Cyprus financial regulator CySEC has just issued a new circular, outlining the rules governing brokers which offer cryptocurrency CFD trading to clients. CySEC began by pointing out – as did UK regulator the FCA last month – that while cryptocurrencies themselves are not considered financial instruments as defined by European rule-setter ESMA, derivatives of cryptocurrencies including crypto CFDs are financial instruments. Virtually all Forex brokers offering crypto trading do so in CFD form, not in ‘actual’ cryptos. And, as such, any FX broker offering trading in crypto CFDs needs to be licensed by CySEC (if ... (full story)