When the Ether exchange-traded fund (ETF) did not receive the final approval in the United States, companies were already making a move for Solana ETFs. The Cboe has officially asked the Securities and Exchange Commission (SEC) to allow VanEck and 21Shares to offer Solana ETFs.Solana ETFs on the Way?In a pair of 19b-4 filings by the exchange yesterday (Monday), the SEC has requested approval to list Solana ETFs when approved. After the regulator acknowledges the filing, it will have a 240-day deadline to approve or reject the product decision.Cboe files 19b-4s for both VanEck & 21Shares Solana ETFs...Once SEC acknowledges these filings, the decision clock starts ticking. https://t.co/JsRBLjudyT pic.twitter.com/94RLLEiwbU— Nate Geraci (@NateGeraci) July 8, 2024The Cboe filings came a couple of weeks after VanEck submitted an S-1 filing with the SEC seeking approval for a Solana ETF. However, 21Shares' plans for a Solana ETF came out with the Cboe filing, as the S-1 form has yet to be filed.The S-1 forms include the details of the products and are submitted by the issuer, whereas the listing exchange submits the 19b-4 forms describing the conditions and amending the listing rules for a new product. The SEC must approve both these submissions to approve the listing and trading of the new instruments.For the Ether ETFs, the SEC has already approved the 19b-4 forms of three American stock exchanges but has yet to approve the issuers' S-1 filings. According to industry insiders, the SEC’s final decision on the Ether ETF might be made as early as this week.Rising Demand for Crypto ETFs“After successfully listing the first U.S. spot Bitcoin ETFs on our exchange and securing SEC approval for our rule filings to list spot Ether ETFs, we are now addressing the increasing investor interest in Solana – the third most actively traded cryptocurrency after Bitcoin and Ether,” said Rob Marrocco, global head of ETP listings at Cboe Global Markets.Solana is a proof-of-stake blockchain similar to Ether and the Solana cryptocurrency that has become the largest, with a market cap of almost $65.5 billion. Its popularity has increased over the years due to its efficiency and the backing of many celebrities.Although the Bitcoin ETFs are a massive hit, none of the other altcoins, including Ether, has such a market size and depth. So, it would be interesting to see how the ETFs of these altcoins would perform on the mainstream markets if they are approved. This article was written by Arnab Shome at www.financemagnates.com.

Cryptocurrency mining firm Bitfarms has appointed Ben Gagnon as its Chief Executive Officer in a move the company said marks a new chapter as it seeks to expand and diversify its operations beyond Bitcoin mining.Gagnon, formerly Chief Mining Officer, has reportedly been a key player in Bitfarms' rise within the Bitcoin mining industry. With his extensive experience, he is expected to lead the company towards new growth opportunities.Bitfarms Targets New Opportunities Under Gagnon’s leadership, Bitfarms plans to explore new areas such as energy generation, heat recycling, energy trading, and high-performance computing for artificial intelligence. During his tenure as the Chief Mining Officer, Ben reportedly played a significant role in the development of Bitfarms’ growth plan. Expressing his enthusiasm about the new role, Gagnon emphasized the transformational nature of the past year for Bitfarms and highlighted the strategic planning for the upcoming 2028 Bitcoin halving event as a key focus."This has been a transformational year for the Company, and I am encouraged about the future as we begin planning and implementing strategies for the 2028 halving event while simultaneously evaluating potential HPC/AI opportunities. As I look to the next four years and the Company’s strategic path, I am encouraged by the tremendous potential ahead and am confident that we have the right team in place to execute our objectives," Gagnon said. Rising Through the Ranks His career at Bitfarms began in 2019 as Director of Business Development. He quickly rose through the ranks, taking on roles such as Director of Mining Operations and Chief Mining Officer. Gagnon's experience spans various aspects of mining strategy, operations, and technology integration. Prior to Bitfarms, Gagnon founded and operated two Bitcoin mining companies and held executive roles in the industry. He holds an MSc. in Internet Computing from Hong Kong University and a BSc. in Economic Consulting and International Business from Indiana University.Since its launch in 2017, Bitfarms has grown to operate 12 Bitcoin data centers across four countries, and two more are under development. The company is known for its commitment to sustainability, using predominantly hydroelectric power and long-term power contracts to run its operations. This article was written by Jared Kirui at www.financemagnates.com.

IG Group's Global Institutional Marketing Manager Tomas Ausra has switched to the Head of Marketing role. Ausra, who has served as the Global Institutional Marketing Manager for nearly five years, will lead the group's brand marketing activities worldwide. Part of his responsibilities will include raising brand awareness, generating marketing strategies, and focusing on profitability.Experienced Marketing ExecutiveAusra, who announced his latest career move on LinkedIn today (Monday), is a seasoned marketing executive who has worked with notable industry brands. Until 2019, he served as the Acquisitions Digital Marketing Executive at Euromoney Institutional Investor. The Lancaster University alumnae has also worked for Procurement Leaders and Delve.In another significant executive move at IG Group, former Chief Financial Officer and Executive Director Charlie Rozes will assume the role of CFO and Executive Director at BMS Group, effective November 2024. Rozes will report to BMS Group CEO Nick Cook and take over from Nick Moss, who is set to retire from the company.Rozes is an experienced executive who has worked as Chief Financial Officer and Executive Director at IG Group since June 2020. During this role, he spearheaded strategic initiatives that enhanced the group’s presence in the global multi-asset class online trading and digital content. His achievements include overseeing the integration of tastytrade.Other Developments at IG Meanwhile, IG US recently rebranded its brokerage and platform technology to tastyfx. This initiative seeks to provide a better experience for the company’s US-based customers and to closely integrate FX trading. According to the company, the trading platform will remain largely the same despite the name change. This move aims to design a forex-focused brand specifically for US clients. It promises fast technology, zero commissions, and better customer service.Additionally, IG Group opened its waiting list for options trading in the UK, highlighting a significant expansion for the UK-listed broker. The company has been planning to launch this service for over two years under its tastytrade brand. This article was written by Jared Kirui at www.financemagnates.com.

Clear Street, a cloud-native financial technology firm focused on modernizing the brokerage ecosystem, has appointed Edward Tilly as President. Tilly joins Clear Street following a decade-long tenure as Chief Executive Officer at CBOE Global Markets, Inc., during which he significantly increased market capitalization from $2.0 billion to over $18.0 billion. His leadership was marked by transformative initiatives such as the 2017 acquisition of BATS Global Markets, Inc. and the introduction of innovative financial products like zero-days-to-expiration options.Executive Collaboration at Clear StreetTilly brings experience and a proven track record of success in managing a publicly traded company to Clear Street. In his new role, he will collaborate closely with Chris Pento, Clear Street's Chief Executive Officer, to steer the firm through its next growth phase. Tilly will report directly to Clear Street’s Board of Directors.“I am thrilled to be joining a company whose global vision is relentlessly customer-centric and whose technology platform is so unique. Having spent more than thirty years in the financial markets hyper-focused on innovation and accessibility, Clear Street has an exciting opportunity and I am looking forward to working with Chris and his team,” commented Tilly.Clear Street has strengthened its executive team over the past year with other notable additions, including Atul Pawar, former head of U.S. Prime, Clearing, FCM, and Counterparty Risk at Goldman Sachs, and Jon Daplyn, former technology leader at Morgan Stanley.Cboe to Close Crypto ExchangeEarlier, Cboe Global Markets announced plans to shut down its cryptocurrency exchange by the third quarter of 2024, as reported by Finance Magnates. The transition will see cash-settled Bitcoin and ether futures contracts moving from the Cboe Digital Exchange to the Cboe Futures Exchange by the first half of 2025. This move aims to consolidate Cboe's US futures offerings under one platform, enhancing operational efficiency globally. Leveraging its established derivatives franchise, Cboe intends to bolster exchange-traded digital asset derivatives markets.Cboe will retain ownership and operation of Cboe Clear Digital, integrating it with Cboe Clear Europe to streamline operations and improve client service worldwide. The company expects minimal impact on 2024 net revenue due to the closure, anticipating cost savings. This article was written by Tareq Sikder at www.financemagnates.com.

