led to a surge in broker suspensions and license revoking and CySEC is gradually losing its image as a light-touch regulator.

All CySEC Brokers

This is our list of all CySEC regulated brokers we have reviewed. They are ordered by their overall rating, placing the best overall broker at the top of the list. 

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Broker

Broker Score

CySEC Licence

Regulators

Beginner Friendly

Platforms

Min. Deposit

Cost of Trading

Fees

No. of FX Pairs

Compare

Official Site

4.68 ^/5

Read Review 092/08ExcellentMT4, MT5, markets.comUSD 100USD 7Fees Included in Spread56 Visit Broker >

74% of retail CFD accounts lose money

4.62 ^/5

Read Review 400/21ExcellentMT4, MT5, FOREX.com Web Trader, TradingViewUSD 100USD 7Fees Included in Spread91 Visit Broker >

77% of retail CFD accounts lose money

4.61 ^/5

Read Review 388/20ExcellentMT4, MT5, cTrader, TradingViewUSD 0USD 106 USD / lot90 Visit Broker >

75.3% of retail CFD accounts lose money

4.59 ^/5

Read Review ExcellentMT4, MT5, Avatrade Social, AvaOptionsUSD 100USD 9Fees Included in Spread63 Visit Broker >

76% of retail CFD accounts lose money

4.58 ^/5

Read Review 278/15ExcellentMT4, MT5USD 100USD 66 USD/lot62 Visit Broker >

72% of retail CFD accounts lose money

4.58 ^/5

Read Review 278/15ExcellentMT4, MT5USD 100USD 66 USD/lot62 Visit Broker >

72% of retail CFD accounts lose money

4.53 ^/5

Read Review 246/14ExcellentMT4, MT5, TradingViewAUD 100USD 107 USD / lot55 Visit Broker >

N/A of retail CFD accounts lose money

4.53 ^/5

Read Review 183/12ExcellentMT4, MT5, HFM Trading AppUSD 0USD 106 USD / lot - Zero Account53 Visit Broker >

72.90% of retail CFD accounts lose money

4.49 ^/5

Read Review 169/12ExcellentxStation5USD 0USD 7Fees Included in Spread57 Visit Broker >

75% of retail CFD accounts lose money

4.46 ^/5

Read Review 362/18ExcellentMT4, MT5, cTrader, TradingViewUSD 200USD 87 USD / lot - Raw Spread Account64 Visit Broker >

70.81% of retail CFD accounts lose money

4.45 ^/5

Read Review 183/12ExcellentMT4, MT5USD 0USD 66 USD / lot - ZERO Spread Account53 Visit Broker >

72.83% of retail CFD accounts lose money

4.45 ^/5

Read Review 120/10ExcellentMT4, MT5USD 5USD 6Fees Included in Spread57 Visit Broker >

75.33% of retail CFD accounts lose money

4.44 ^/5

Read Review 433/23ExcellentMT4USD 0USD 107 USD / lot - PRO account70 Visit Broker >

75.6% of retail CFD accounts lose money

4.43 ^/5

Read Review 629628ExcellentMT4, MT5, ThinkTraderUSD 0USD 117 USD / lot - ThinkZero Account46 Visit Broker >

71.89% of retail CFD accounts lose money

4.40 ^/5

Read Review 371/18ExcellentMT4, MT5, cTrader, IRESSAUD 100USD 66 USD / lot - RAW Accounts70 Visit Broker >

79% of retail CFD accounts lose money

4.39 ^/5

Read Review 078/07ExcellentMT4, MT5, cTrader, FxProEdgeUSD 100USD 149 USD / lot70 Visit Broker >

75% of retail CFD accounts lose money

4.38 ^/5

Read Review 392/20ExcellentMT4, TradeStation, TradingViewUSD 50USD 6None43 Visit Broker >

66% of retail CFD accounts lose money

4.37 ^/5

Read Review 357/18ExcellentMT4, cTrader, Skilling TraderEUR 100USD 76 USD round turn commission73 Visit Broker >

71% of retail CFD accounts lose money

4.33 ^/5

Read Review 331/17ExcellentMT4, MT5, FBS AppUSD 5USD 7Fees Included in Spread72 Visit Broker >

69.21% of retail CFD accounts lose money

4.28 ^/5

Read Review 201/13ExcellentMT4, MT5, MT SupremeUSD 25USD 81.8 - 3 USD per lot82 Visit Broker >

76% of retail CFD accounts lose money

4.28 ^/5

Read Review 204/13ExcellentMT4, MT5, NAGA Web AppUSD 10USD 17Fees Included in Spread49 Visit Broker >

