Is Capital Pilots scam or reliable? The FSMA has issued an announcement to warn the public about 4 Binary Options brokers, all operating unlawfully in Belgium.
October 24, 2019, | AtoZ Markets – Belgium’s Financial Services and Markets Authority (FSMA) has issued an announcement this Thursday to inform the public that online trading platforms are claiming new victims in Belgium.
Is Capital Pilots scam or reliable? FSMA warns against 4 entities
As per the announcement, the Belgian regulator warned against the activities of several entities that are unlawfully offering binary options, foreign exchange (forex) products and/or contracts for differences (CFDs) on the market.
Specifically, the regulator strongly advises against responding to any offers of financial services made by the following 4 Binary Options brokers:
– Capital Pilots (www.capitalpilots.com)
– Marketcapital (www.marketcapital.co)
– Stock Global (www.stockglobal.com)
Furthermore, the above-mentioned brokerage companies are not authorized to operate in Belgium. As of the 18th of August 2016, investment firms have been prohibited from distributing binary options, as well as certain FX and CFD products in the country.
“The actors that are the subject of this warning do not comply with the relevant rules. Moreover, consumers who have invested in these firms never recovered their investment. Therefore, such activities most likely constitute a case of investment fraud,” the FSMA said today.
As a result, the FSMA has urged investors to remain vigilant and to always verify the identity of any company that they are thinking of investing with.
“More than ever, then, prudence is necessary. In case of any doubt, and before making any (more) payments, don’t hesitate to contact the FSMA using the consumer contact form. As well, please feel free to notify it of any suspicious company that has not yet been the subject of a warning by the FSMA,” the watchdog added.
Permanent ban on binary options is possible in Europe
Scams within the cryptocurrency, FX, CFD, and binary options space are increasingly common. As a result, financial experts admit, that placing a ban on binary options is possible in the entire European region in the near future.
For this reason, the pan-European regulator ESMA has taken the first steps toward this reform when introduced product intervention measures back in August 2018. The new measures included temporary restrictions on the binary options industry and new leverage restrictions on CFD’s.
Since then, ESMA had kept renewing the product intervention measures every three months until the national European regulators proposed to ban binary options and restrict CFD’s in the EU regions permanently.
Currently, ESMA has already approved proposals on permanent binary options prohibition. This is taken by national regulators from Austria, Estonia, Slovak, Czech Republic, UK, Holland, Denmark, and Germany, Poland and Luxemburg.
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