CME Group has appointed Mike Dennis as the Global Head of Fixed Income in the latest effort to boost its interest rates business. Dennis, who is experienced in trading and clearing, will reportedly take on this role beginning August 5. He will directly report to CME Group's Chairman and CEO, Terry Duffy.New Leadership for Fixed IncomeIn his new position, Dennis will manage CME Group's portfolio of futures and options contracts on SOFR and US Treasuries, including the 30-year bond and 2-, 5-, and 10-year notes. Additionally, he will lead BrokerTec, CME Group's electronic cash trading platform, which handles US Treasury benchmarks and repo trading in the US, EU, and UK. Most recently, he served as Principal and Chief Commercial Officer at ABN AMRO Clearing USA LLC, where he played a pivotal role in launching a fixed-income clearing and repo initiative. His career includes significant roles at Societe Generale, Advantage Futures, and Peak 6 Investments.Speaking about the appointment, Duffy mentioned: "We are extremely pleased to add the expertise of Mike Dennis, a long-time industry professional, to our leadership team to oversee our significant and growing interest rates business, which increased 14% in Q2. As a former trader himself, Mike's deep trading, clearing, and prime brokerage knowledge, as well as his hands-on markets experience, will bring a unique perspective to this role that will benefit our clients and our organization."Decades of Interest Rate TradingDennis's appointment is part of CME Group's broader strategy to strengthen its leadership in the derivatives marketplace. Dennis began his career at JP Morgan Chase in 2002, working in the Corporate Investment Banking Division in Chicago. He brings over two decades of interest rate trading experience to CME Group. The company posted strong figures across key metrics for the fourth quarter and full year 2023 early this year, with revenue reaching $1.4 billion and operating income at $863 million. The quarter's net income amounted to $815 million. Additionally, total revenue for the full year 2023 amounted to $5.6 billion, operating income was $3.4 billion, and net income stood at $3.2 billion. Most recently, the group reported record-high FX futures trading volumes for the second quarter of 2024, with significant growth across multiple currency pairs. This article was written by Jared Kirui at www.financemagnates.com.

The European Securities and Markets Authority (ESMA) is seeking input on draft guidelines and technical standards. These pertain to the revised Alternative Investment Fund Managers Directive (AIFMD) and the Undertakings for Collective Investment in Transferable Securities (UCITS) Directive. Both directives aim to reduce financial stability risks and promote harmonization of liquidity risk management in the investment funds sector.Guidelines for LMT CalibrationThe draft Regulatory Technical Standards (RTS) define the characteristics of Liquidity Management Tools (LMTs). This includes calculation methods and activation mechanisms. ESMA has also released draft guidelines on LMTs for UCITS and open-ended AIFs. These guidelines provide instructions on how managers should select and calibrate LMTs. This selection should consider their investment strategy, liquidity profile, and redemption policy.“The revised AIFMD and UCITS Directive have introduced long-awaited provisions on the availability and use of Liquidity Management Tools. ESMA is now consulting on how to apply these provisions in practice,” said Verena Ross, ESMA Chair.“These new rules being proposed are in line with the latest global standards provided by the FSB and IOSCO, and will contribute to the strengthening of the EU regulatory and supervisory regime for investment funds.” Earlier, ESMA released its second Final Report on the Markets in Crypto-Assets Regulation, detailing eight draft technical standards, as reported by Finance Magnates. These aim to enhance transparency for retail investors and clarify disclosure and record-keeping requirements for providers. The standards also introduce data protocols to aid National Competent Authorities in supervision.? #ESMA is seeking input on Liquidity Management Tools for funds under the revised AIFMD and the #UCITS Directive. ?️ Send your input by 8 Octoberhttps://t.co/LxNEEX7i2O pic.twitter.com/6G2K4CVVim— ESMA - EU Securities Markets Regulator ?? (@ESMAComms) July 8, 2024ESMA Seeks Consultation InputThe RTS and guidelines aim to promote consistent application of the directives for UCITS and open-ended AIFs. They also aim to better equip EU fund managers to handle liquidity in market stress situations. Additionally, they clarify the functioning of specific LMTs, such as side pockets, a practice that varies across the EU.The publication of these consultations is a key step in implementing the new AIFMD and UCITS Directive. ESMA invites responses to the consultations by 8 October. ESMA will deliver the final RTS and guidelines by 16 April 2025. This article was written by Tareq Sikder at www.financemagnates.com.

