CySEC Confirmed Leverate’s Voluntary CIF Licence Revocation!

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The Cyprus Securities and Exchange Commission (CySEC) has formally accepted the withdrawal of the Cyprus Investment Firm (CIF) authorization previously held by Leverate Financial Services Ltd. This development, announced after CySEC’s meeting on December 4, 2023, marks the end of Leverate as a financial services provider. The Israeli fintech already returned to its roots as a fintech offering financial solutions.

Leverate Network with FXCV and AstonTrust

The decision to relinquish the CIF license comes in the wake of a rigorous global crackdown on binary options operators, which saw numerous arrests, indictments, and convictions across the industry. Leverate‘s proactive step to voluntarily surrender its license reflects a strategic reevaluation of its business focus, moving away from direct financial services to emphasize its role as a technology provider to the brokerage industry.

CySEC’s acceptance of Leverate‘s license withdrawal aligns with the regulatory framework outlined in the Investment Services and Activities and Regulated Markets Law. This withdrawal signifies that Leverate Financial Services Ltd is no longer authorized to operate under the regulatory oversight of CySEC, effectively ending its operations within the CIF regulatory sphere. Notably, the announcement indicates that this decision does not stem from judicial contention, suggesting a mutual agreement between Leverate and CySEC regarding the license surrender.

This regulatory update comes on the heels of CySEC’s recent actions to withdraw CIF authorizations from four other Cyprus-based investment firms: Stone Edge Capital Ltd, Holiway Investments Ltd, FXBFI Broker Financial Invest Ltd, and KAB Strategy Ltd, as detailed by Finance Magnates. Following these withdrawals, the Investors Compensation Fund (ICF) also revoked the membership of these firms. However, it’s important to note that covered clients of these firms remain eligible to file for compensation claims for investment activities conducted prior to these changes, in line with CySEC’s eligibility criteria.


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