As expert lawyers in trading scams, our aim is to help to resolve any disputes between brokers and traders. We regularly check the activity of various brokers in order to keep abreast of the latest news. We recently learned that the broker 1Market has been permanently suspended following the CySEC announcement. Today, in this article, we will explain who this broker is and why CySEC announced the suspension of its activities.
Who is 1Market?
1Market is a trading platform that owns different assets such as currencies, commodities, indices, ETFs and CFDs. Note that 1Market is the brand name of the Cypriot company Exelcius Prime Ltd. The company is regulated by CySEC under license number 366/18.
On the official website of CySEC (Cyprus Securities and Exchange Commission) it is stated that the company is suspended. If you are not familiar with CySEC, it deals with financial regulation in Cyprus. There is an agency for each country. For example, in France it is the AMF (Autorité des Marchés Financiers).
On the broker’s website, a pop-up (message) appears:
In the rest of this article, you will understand why they post this on their website.
What are the reasons for the full suspension of the 1Market (Exelcius Prime Ltd) licence?
The Cyprus Securities and Exchange Commission (CySEC) has announced the full suspension of the Cypriot investment firm Exelcius Prime Ltd due to suspicious investment services and activities.
The decision can be found on the CySEC website in English.
The suspensions are on the persons who actually have to run the business of the company, and on its compliance function. As such, the alleged breaches appear to raise concerns and risk in relation to the protection of 1Market’s (Exelcius Prime Ltd) customers or investors. It also raises concerns about the orderly functioning and integrity of the market.
As you can see, the decisions are vague. We do not see the full picture of the reasons for this decision, however since it was made by CySEC it indicates that the violations may be substantial. 1Market and specifically Exelcius Prime Ltd has 21 days to take the necessary steps to comply with the CySEC provisions.
The Company is not authorised to provide or carry out any investment services/activities, nor
carry out any business transaction with any person and accept any new client.
Exelcius Prime Ltd is not permitted to advertise itself as a provider of investment service.
However, the company may carry out its own transactions and those of its existing clients, and also return any funds and financial instruments that are attributable to its clients.
The decision taken by 1Market (Exelcius Prime Ltd) following the CySEC decision
Following CySEC’s decision, we understand that Exelcius Prime Ltd has sold its entire 1Market.com business to Podora Limited. This company is not located in Cyprus but in the Marshall Islands. As a result, we understand that CySEC no longer has any rights over this new company.
To conclude, the total suspension of 1Market shall not be taken lightly. We advise you to be vigilant with this broker as financial authorities such as CySEC do not suspend brokers without reason. If you feel you have been scammed by a broker like 1Market, you can contact us. Our expert lawyers will be glad to help you.