As the US presidential election draws closer, bitcoin and crypto have become key political talking points in ways not previously seen. This can partly be attributed to the relative youth of the industry, as at the time of the 2020 election, Bitcoin had been operating for eleven years, Ethereum had only been live for five years, and many key DeFi protocols were only two or three years old (Maker, for example, launched as a working product in 2017, Uniswap and Compound in 2018.) But skip forward to 2024 and the situation has evolved rapidly, with spot BTC ETFs operated by BlackRock and Vanguard (among others) now part of the TradFi landscape, spot ETH ETFs also lining up for launch later this summer, and–according to a recent report–40% of Americans now holding crypto.Data from Security.orgThis time around, then, crypto has become too big to ignore, Wall Street has gone ahead and placed bitcoin on its menu regardless of politics, and what’s more, a crypto-hostile SEC has forced crypto industry leaders into positions where pushback becomes a matter of survival, which increasingly means aligning with, and also influencing, pro-crypto political candidates. After all, if legal battles with the SEC become the norm for crypto companies, and the SEC is endorsed by the Biden administration, then the crypto industry is unlikely to settle for more of the same. Aligning with a pro-crypto alternative, of course, requires there to actually be a pro-crypto candidate, which in turn may incentivize the creation, among candidates, of pro-crypto policies, and if we take a look at the Trump camp and the support Trump is receiving from within the crypto industry, we can see this dynamic playing out.Kraken Founder Donates to TrumpAt the end of June, Jesse Powell, the founder of major crypto exchange Kraken, posted on X to let it be known he had personally donated $1 million, mostly in ETH, to Donald Trump. Powell describes Trump as the “only pro-crypto major party candidate in the 2024 Presidential election”, and states directly that “the crypto industry has been under attack by Elizabeth Warren, Gary Gensler and others”, also claiming that, “the Biden White House has stood by and allowed a campaign of unchecked regulation by enforcement”.I just personally donated $1m (mostly #ETH) to @realDonaldTrump.For too long, the crypto industry has been under attack by Elizabeth Warren, Gary Gensler and others. Despite overwhelming bipartisan Congressional efforts to put clear rules in place, the Biden White House has… pic.twitter.com/Ksxf3P2oCb— Jesse Powell (@jespow) June 28, 2024Powell's post is unequivocal in placing blame on the Democrat administration and the SEC, and notably, it ends with the hashtag “#freeross”. This is a reference to Ross Ulbricht, who in 2015 was sentenced to double life in prison plus forty years without parole, having built and run the online black market Silk Road, which mainly facilitated drug trades paid for in BTC. This is relevant in Powell’s post because last month Trump pledged, if elected, to commute Ulbricht’s sentence to time served, demonstrating awareness that the Silk Road operator’s incarceration is a major issue among veteran bitcoiners, who view the sentence handed down to Ulbricht as disproportionately harsh.Other Crypto and Business Leaders Back TrumpJesse Powell is not the only prominent crypto figure to have publicly backed Trump, as support has also rolled in from Gemini-founders Tyler and Cameron Winklevoss, and from ARK Invest founder and CEO Cathie Wood, who stated of her voting intentions, “I am a voter when it comes to economics, and on that basis, Trump”.There was also a Trump fundraiser in June at the San Francisco residence of tech entrepreneur David Sacks, and at the end of last month, hedge fund manager Bill Ackman posted what looks like an indirect form of endorsement, or at least an exhortation to work productively with a Trump victory, as he stated, “the country should rally around Trump and help him succeed”, since Trump is “going to win in a landslide”..@realDonaldTrump is going to win in a landslide. The country should rally around Trump and help him succeed. Trump didn’t expect to win the first time he was elected. As a result, he was totally unprepared. The lack of preparation, the Russia investigation and the ensuing…— Bill Ackman (@BillAckman) June 28, 2024 Additionally, Bitcoin Magazine CEO David Bailey let it be known publicly back in May that his organization is “working with the Trump campaign to develop their bitcoin and crypto policy agenda”. This announcement came shortly before Trump’s campaign began accepting donations in crypto, and was prior to Trump speaking about Ross Ulbricht, and gaining plaudits for a commitment to champion US bitcoin mining.Are SOL ETF Applications a Bet on Trump?Last month, both VanEck and 21Shares filed applications for spot SOL ETFs. Although similar products for BTC and ETH have been approved, a Solana fund seemed like a long shot as it moves further along the altcoin risk curve, and there is no existing Solana futures market. As such, some observers interpreted the applications as a bet on an incoming Trump presidency that will make crypto-friendly changes at the SEC. Accordingly, there has been speculation about who might, under these circumstances, take over the position of SEC Chairperson, with Dan Gallagher being one media-circulated name that was greeted with enthusiasm. Gallagher is the current CLO at trading and investment platform Robinhood and a former SEC commissioner, and would be expected to take an open-minded approach to crypto. Speculation about appointments is currently just that–speculation–but expectations that the character of the SEC will change under a new chairperson are very real. What’s more, last month saw the Supreme Court overrule the Chevron Doctrine, an outcome that is expected to shift power (as it relates to interpreting Acts of Congress) away from regulatory agencies and back towards the courts, perhaps limiting the extent to which the SEC can–as its detractors allege–rule by enforcement.What looks certain for now though, is that a crypto industry that has repeatedly expressed its frustration with US regulators now sees opportunity at the next election. This article was written by Sam White at www.financemagnates.com.

Vantage Markets is now offering multi-currency and multi-account support in the latest effort to enhance copy trading services. The company has also expanded support for more currencies, including EUR, HKD, INR, JPY, US Cents, and USD. More Currency OptionsThis new offering will reportedly allow traders from various regions to diversify their portfolios and participate in copy trading using their preferred currency. The Vantage app supports 55 global deposit methods, such as credit cards and bank transfers, catering to users’ funding preferences and complementing the offering.Besides multi-currency support, Vantage’s multi-account support for its copy trading promises to effectively enable users to copy trade across different account types. For instance, a trader with a Standard STP account can copy trades from a provider using a Swap-free RAW ECN account, even if both accounts trade in different currencies, the company mentioned.Speaking about the new offering, Lian J, Vantage’s User Growth Director, mentioned: "Our new multi-currency support and multiple account types are designed to further break down any geographical and technical barriers for traders, empowering traders to follow and learn from any seasoned trader they choose, supporting accessibility across all experience levels.Additionally, Vantage has reduced its minimum deposit requirement to $50. Vantage Markets is a multi-asset broker offering clients access to trading CFDs on Forex, Commodities, Indices, Shares, ETFs, and Bonds. The firm has been in the industry for more than 13 years, and its Vantage App is available on the App Store and Google Play.In April, Vantage integrated TradingView to expand its trading options for clients. The company mentioned that this integration enables users from serviceable regions to trade directly on TradingView's web and desktop platforms using its advanced tools and charts.Expanding OfferingsVantage's clients can open TradingView accounts and link them to their user profiles. This enables them to trade CFD instruments, including currencies, commodities, and stock market instruments, directly from TradingView charts.Additionally, Vantage opened its dedicated profile page on TradingView's website to engage with users by sharing educational trading articles and market analysis. The retail FX and CFD broker also updated its website and trading application to enhance transparency and cost savings. Early this year, Vantage unveiled changes to its indices CFD product offering by launching CFDs on the Straits Times Index and Taiwan Stock Exchange Index in addition to the existing indices offerings. Some of the features of Vantage's indices CFD offering include leverage up to 500:1, tight spreads, a broad range of markets, and negative balance protection. This article was written by Jared Kirui at www.financemagnates.com.

The Hong Kong Monetary Authority (HKMA) has imposed a HK$10 million ($1.28 million) fine on DBS Bank (Hong Kong) Limited (DBS HK) for breaching anti-money laundering and counter-terrorist financing regulations. The penalty follows an investigation that uncovered significant control deficiencies at the bank between April 2012 and April 2019.Hong Kong Regulator Fines DBS Bank HK$10 Million for AML LapsesThe HKMA's investigation revealed that DBSHK failed to adequately monitor business relationships and conduct enhanced due diligence in high-risk situations. The bank also neglected to maintain proper records for some customers and lacked effective procedures to fulfill its duties under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO)."The HKMA requires banks to implement effective customer due diligence measures to combat money laundering and terrorist financing," Raymond Chan, Executive Director of Enforcement and Anti-Money Laundering at the HKMA, emphasized the importance of robust compliance practices. "These measures should undergo regular review to ensure their continued effectiveness."Among the specific lapses identified, DBS HK failed to obtain identity documents for 609 authorizers of its corporate internet banking service, IDEAL, affecting 477 corporate customers. The bank also neglected to establish the source of wealth for 15 high-risk customers, potentially exposing itself to money laundering and terrorist financing risks.“The region’s crackdown on banks’ money laundering activities marks a significant shift, with regulators intensifying their efforts,” commented Rory Doyle, Head of Financial Crime Policy at Fenergo. “This latest fine against Singapore’s largest bank highlights persistent issues in monitoring business relationships and conducting enhanced due diligence in high-risk situations, along with inadequate record-keeping.”In determining the penalty, the HKMA considered several factors, including the seriousness of the findings and the need to send a strong deterrent message to the banking industry. The regulator also acknowledged that DBSHK has taken remedial actions to address the identified deficiencies and has no previous disciplinary record related to the AMLO.$2.2 Billion CaseA spokesperson for DBSHK responded to Bloomberg, stating that the institution takes its AML (Anti-Money Laundering) and CTF (Counter-Terrorism Financing) procedures "seriously" and accepts the regulator's decision. However, they noted that the issues for which the fine was imposed were "sporadic and historical in nature."HKMA fines DBS Hong Kong US$1.28 million after money-laundering investigationThe bank failed to conduct enhanced due diligence in high-risk situations in periods between April 2012 and April 2019, the HKMA says https://t.co/66diAQ1rc1 pic.twitter.com/k4izfNAFrv— Bien Perez (@BienPerez) July 6, 2024Last year, DBS was fined for similar violations, along with Citibank, Oversea-Chinese Banking Corp. (OCBC), and Swiss Life, for allegedly breaching Anti-Money Laundering/Counter-Terrorism Financing (AML/CFT) requirements. The total fines amounted to $2.83 million.“Banks will need to enhance their due diligence efforts significantly. Many will need to perform comprehensive reviews of their compliance systems and quickly implement necessary upgrades,” added Doyle.While the fine is relatively modest, it does not change the fact that one of Singapore's largest banks has been involved in several major controversies in the past, including a billion-dollar money laundering scheme, where the police secured $2.2 billion. This article was written by Damian Chmiel at www.financemagnates.com.

