April 23, 2019 | AtoZ Markets: In a phone call with AtoZ Markets, the German Federal Financial Supervisory Authority (BaFin) has confirmed its decision of ceasing all the cross-border proprietary trading in Germany that Next Trade Ltd. operates on its website www.olypmusmarkets.com.
On its website, the Vanuatu-based Forex broker Olympus Markets offered German citizens Financial Contracts for Difference (CFD) based on commodities, indices, equities and currencies, as BaFin mentioned in its notice.
The thing that the German regulator sees as “proprietary trading in accordance with section 1 (1a) sentence 1 no. 4 lit. c Banking Act (KWG)”, which requires an official authorisation for practicing, which Olympus Markets does not hold.
The German financial watchdog noted stressed in the same announcement that a large number of potentially dubious trading platforms are currently entering the market, which some are also suspected to be organized crime.
Reviews say the broker could be a scam
Among the reviews that customers left criticising the broker’s performance and direction was that withdrawals and trades would cost considerably high, along with a ridiculous $200 fee to impose on any account that stays inactive for two months upward, the thing that pushed some reviewers to explicitly say the broker’s business was just a scam.
Some users said that they were denied their rights to withdraw their money when they wished to do after they deposited it, while others said that the broker cut off all contacts with them when they asked to withdraw their funds.
Another user mentioned in their review on a different, pertinent website that they lost more than $6,500 in a month, while they were also denied the right to withdraw the funds by ignoring all the requests with regard to that.
It is worth mentioning that the forex regulations in Pacific Ocean small country witnessed escalation in the last period of time, where the local regulator, the Vanuatu Financial Services Commission (VFSC), modified its requirements to issue its licence to forex brokers.
The modified regulations VFSC recently issued imposed on brokers to have a local presence in the island, changing a set of instruments that brokers can provide, in addition to that the director of the brokerage firm should be local, all with still having to deposit with the regulator not less than $50,000 to be allowed to practice the business.