77.41% of retail CFD accounts lose money

4.12 ^/5

Read Review 259/14StandardMT4, MT5USD 100USD 128 USD / lot - Raw Account70 Visit Broker >

74% of retail CFD accounts lose money

4.02 ^/5

Read Review 079/07StandardMT4, MT5USD 25USD 18Fees Included in Spread63 Visit Broker >

74% of retail CFD accounts lose money

3.97 ^/5

Read Review 093/08ExcellentMT4, MT5USD 50USD 1910 USD / lot - ECN Account56 Visit Broker >

81% of retail CFD accounts lose money

3.93 ^/5

Read Review 155/11StandardMT4, MT5USD 50USD 143 USD / lot66 Visit Broker >

72% of retail CFD accounts lose money

3.88 ^/5

Read Review 121/10StandardMT4USD 0USD 6None71 Visit Broker >

66% of retail CFD accounts lose money

3.87 ^/5

Read Review 383/20StandardMT4, MT5USD 50USD 15Fees Included in Spread50 Visit Broker >

63.15% of retail CFD accounts lose money

3.80 ^/5

Read Review 202/13StandardMT5, SirixUSD 250USD 40Fees Included in Spread48 Visit Broker >

69.7% of retail CFD accounts lose money

3.70 ^/5

Read Review 127/10StandardMT5USD 100USD 2050 Visit Broker >

79.74% of retail CFD accounts lose money

3.60 ^/5

Read Review 118/10StandardMT4, MT5, cTraderUSD 0USD 66 USD / lot43 Visit Broker >

58% of retail CFD accounts lose money

3.53 ^/5

Read Review 344/17StandardMT5USD 500USD 16Fees Included in Spread49 Visit Broker >

68% of retail CFD accounts lose money

3.52 ^/5

Read Review StandardMT4, MT5USD 500USD 75 USD / lot42 Visit Broker >

76% of retail CFD accounts lose money

3.52 ^/5

Read Review 227/14StandardMT4, MT5, SirixUSD 100USD 19Fees Included in Spread55 Visit Broker >

71.36% of retail CFD accounts lose money

3.50 ^/5

Read Review StandardMT4, MT5USD 5USD 5None49 Visit Broker >

of retail CFD accounts lose money

Conclusion

As the regulator with the most EU registered brokers, CySEC has a critical role in the Forex industry and millions of traders rely on their ability to ensure a fair trading environment.

While in the past, this ability has been questioned, currently CySEC is seen as a leader in the Forex regulatory world and brokers with CySEC regulation should be considered safe and secure places for trading.

Forex Risk Disclaimer

Trading Forex and CFDs is not suitable for all investors as it carries a high degree of risk to your capital: 75-90% of retail investors lose money trading these products. Forex and CFD transactions involve high risk due to the following factors: Leverage, market volatility, slippage arising from a lack of liquidity, inadequate trading knowledge or experience, and a lack of regulatory protection. Traders should not deposit any money that is not considered disposable income. Regardless of how much research you have done or how confident you are in your trade, there is always a substantial risk of loss. (Learn more about these risks from the UK’s regulator, the FCA, or the Australian regulator, ASIC).

Our Rating & Review Methodology

Our State of the Market Report and Directory of CFD Brokers to Avoid are the result of extensive research on over 180 Forex brokers. These resources help traders find the best Forex brokers – and steer them away from the worst ones. These resources have been compiled using over 200 data points on each broker and over 3000 hours of research. Our team conducts all research independently: Testing brokers, gathering information from broker representatives and sifting through legal documents. Learn more about how we rank brokers.

Editorial Team

 

Chris Cammack
Head of Content

Chris joined the company in 2019 after ten years experience in research, editorial and design for political and financial publications. His background has given him a deep knowledge of international financial markets and the geopolitics that affects them. Chris has a keen eye for editing and a voracious appetite for financial and political current affairs. He ensures that our content across all sites meets the standards of quality and transparency that our readers expect.

 

Alison Heyerdahl
Senior Financial Writer

Alison joined the team as a writer in 2021. She has a medical degree with a focus on physiotherapy and a bachelor’s in psychology. However, her interest in forex trading and her love for writing led her to switch careers, and she now has over eight years experience in research and content development. She has tested and reviewed 100+ brokers and has a great understanding of the Forex trading world.

 

Ida Hermansen
Financial Writer

Ida joined our team as a financial writer in 2023. She has a degree in Digital Marketing and a background in content writing and SEO. In addition to her marketing and writing skills, Ida also has an interest in cryptocurrencies and blockchain networks. Her interest in crypto trading led to a wider fascination with Forex technical analysis and price movement. She continues to develop her skills and knowledge in Forex trading and keeps a close eye on which Forex brokers offer the best trading environments for new traders.

 

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