Tradeweb Markets has announced that its total trading volume for June 2024 reached $37.5 trillion, with average daily volume (ADV) climbing to $1.94 trillion, marking a 40.9% increase year-over-year (YoY). In the monthly perspective, volumes also recorded a modest increase of 2% from the level of $1.90 trillion.Tradeweb Reports Monthly and Yearly Jump in Trading VolumesThe company's second-quarter performance was equally impressive, with total trading volume hitting $121.0 trillion and ADV reaching $1.92 trillion, up 48.3% compared to the same period last year. Preliminary average variable fees per million dollars of volume traded stood at $2.43. "Tradeweb in Q2 reported double-digit, YoY volume growth in rates, credit, money markets, and equities," Tradeweb CEO Billy Hult commented. “The second quarter of 2024 culminated with a strong June, led by a 54% YoY increase in rates ADV and continued momentum in credit ADV – up 67% YoY.”Today we reported June 2024 trading volume of $37.5tn and average daily volume of $1.94tn. Read more here: https://t.co/bEobiJCGWn pic.twitter.com/lwM8f0e851— Tradeweb (@Tradeweb) July 8, 2024He added that the company set new records for quarterly ADV in several key areas, including U.S. government bonds, fully electronic US high yield, and repo trading. June's performance was particularly noteworthy, with rates ADV surging 54% YoY and credit ADV jumping 67% YoY.In the rates segment, US government bond ADV rose 50.8% YoY to $210.7 billion, while European government bond ADV increased 17.4% YoY to $50.5 billion. The company's mortgage ADV also saw significant growth, up 22.9% YoY to $208.9 billion.Credit trading volumes showed robust growth as well. Fully electronic US credit ADV increased 41.4% YoY to $7.0 billion, while European credit ADV rose 24.2% YoY to $2.5 billion. Tradeweb captured an 18.9% share of fully electronic U.S. high-grade TRACE and an 8.1% share of fully electronic U.S. high-yield TRACE.The company's repo ADV grew 20.8% YoY to $599.2 billion, driven by increased client activity on Tradeweb's electronic repo trading platform. However, US ETF ADV experienced a slight decline, down 11.1% YoY to $8.1 billion, while European ETF ADV increased 18.1% YoY to $2.8 billion.Tradeweb’s UpdatesTradeweb Markets announced significant updates to its executive team in late June. Amy Clack has been named the new Chief Administrative Officer (CAO), set to begin her role in August 2024. Concurrently, Thomas Pluta, the current President, is scheduled to step down later this year. Clack brings over 25 years of financial services experience, transitioning from her previous position in Wells Fargo's Corporate and Investment Banking division. Her prior roles include serving as the Chief Operating Officer for Investment Banking and Capital Markets at Credit Suisse.Additionally, Tradeweb has broadened its collaboration with FTSE Russell now to incorporate U.S. Treasury closing prices into their partnership. Tradeweb Markets has also introduced a new functionality that integrates its repurchase agreement (repo) and interest rate swaps (IRS) platforms. This integration is aimed at improving the execution workflow for these instruments, promising enhanced efficiency for institutional clients in navigating various financial markets including rates, credit, equities, and money markets. This article was written by Damian Chmiel at www.financemagnates.com.

Despite financial market regulators' best efforts to combat unlicensed investment firms, their struggle seems never-ending. The Spanish CNMV has just reported that scammers have once again attempted to impersonate popular retail trading brands. Additionally, the latest warning list includes several entities operating in the country without proper licenses.CNMV Alerts Against StoneX and IG Group ClonesAccording to today's (Monday) update from CNMV, the Spanish financial markets regulator, the market watchdog has added ten new entities to its warning list.Among them, "Finance IG," offering services through the websites finance-ig.com and financeig.com, stands out as a clone of the popular, publicly traded London-based firm IG Group, known throughout Europe and worldwide.The warning list also includes a clone of the US-based company StoneX, offering services through the website stonexly.com/es.Unfortunately, attempts to impersonate popular brands are common. A few months ago, CNMV also warned against a firm pretending to be the popular social trading platform eToro.According to a survey conducted by Finance Magnates and FXStreet, retail traders consider broker and signal provider clones to be the biggest threat in the industry. However, conversations with representatives of frequently cloned firms reveal that the practice is so widespread that effectively defending against it is very challenging.Eight Unlicensed Entities Alongside ClonesIn addition to the two clones warned about by CNMV, the update also included information on eight entities operating without proper authorization in the Spanish market.Among these entities were Fusionlots, TD Markets, Rumlenomic, AMI Solutions, Aduent Capital, TCM Globals, and Trader Expertss:"According to CNMV records, these institutions are not registered in the corresponding registry of this Commission and, therefore, are not authorized to provide investment services or other activities subject to the CNMV's supervision," CNMV explained.This is another update to the Spanish regulator's warning list over the past month. In June, Finance Magnates reported that 8 unregistered FX/CFD brokers came under CNMV scrutiny.Recently, CNMV also took an interest in Linq Capital, which offers trading with leverage up to 1000:1. The firm claims to be registered in the UK, in a city that doesn't actually exist. A few months earlier, the German BaFin also drew attention to its suspicious activities. This article was written by Damian Chmiel at www.financemagnates.com.

Charlie Rozes has announced via LinkedIn today (Monday) that he will assume the role of CFO & Executive Director at BMS Group, effective November 2024. Rozes, currently based in London, will report directly to BMS Group CEO Nick Cook. He succeeds Nick Moss, who is set to retire from the company.A Transformational Financial ExecutiveRozes brings a wealth of experience, having served as Chief Financial Officer & Executive Director at IG Group since June 2020. During his tenure, he led strategic initiatives that transformed IG Group into a global multi-asset class online trading platform and digital content provider. His achievements include overseeing the integration of tastytrade, a significant US options and futures trading platform, and executing the sale of non-core US businesses Nadex and the Small Exchange for substantial returns.At Marsh McLennan, Rozes played a pivotal role in the integration of JLT PLC, achieving over $350 million in cost synergies ahead of target. His leadership was marked by successful financial restructuring and strategic initiatives across global operations.At JLT Group, Rozes served as Group Finance Director and Executive Director, overseeing global finance operations and driving sustained organic growth. His tenure culminated in the successful negotiation and sale of JLT Group at a significant premium.Rozes commented on the appointment: “The opportunity to return to the insurance industry means a great deal to me, especially given the opportunity to contribute to BMS at this exciting stage in its growth. I am thrilled to join the team and look forward to working with my new colleagues.”IG Group Welcomes Head of DevelopmentMeanwhile, IG Group has appointed Mark Evans as Head of Corporate Development. Evans brings over six years of experience at the London-based forex and CFD trading firm, where he previously served as Head of Consumer Insights and Strategy, as Finance Magnates reported. Before joining IG Group, he held the position of Financial Planning and Analysis Manager. Evans' LinkedIn profile highlights roles at prominent organizations including Barclays Bank, where he managed Group Centre Finance, and later served as Vice President at Barclaycard. He also spent four years as Senior Business Adviser at BDO UK LLP. This article was written by Tareq Sikder at www.financemagnates.com.

