The Cyprus Securities and Exchange Commission (CySEC) today confirmed that it has wholly withdrawn the Cyprus Investment Firm (CIF) License of Ouroboros Derivatives Trading Ltd, the ex-owner of the binary options brand , which holds the authorization number 187/12.
This is not a surprise as Ouroboros has sold off Anyoption and its affiliated cluster of companies to portfolio management provider Invest.com back in 2017. A crucial part of the acquisition determined that Anyoption will terminates its binary options activity to instead offer structured products, portfolio management, stock trading and CFDs.
The Cypriot watchdog made it clear that the Ouroboros’s surrender of license is entirely voluntary based on company’s decision and does not arise as a result of any regulatory action taken by the CySEC.
Although the regulator didn’t state why Ouroboros has decided to say goodbye to its CIF authorization, it has recently of their own accord, and not as a result of any regulatory issues.
year, Invest.com consolidates the main asset of Anyoption: an active portfolio of customers, a global set-up of financial licenses including from CySEC of Cyprus and the Financial Services Board of South Africa, vetted regulatory and compliance procedures, personnel experienced in online marketing and Anyoption’s tech infrastructure.
Bye to the binary options
Ouroboros Derivatives Trading Ltd got its CySEC license back in 2012. Despite cementing a leading place within a crowded industry, the company has fallen victim to many of the same problems plaguing competitors in the industry. The sector has become fairly saturated and overly competitive while continuing to grapple with toughening regulations. Difficulty breaking into new markets has driven many companies to look for alternatives.
Back in August 2016 the company opened two new offices, in Bulgaria and Cyprus, as part of the exodus of binary options providers from Israel. Two months later the company was granted a Portfolio Management and Investment Advice license from CySEC.
The exact reasons leading up to this decision remain unclear, but CySEC will certainly maintain supervision over the financial service company until it has taken care of its responsibilities under the license.
Under the Cypriot regulatory framework, the company must return all outstanding balances to its clients and handle all of their complaints. In addition, Ouroboros must provide a confirmation from its external auditor that it does not have any pending obligations and must include details of each of the company’s clients, according to the same CySEC announcement.
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