3 Reasons To Consider a Forex Broker LicenseRegulations tend to be the largest wildcard in the FX industry. Simply look to the changes in the United States and most recently in Belgium to see how quickly the rules can change, and subsequently impact brokers. Due to unpredictability of not just regulations but banking rules, we encourage brokers with offshore set ups to consider obtaining an FX license.
Bank Accounts – A theme we’ve noticed during the end of 2016 and especially this year is the lack of banking options for unlicensed brokers. It doesn’t appear this trend will reverse. One of the best reasons to consider a license is that more banking options present themselves once a license is obtained.
A Worthwhile Investment – 2 options that can be very affordable to offshore brokers are Vanuatu and Labuan, Malaysia. We understand that a license in Europe can be intimidating, not just in costs but the time required to finally receive the license. Both of these options are cost effective and fast, in most cases a license can be issued in a couple of months.
An Excellent Stepping Stone – As FX consultants we are firm believers in not putting the cart before the horse; if your broker doesn’t have the revenue or client base just yet, it doesn’t make sense to obtain a license in EU or the UK. Every broker though aspires to get to this level, as the European market is quite lucrative. This can be quite a leap, and to get to this stage it’s important to have built a strong track record. Having a license can help bridge this gap.
Atomiq Consulting specializes in broker licensing, company formations and bank accounts. We recommend Labuan and Vanuatu as they are currently the best options, especially compared to regions like Seychelles, Belize, or BVI. To learn more about the options we suggest, don’t hesitate to contact us at.
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