The dollar value of Bitcoin remains extremely volatile. Although there were signs of recovery over the weekend, the value tumbled this morning (Monday) as the Asian markets opened. What is the cause of this dip? Is it due to the expected repayment from Mt. Gox or the Germans offloading their Bitcoin stash? Additionally, the US Feds’ decisions on rate cuts cannot be ignored.A Bloody WeekBitcoin peaked at almost $74,000 earlier this year, boosted by the approval of the long-awaited spot Bitcoin exchange-traded funds (ETFs) in the United States. However, due to periodic volatility, the cryptocurrency is trading around $57,500, down by around 23 percent.In the past week alone, the value of Bitcoin has decreased by about 10 percent.As always, the reasons behind Bitcoin's volatility are mixed. However, this time, the bearish sentiments might have been triggered by a few events.A $9 Billion PayoutA prominent trigger might be the upcoming repayment to the creditors of the now-defunct crypto exchange Mt. Gox. After ten years of countless delays, the Mt. Gox administrator finally decided to repay the distressed creditors in Bitcoin and Bitcoin Cash.At its peak, Mt. Gox handled 70 percent of all Bitcoin transactions. However, the exchange lost an estimated 740,000 Bitcoin, which led to its closure in 2014.Recently, Mt. Gox-related Bitcoin wallets moved 47,228 Bitcoins. However, it was unclear if those Bitcoins were moved for the purpose of repayment. The anticipation of such a massive volume of Bitcoin hitting the market might have created selling pressure, resulting in the recent volatility.The Mt. Gox payout is estimated to be $9 billion. However, experts believe that the $1.1 trillion Bitcoin market has the potential to absorb the pressure from the sell-off by the Mt. Gox creditors.#Bitcoin This is the MTGOX official announcement. "We ask eligible rehabilitation creditors to wait for a while." This is similar language to that issued during the decade creditors have waited so far. I can see most people being happy with more delays. Especially non creditors. pic.twitter.com/6sTcbTNaXY— Richard Heart (@RichardHeartWin) July 6, 2024“Mt. Gox moved [a massive amount of] BTC, signalling the start of their repayment process, which has caused some market fear due to the large potential sell-off,” Willy Chuang, COO of crypto exchange WOO X, told crypto-focused publication Coindesk. “However, it's worth noting that despite these concerns, the long-term impact may be less severe as the market gradually absorbs the selling pressure.”The German Sell-OffAnother major reason for the latest downward Bitcoin spiral might be the selling off of seized Bitcoins by German authorities. Earlier this year, German law enforcement seized 50,000 Bitcoins linked with a piracy website.After months of holding onto those seized cryptocurrencies, the German government-linked wallets moved out 6,500 Bitcoins, worth about $425 million at the time. After a series of transactions, 1,000 of these Bitcoins were sent to two crypto exchanges, Kraken and Bitstamp. On-chain analyst Arkham also confirmed that the German government moved another 1,300 Bitcoins, worth $76 million, to Kraken, Bitstamp, and Coinbase on July 4, after which the Bitcoin price took a massive hit.The German government also moved an additional 1,700 Bitcoins to an address likely moved “for an institutional service or OTC.”UPDATE: German Government selling up to $175M BTCIn the past 2 hours the German Government has moved 1300 BTC ($76M) to exchange deposits at Kraken, Bitstamp and Coinbase.They have also moved 1700 BTC ($99M) to address 139Po. These funds are likely moving to a deposit for an… pic.twitter.com/ZMTxoipo5d— Arkham (@ArkhamIntel) July 4, 2024Despite the sell-offs, the German government still holds a substantial amount of Bitcoins from the seizure. Similarly, the US government accumulated a sizable amount of Bitcoin from seizures against illegal operations over the years.Is It the Feds?Although a regular event, the US Federal Reserve’s decision might be another factor behind Bitcoin’s volatility. On Thursday, the Feds decided not to cut interest rates for another cycle. Even though rate cuts are not directly related to Bitcoin, higher interest rates always lure investors to keep their money away from risky investments like Bitcoin.Currently, the Fed funds rate is at 5.5 percent, significantly higher compared to 0.25 percent in March 2022.Room for Upward MovementBitcoin entered the mainstream financial market earlier this year when the Securities and Exchange Commission approved the spot Bitcoin ETFs. Prominent asset managers like BlackRock and Fidelity, along with nine other issuers, are now listing spot Bitcoin ETFs on American stock exchanges.Further, the mining reward of Bitcoin was halved earlier this year, an event that has positively impacted the cryptocurrency's price movement historically.Despite the recent volatility, many analysts are still optimistic about Bitcoin. According to analysts at crypto data and research firm CCData, Bitcoin is yet to reach the top of its current appreciation cycle and is likely to hit a fresh all-time high.CCData pointed out that Bitcoin halvings always preceded a period of price expansion, which lasts between 12 to 18 months “before producing a cycle top.” These historical time frames have yet to pass after the latest halving on 19 April 2024.“Moreover, we have observed a decline in trading activity on centralised exchanges for nearly two months following the halving event in previous cycles, which seems to have mirrored this cycle. This suggests that the current cycle could expand further into 2025,” the CCData report stated. This article was written by Arnab Shome at www.financemagnates.com.

Life insurance is often associated with providing financial protection for families in the event of a breadwinner's death. However, for traders, life insurance offers unique advantages that go beyond basic financial security. This article delves into the various ways life insurance can benefit traders, with a special focus on the potential cash value of life insurance policies.Understanding Life Insurance for TradersThe Basics of Life InsuranceLife insurance policies come in two main types: term life insurance and permanent life insurance. Term life insurance provides coverage for a specific period, usually 10, 20, or 30 years, and pays out a death benefit if the policyholder dies during the term. Permanent life insurance, on the other hand, provides lifelong coverage and includes a cash value component that grows over time. Visit Reassured to learn more about your various options from the best Insurance Companies in the UK.Why Traders Should Consider Life InsuranceFor traders, the financial markets' inherent risks make life insurance an essential tool for ensuring long-term financial stability. Unlike salaried employees, traders often face unpredictable income streams, making it crucial to have a safety net. Life insurance offers peace of mind by guaranteeing that loved ones will be financially protected in the event of an untimely death.The Unique Benefits of Life Insurance for TradersFinancial Protection for DependentsOne of the primary benefits of life insurance is providing financial security for dependents. For traders with families, life insurance ensures that their loved ones are taken care of financially, even if they are no longer around to provide support. This is especially important for traders who may have significant debt or financial obligations that could burden their families.Estate Planning and Wealth TransferLife insurance plays a vital role in estate planning and wealth transfer. Traders often accumulate significant assets throughout their careers, and life insurance can help ensure these assets are passed on to heirs in a tax-efficient manner. The death benefit from a life insurance policy can be used to pay estate taxes, ensuring that the trader's assets are preserved for future generations.The Potential Cash Value of Life InsuranceBuilding Cash Value Over TimeOne of the most compelling features of permanent life insurance is its ability to build cash value over time. This cash value grows tax-deferred and can be accessed by the policyholder during their lifetime. For traders, this can be a valuable source of liquidity that can be used for various purposes, including supplementing income during market downturns.Using Cash Value as CollateralTraders can also use the cash value of their life insurance policies as collateral for loans. This can be particularly useful for traders who need additional capital to take advantage of market opportunities or to cover unexpected expenses. Unlike traditional loans, loans against life insurance policies typically have lower interest rates and more flexible repayment terms.Leveraging Life Insurance for Financial FlexibilitySupplemental Retirement IncomeThe cash value of a life insurance policy can be used to supplement retirement income. Traders who have successfully built substantial cash value in their policies can access this money tax-free through policy loans or withdrawals. This provides an additional income stream during retirement, helping traders maintain their desired lifestyle.Protection Against Market VolatilityFor traders, market volatility is a constant concern. The cash value component of a life insurance policy offers a stable, low-risk asset that can provide financial security during turbulent market periods. This stability can be especially reassuring for traders who rely on their investment returns for daily living expenses.Conclusion: A Strategic Financial Tool for TradersLife insurance is more than just a safety net; it is a strategic financial tool offering unparalleled benefits to traders. From providing financial protection for dependents to offering valuable cash value that can be used for various purposes, life insurance is an essential component of a trader's financial plan. By understanding and leveraging the unique advantages of life insurance, traders can secure their future and achieve greater financial flexibility and stability.Whether you are a seasoned trader or just starting, consider the long-term benefits of incorporating life insurance into your financial strategy. It's an investment in your future that can pay dividends in both peace of mind and financial security. This article was written by FM Contributors at www.financemagnates.com.

