Inveza Capital Ltd has renounced its license with the Cyprus Securities and Exchange Commission (CySEC), with the regulator agreeing to the decision and withdrawing the license. The CySEC regulatory board said it finalized the decision to renounce this license over two months ago.
Inveza Capital renounces CySEC license
The register of companies operating under the authority of the CySEC said that Inveza Capital received this license named “number 209/13” on August 2013. The license allowed the company to offer investment services through the company’s website, inveza.com.
The statement by the CySEC also said that the regulator had made this decision because of the application that the company had made to renounce it. The decision will see that the company will no longer provide investment services in Cyprus.
“The Cyprus Securities and Exchange Commission announces that, on its meeting of 5th December 2022, has decided, pursuant to section 8(1)(a) of the Investment Services and Activities and Regulated Markets Law of 2017 and section 4(7) of Directive D187-05, to withdraw the Cyprus Investment Firm authorization with Number 209/13 of Inveza Capital Ltd (LEI 21380072YOYRXZ8TKE88) (‘The Company’), due to the company’s decision to renounce it expressly,” the regulator said.
Before operating under its current name, Inveza operated using other names such as NFX Capital Cy Ltd and Vinst Capital Limited. The company’s operations allow investors to support trading various financial assets such as bonds, exchange-traded funds, and stocks. The company also allows its investors to obtain early access to some of its leading companies’ initial public offerings (IPOs).
The company has also issued a statement on its website alerting users of the state of its CySEC license. The company said that it would halt all activities on 30 September 2022. It has also urged existing clients with open trading positions of balances on the platform to close their accounts and withdraw all their funds.
Another firm renounces its CySEC license
Inveza was not the only company that renounced its CySEC license. On December 5, 2022, the regulator approved the renunciation of F1Markets Ltd’s license. The CySEC decided to suspend the licenses of both Inveza and F1Markets on the same day.
F1Markets was a platform that provided access to a wide range of forex and contract-for-difference (CFD) brands. The company operated four website domains that were registered with the CySEC. The broker’s website says the company halted its operations in May 2022.
While the CySEC licensed the operations of F1Markets, the activities were usually under regulatory scrutiny. According to the UK’s Financial Conduct Authority (FCA), F1Markets promoted its services within the country using fake celebrity promotions. The lack of compliance led to Cyprus suspending the company’s license for one month.
The company has also been found culpable of breaching multiple licensing regulations. In August last year, F1Markets agreed to pay a fine of €150,000 for these violations.