Russian Central Bank plans to take a drastic step in relation to the risky investment products in Russia, as newbie investors can face Russian Binary Options and CFDs Trading Ban soon. Sergey Shvetsov explains the decision.
10 October, AtoZForex – The First Deputy Governor of the Central Bank of Russia, Sergey Shvetsov, has stated that the authorities plan to ban the offering of the Binary Options and CFDs to newbie investors.
Novice Investors Face Russian Binary Options and CFDs Trading Ban
The Central Bank of Russia acts as the key financial regulator in the country. The watchdog might follow the drastic practice of the other global financial regulators. The offering of the risky investment products such as Binary Options and CFDs might be soon banned in Russia.
According to Sergey Shvetsov, the offering of such products to investors who lack the qualification and experience will be banned.
In addition, Mr. Shvetsov warned amateur investors against investing in cryptocurrencies. He pointed out the recent Russian Bank’s special announcement in regards to the cryptocurrencies and ICOs.
Russian Binary Options Market
As a matter of fact, Russian bank officials rarely speak about Binary Options. These products have no official regulation norms in Russia, thus prompting a big inflow of scammers into this area. Fraudsters take advantage of the lack of regulation and unfortunately, Russian investors show some interest to this unregulated sector.
According to the Russian Forbes research, Russia has accounted for almost 30% of the visits for the four of the biggest binary options providers’ websites during April 2017.
Meanwhile, the Federal Antimonopoly Service of Russia (FAS) has been going hard on the online trading firms that do not possess the necessary licenses to operate in Russia. One of the latest issues highlighted by the FAS was the illegal marketing of the services of online trading firms with offshore registration.
Another initiative by FAS took place in June 2017. Federal Antimonopoly Service (FAS) of Russia planned to reach out to the Ministry of Education and Science with the special request in regards to Russian Forex educational centers. The FAS wanted to call for Ministry of Education and Science to withdraw the licenses of educational centers that are attracting Forex investors without any authorization to do so.
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