A significant change is set to take effect in Hong Kong at the end of this month, poised to impact the operations of authorized financial sector firms and investment product issuers. This transformation comes as the local market watchdog prepares to implement a new online system.Hong Kong's SFC to Launch New Online System for Investment Product ApplicationsThe Securities and Futures Commission (SFC) of Hong Kong has announced the launch of a new online application and submission system for investment products. The system, named e-IP, is set to go live on July 29, 2024, as part of the regulator's efforts to streamline processes and enhance efficiency in the financial sector.Developed on the existing WINGS (Web-based INteGrated Service) portal, e-IP will serve as a comprehensive platform for investment product applications and post-authorization submissions. The system will cater to a wide range of investment products, including investment-linked assurance schemes, mandatory provident fund products, and real estate investment trusts."e-IP will promote digital or paperless processing and enhance the efficiency of processing applications and submissions for investment products from both applicants and SFC perspectives,” the SFC commented in the press release.The launch of e-IP will be accompanied by a three-month parallel run of existing application channels until October 29, 2024. This transition period aims to allow market participants to familiarize themselves with the new system while ensuring continuity of operations.How the New System Will Affect Financial FirmsIt's important to note that while e-IP represents a significant modernization of Hong Kong's financial infrastructure, its direct impact is primarily on investment product issuers and the SFC's internal processesKey features of the e-IP system include:Submission of new product applications and post-authorization filingsProgress tracking for applications Maintenance of investment product information profilesFee payment settlementTo support the rollout, the SFC plans to hold a briefing session for industry participants before the launch date. Additionally, user guides and online demonstration videos will be made available on the SFC website to assist users in navigating the new system.The introduction of e-IP aligns with Hong Kong's broader push towards digital transformation in its financial services sector.Regulatory Initiatives by Hong Kong's SFCHong Kong's regulator has been notably proactive among its global peers in enforcing market discipline. Recent reports reveal that in the last fiscal year (2023-2024), the SFC aggressively tackled financial crimes like insider trading, market manipulation, and corporate fraud. The commission initiated a record 183 investigations, pressed 50 criminal charges against 24 individuals, and secured convictions in several cases, highlighting its commitment to maintaining market integrity.In addition to criminal prosecutions, the SFC pursued civil actions, with 37 cases still pending in courts against 204 entities and individuals. The commission also imposed hefty fines totaling $49.9 million on 14 individuals and 12 corporations for various infractions, further underscoring its stringent regulatory stance.Furthermore, in a move to regulate the field of virtual asset trading, the SFC implemented new licensing requirements for virtual asset trading platforms (VATPs) effective from June 2024. These platforms are now required to meet strict criteria, including management experience, industry qualifications, and robust measures against money laundering. Looking forward, the SFC has laid out its strategic priorities for 2024-2026, focusing on elevating Hong Kong’s position as a global financial hub. The regulator plans to tokenize traditional assets and has identified key focus areas, including boosting market resilience, enhancing the appeal of Hong Kong's capital markets, driving financial innovation, and improving institutional efficiency. This article was written by Damian Chmiel at www.financemagnates.com.

NVIDIA CEO Jensen Huang has recently made headlines by selling a substantial portion of his company stock, amounting to $229 million. This move comes on the heels of NVIDIA’s stock rally, driven by robust demand for its AI and data center chips and reflects broader trends in the sector.The semiconductor sector has been on a tear recently, with stocks like NVIDIA leading the charge due to their critical role in powering next-generation technologies. As the demand for AI capabilities, data centers, and high-performance computing continues to skyrocket, companies in this space have seen their valuations soar. NVIDIA, in particular, has become a cornerstone of the AI revolution, with its GPUs serving as the backbone for countless AI applications.Joining the Ranks of Chip Industry SellersHuang isn't alone in this sell-off spree. Other top executives in the chip industry, such as Micron’s Sanjay Mehrotra and Qualcomm’s Cristiano Amon, have also capitalized on their companies' stock surges by selling off their holdings. This pattern among industry leaders signals a shared strategy: taking advantage of peak market valuations to secure personal financial gains.Nvidia $NVDA vs Intel $INTC: 2014 to today pic.twitter.com/NqUFZpQMjE— Evan (@StockMKTNewz) February 24, 2024It takes a while, but you can just skip to the end.These sales are not random acts, but are well-timed moves aligned with market conditions. Mehrotra, for instance, sold shares amidst Micron’s rise, driven by memory chip demand and data storage needs. Similarly, Qualcomm’s Amon executed sales following the company's advances in 5G technology and mobile processor dominance. These actions reflect a calculated approach to personal wealth management against the backdrop of their companies' successes.The Strategic TimingThe timing of these sales is crucial. NVIDIA’s stock has seen an extraordinary rise, buoyed by the company’s advancements and dominant position in the artificial intelligence (AI) hardware market. By cashing in during these high times, executives like Huang are ensuring they reap maximum benefits. The rationale is clear: strike while the iron is hot. With stock prices at historic highs, it’s a prime opportunity to lock in profits.NVIDIA's growth has been nothing short of meteoric, with its market capitalization reaching unprecedented levels. This has been driven by the company's strategic investments in artificial intelligence (AI), machine learning, and high-performance computing. Implications for InvestorsFor investors, these high-profile stock sales might raise eyebrows. Does the sell-off indicate that these executives anticipate a potential plateau or decline in stock value? Or is it simply a prudent financial decision to diversify their assets after a period of unprecedented growth?The truth likely lies somewhere in between. While the sales do not necessarily predict a downturn, they highlight the fact that executives are constantly considering their stock management. It’s about balancing personal financial security with corporate stewardship. Executives selling shares is a common practice, often planned months in advance, and typically doesn’t reflect a lack of confidence in the company’s future. However, it's worth noting that such moves can create a perception issue. Investors might worry about the timing and rationale behind these sales. The Bigger PictureThis trend of stock sales among chip executives underscores a broader theme in the tech industry: the maturation and stabilization of the market. As companies like NVIDIA, Micron, and Qualcomm continue to innovate and expand, their leaders are increasingly looking to secure personal financial gains. This move can be seen as a testament to the companies’ success and the executives' confidence in their long-term prospects.Moreover, these sales reflect a broader industry trend where leaders take advantage of high valuations to diversify their financial portfolios. This strategy not only safeguards their personal wealth, but also shows a level of financial acumen in leveraging market conditions.Jensen Huang’s stock sale is a strategic move, mirroring actions taken by his peers in the semiconductor industry. As the semiconductor market continues to evolve, such moves will likely remain a common narrative, reflecting both the health of the industry and the savvy financial planning of its leaders.For more finance-adjacent news, follow our Trending section. This article was written by Louis Parks at www.financemagnates.com.

