Banc de binary news
Banc de Binary was a binary options trading platform that was founded in 2009 and was based in Cyprus. The company was known for its high-profile advertising campaigns and its promise of high returns for traders. However, the company faced numerous regulatory issues and was eventually shut down by the Cyprus Securities and Exchange Commission (CySEC) in 2013.
Here are some key news articles and updates about Banc de Binary:
- 2012: Banc de Binary is fined $11 million by the US Commodity Futures Trading Commission (CFTC) for violating the Commodity Exchange Act and the CFTC's regulations.
- 2013: The Cyprus Securities and Exchange Commission (CySEC) shuts down Banc de Binary's operations in Cyprus and freezes its assets.
- 2013: Banc de Binary files for bankruptcy in the United States and the United Kingdom.
- 2014: The US District Court for the Southern District of New York orders Banc de Binary to pay $7.5 million in restitution to affected customers.
- 2015: The Israeli Securities Authority (ISA) fines Banc de Binary's Israeli subsidiary $1.5 million for violating Israeli securities laws.
- 2016: The Cyprus Securities and Exchange Commission (CySEC) announces that it has reached a settlement with Banc de Binary's former CEO, Orel Cohen, who is required to pay a fine of €100,000 and is banned from working in the financial services industry for five years.
Some of the reasons why Banc de Binary was shut down include:
- Lack of regulatory oversight: Banc de Binary was not properly regulated by any major financial regulatory body, which made it difficult for authorities to monitor its activities and ensure that it was operating fairly.
- False advertising: Banc de Binary was accused of making false and misleading claims about its trading platform and the potential returns that traders could earn.
- Unregistered trading: Banc de Binary was accused of offering unregistered trading products and services to customers, which is illegal in many jurisdictions.
- Failure to segregate customer funds: Banc de Binary was accused of failing to segregate customer funds from its own funds, which made it difficult for customers to recover their losses if the company went bankrupt.
Overall, Banc de Binary's collapse was a major scandal in the binary options industry, and it highlighted the need for greater regulatory oversight and transparency in the industry.