CFTC Adds 20 Unregistered Foreign Companies to Red List

US financial regulator Commodity Futures Trading Commission (CFTC) has announced that it has added 22 unregistered foreign companies to its RED list. Many of the added entities are engaged in activities such as trading binary options and FX.

25 August 2020 | AtoZ Markets – The CFTC launched the RED list in 2015 to track the foreign derivative market that may be soliciting US investors without proper registration. The Registration Deficient List, also known as the RED list, contains the names of foreign entities that appear to have activities that require registration with the CFTC but are not registered with the CFTC.

CFTC Updates Red List

Today, CFTC has added 22 unregistered offshore entities to its RED list. The RED list currently contains 168 entities. Moreover, those entities are engaged in trading binary options, foreign currency (FX), or other commodities without registration.

CFTC said, a company's name appears on the RED list does not mean that it has violated any provisions of the Commodity Exchange Act or other Regulation. However, investors should be cautious about dealing with them because, most of the time, unregistered companies and individuals are involved with fraudulent activities. The name of offshore entities which includes in RED list:

  1. Allegra Markets
  2. IDB Traders/Baltic Concert LLP
  3. Capital 245
  4. MM Financial Experts
  5. Coinexx
  6. Omega Crypto
  7. Crown Finance
  8. Omega Capitals
  9. EagleFX
  10. Platin CFD
  11. Easy Line Pro
  12. Richmond FG
  13. F1 Trade
  14. Top Option 360
  15. FX Dealer
  16. Trade GF
  17. FXVIP
  18. Turnkey Forex
  19. Global Capital Options
  20. VIP Businesses
  21. Grand Tradefx
  22. Wellington INV/Bali Limited LTD

US regulator has also redesigned its RED list website to provide more information about the companies which added to the list. The new web page includes features that improve usability and effectiveness in discouragement of illegal activities.

The CFTC has "witnessed a surge in forex trading fraud in recent years and urges the public to verify a company's registration with the Commission before committing funds. If unregistered, a customer should be wary of providing funds to that entity".

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