TMGM, a trailblazer in global online trading and investment services, took center stage as the Gold Sponsor of the Vanuatu Financial Services Commission's (VFSC) groundbreaking Second Symposium on Virtual Assets.This pivotal event, held on Thursday, June 27, 2024, in Port Vila, convened an elite gathering of finance brokers, regulators, government officials, and international experts to chart the course for Vanuatu's burgeoning fintech sector.The aptly themed "Shaping Tomorrow – Exploring the Role of the Financial Dealers Licence and Virtual Assets in National Development" symposium was a crucible for innovative ideas and strategic discussions.Distinguished speakers, including Rick McDonell, former Chairperson for the Asia Pacific Group (APG) on money laundering, and Loretta Joseph, VFSC's digital asset regulatory framework consultant, provided invaluable insights into the evolving landscape of virtual assets and financial integrity.Thought-provoking panel discussions delved into critical topics such as aligning with international standards set by APG, FATF, and the European Union, tackling the EU blacklist challenge, optimizing Financial Dealers Licence (FDL) requirements, and propelling Vanuatu's fintech industry forward.The symposium concluded with the prestigious FDL awards ceremony, celebrating local business practices, professional development, and community service excellence. TMGM's prominent role as Gold Sponsor highlighted its steadfast commitment to Vanuatu's financial evolution. This dedication was further exemplified by TMGM's recent accolades: the company was honored as First Runner-up for Best Community Support 2024 and recognized for achieving the Highest Client Numbers in 2024. These achievements not only underscore TMGM's industry leadership but also reflect its significant contributions to Vanuatu's financial ecosystem.These recognitions also cement TMGM's trusted industry leader and innovator position. Operating under the TMGM brand, Trademax Global Limited is licensed and regulated by the Vanuatu Financial Services Commission (VFSC), reinforcing the company's deep-rooted commitment to regulatory excellence and its integral role in Vanuatu's financial ecosystem.(From R to L) Branan KARAE - VFSC Commissioner, Hon. John Salong DAMASING - Minister of Finance & Economic Management, Member from TMGM Group, Johnny WILSON - TMGM Vanuatu local directorTMGM Vanuatu's local director Johnny Wilson, expressed his pride in these achievements, stating, "We are honored to receive these awards. They reflect our team's hard work and dedication to providing exceptional service to our clients and supporting our community. “These recognitions inspire us to continue pushing the boundaries of excellence in the fintech sector,” he added.As the fintech landscape transforms rapidly, TMGM stands at the vanguard, championing the highest regulatory compliance and client protection standards. The company's proactive engagement in this symposium and recent achievements reflect its ongoing mission to provide a secure, cutting-edge, and client-centric trading environment.TMGM's participation in this landmark event demonstrates its dedication to fostering Vanuatu's robust and innovative financial ecosystem. It positions the company as a key architect in shaping the future of virtual assets in the region.About TMGM:TMGM is a global leader in online trading and investment services, offering unparalleled access to diverse financial instruments through its state-of-the-art trading platforms. With an unwavering focus on regulatory compliance, technological innovation, and exceptional client service, TMGM empowers traders worldwide to navigate global markets and realize their financial aspirations. Trademax Global Limited, operating under the TMGM brand, is proudly licensed and regulated by the Vanuatu Financial Services Commission (VFSC), embodying the highest standards of financial integrity. For more information, visit https://www.tmgm.comDisclaimerThe document is provided by Trademax Global Limited (VFSC 40356). Please note that investing in CFDs and Margin FX Contracts carries significant risks and is not suitable for all investors. You may lose more than your initial deposit. You don’t own, or have, any interest in the underlying assets. Any information or general financial product advice given in the document is generic in nature and does not take into account your financial situation, needs or personal objectives. Past performance is not a reliable indicator of future performance. Investing in leveraged products carries significant risks. We recommend that you seek independent advice and ensure that you fully understand the risks involved before trading. It is important that you read and consider our disclosure documents posted on our website tmgm.com before you acquire any product listed on the document. This article was written by FM Contributors at www.financemagnates.com.

Italy's securities regulator, Consob, has issued a warning to investors about the risks associated with retail prop trading activities. It describes them as online trading simulations that promise profits but may lead to financial losses.Consob Flags Prop Firm “Trading Games” as Potential Investor TrapThe Italian market watchdog describes the prop trading industry very interestingly, completely different from how the companies operating within it do.The regulator said these offerings, promoted on websites and social media platforms, "simulate an online trading activity in a type of finance video game aimed at passing skill tests and making a profit." They are presented under various names, including "shadow investment game," "funding trading," and "financed trading accounts." These simulations often require users to enroll in paid training courses before participating in online trading challenges.According to Consob, the schemes typically involve users progressing from simulated trading to purportedly real trading using capital provided by self-described "proprietary firms" or "prop firms." To entice participants, these firms offer to share some profits generated.The regulator emphasized that these simulations carry significant risks for savers and could result in the loss of invested funds.“Consob has received several reports from users who have signed up for such offers. The complaints concern both the level of difficulty of the tests, which are allegedly contrived to push ‘players’ to try again, and the failure to share the alleged profits.” The regulator commented.Regulatory interest in proprietary trading began in February, leading to the withdrawal from part of the market by the popular trading platform provider MetaQuotes, difficulties in access for investors from the USA, and the suspension of operations by some companiesIncreasing Number of European Regulators Warning Against Prop TradingSimilar warnings have been issued by financial market supervisory authorities in Belgium (FSMA) and Spain (CNMV), highlighting a growing trend of concern among European regulators.At the end of May, Finance Magnates reported that the European Securities and Markets Authority (ESMA) had convened a discussion on the regulations concerning prop trading. Remonda Kirketerp-Møller, the founder and CEO of regulatory compliance firm Muinmos, shared that “regulators have been conducting studies, gathering data, and engaging in consultations with industry participants to better understand the nature and implications of prop trading.”Currently, prop trading firms are primarily governed by laws such as consumer protection rules, data protection regulations, and international sanctions conditions. These companies are predominantly registered in the US, the UK, the UAE, and Saint Vincent and the Grenadines, although many are also registered within the EU.In early June, the Czech regulator indicated that prop trading firms “may be subject to MiFID regulations.” The business models used by firms engaged in prop trading (technically funded trader services) can take various forms, some of which may be subject to the MiFID regulatory framework.” Notably, one of the leading prop trading firms, FTMO, is based in the Czech Republic.Although the industry is controversial among regulators and some investors, it attracts more clients. FX/CFD brokers are also taking advantage of this by increasingly adding proprietary trading offers to their basic services. This month, ThinkMarkets joined them by launching its own proprietary trading brand, ThinkCapital. This article was written by Damian Chmiel at www.financemagnates.com.

The Bahamas-registered entity of London Capital Group Ltd (LCG), a retail forex and contracts for differences (CFDs) broker, has ceased its operations and announced publicly that it has been impossible to carry out its operations following the bankruptcy of its Swiss parent company, FlowBank.“LCG Capital Markets Limited maintains funds with accounts at FlowBank SA,” the notice on the website of the offshore entity of LCG stated. “Due to significant agreements between LCG Capital Markets Limited and FlowBank SA, the appointment of the Liquidators has currently made it impossible for LCG Capital Markets Limited to carry out its operations.”The Chaos After FlowBank’s BankruptcyLCG is owned by FlowBank, founded by former LCG CEO Charles-Henri Sabet. Previously, LCG was part of the London Capital Group Holdings, which encountered trouble after delisting from the London Stock Exchange and NEX Exchange in 2018. That same year, Charles-Henri Sabet, then CEO, bought LCG, separating it from the troubled London Capital Group Holdings, which went into liquidation.The entity operating the LCG brand under the Bahamas license offers forex and contracts for differences (CFDs) instruments. Meanwhile, another Financial Conduct Authority-registered entity, which operates LCG in the UK, changed its business model last year, becoming an introducing broker for IG, once its rival company.The notice by the Bahamas-registered LCG Capital Markets Limited came only over a week after the FCA imposed restrictions on onboarding new clients and taking deposits to the UK-registered sister entity.Force MajeureNow, the Bahamas-registered LCG is considering that “an emergency or an exceptional market condition exists which [might] prevent [it] from performing any or all of our obligations.” The company is determining to implement this under ‘force majeure events’.“Force Majeure Events include the following events: (i) any act, event or occurrence (including any strike, riot or civil commotion, industrial action, acts and regulations of any governmental or supranational bodies or authorities) that, in our reasonable opinion, prevents us from maintaining an orderly market in one or more of the indices/markets in respect of which we ordinarily accept transactions,” the notice added.The chaos started when the Swiss regulator cancelled FlowBank's license last month and declared the company bankrupt. The Bahamas-registered LCG is also now engaged with FlowBank's bankruptcy liquidators.Meanwhile, the majority shareholder of FlowBank called the move by the Swiss regulator a “violation of rights” and intends to take “all necessary procedures” to challenge the regulator’s decision. This article was written by Arnab Shome at www.financemagnates.com.

On June 6, the European Central Bank (ECB) communicated its decision to lower its three main interest rates by 25 basis points for the first time in five years. Ahead of the Fed, which by tradition, would have been expected to come forward first with an interest rate cut, the ECB brought its main refinancing rate down to 4.25% from 4.50%. Concurrently, the marginal lending facility rate and the deposit facility rate decreased to 4.50% and 3.75%, respectively. But why now, and what does it mean for the Euro area?More contextLest we forget, the world’s central banks hiked interest rates to rein in the high inflation elevated by the pandemic and the energy shockwave stirred by Russia’s aggression against Ukraine. Prices in the Euro-dependent economies, the US and the UK soared as a result, eroding buying sentiment and causing investors to pivot to safe-haven assets such as gold or silver. Since then, the situation has broadly improved. Although some prices continue to rise, particularly in the services sector, overall inflation has declined, giving a breather to the business sector and reinvigorating investor interest for alternative assets.Despite the progress it made in taming inflation and bringing it closer to its 2% target, the ECB is still not rushing to continue dropping the interest rates. This stance has been perceived by many as “hawkish”, since the central bank remains committed to keeping “interest rates restrictive for as long as necessary”, whilst pursuing “a data-dependent and meeting-by-meeting approach”.The immediate impact on the EuroThe monetary policy divide between the US and Europe has slightly weakened the Euro. If between mid-April and mid-June, the single currency had strengthened against the US dollar, rising to 1.070 from 1.062, now considering the asynchronous monetary policy between the ECB and the Fed, the Euro could face further devaluation against the dollar. Why is the Euro weaker?There are at least three reasons behind the single currency’s weakness. First, the imperative to boost European production and exports, especially in the field of energy has never been more evident as the Ukraine war has been dragging on for nearly two years, driving energy costs at record highs.Unlike the US, for example, which is the world’s largest energy producer and consumer at the same time, the EU has yet to catch up on production. Still largely dependent on Russia’s fossil fuels, the EU has a lot more to suffer from the high energy prices than the US, which is well known for its ability to offset any losses in purchasing power as an energy consumer against the gains it generates as an energy producer.It may be quite some time before Europe reaches its green energy target and breaks the shackles of fossil fuel dependency. This brings us to the second reason - the US dollar strength.The Federal Reserve has already hiked its key interest rates three times this year. Huge amounts of cash started flowing into the US economy to benefit from the higher interest rates. In keeping with the old adage, “higher interest rates, greater demand for currency”, the greenback appreciated thanks to greater demand.The third reason is more related to the markets’ reaction to the current economic context. As explained earlier, in times of uncertainty, investors tend to shift focus to what they consider as safe havens. Presently, the US dollar is the only global currency and hence, it serves as a universal means of exchange for goods and services worldwide. This contributes to it being regarded as a safe haven, which makes it appealing to investors. Nevertheless, caution must be exercised and investors should continue to stay informed about the markets and assess risk according to the fundamental and technical data at hand. Are there any positives to a weaker Euro?The weaker Euro has as many significant advantages as it has disadvantages. The first and foremost advantage is the rising cost of exports. European products - priced in US dollars - become more affordable in the US, which, in turn, boosts demand for EU goods instead of locally produced, similar, more expensive products.Rippling down into the EU economies, higher export demand will encourage European companies to produce more goods and services. In doing so, they create jobs, hire additional workforce, and increase their supply chains. Thus, higher exports have a vital impact on the domestic economy, causing it to expand.However, the positive effects of a weaker single currency are counterbalanced by negative aspects. Negative effects of a weaker EuroThe reverse of increased exports is the higher cost of imports that are paid for in US dollars. This does not apply only to final goods but also to raw materials priced in US dollars, meaning that EU consumers will pay more for US-imported goods. Gradually, this erodes consumer confidence and hurts demand. European companies will therefore need to brace themselves for lower demand, which could lead to an economic downturn. On the flip side, the higher prices for imported goods could also work positively for companies in the eurozone. As US products become more expensive, Europeans will eventually turn to similar European products providing better value for money. This stabilises production and employment in the Euro area.Notwithstanding that, delaying to cut interest rates by the Fed will only widen the gap between key interest rates in the EU and the US. Meanwhile, the key takeaway for traders and investors is to educate themselves about the markets and macroeconomic events such as the ECB and Fed monetary policy decisions. Staying abreast of key economic events and data releases can help them make better-informed decisions during times of upheaval.By Marios Chailis, CMO Libertex GroupAbout LibertexPart of the Libertex Group, Libertex is an online broker offering tradable CFDs with underlying assets being commodities, Forex, ETFs, cryptocurrencies, and others. Libertex also offers investments in real stocks.Over the years, Libertex has received multiple prestigious awards and recognitions, including “Global CFD Broker of the Year” (PAN Finance Awards, 2024) and “Best Trading Experience” (Ultimate Fintech Awards, 2023). Libertex is the Official Online Trading Partner of FC Bayern, in what has become a dynamic and exciting partnership.Since being founded in 1997, the Libertex Group has grown into a robust fintech powerhouse, with an established presence in various jurisdictions, serving millions of clients from several countries all over the world.In Europe the Libertex trading platform is operated by Indication Investments Ltd., a Cyprus Investment Firm regulated and supervised by the Cyprus Securities and Exchange Commission (CySEC) with CIF License number 164/12. This article was written by FM Contributors at www.financemagnates.com.