Spain’s financial markets regulator, Comisión Nacional del Mercado de Valores, often abbreviated as CNMV, has issued warnings against a number of unlicensed brokers and crypto firms targeting traders in the country.
Included in the list released today are two unlicensed retail forex brokers, Titan Pro 500 and Mottofx, and a cryptocurrency firm that operates two associated websites MyCoin Banking and MyCryptoWallet LTD.
These brands offer related trading services, but don’t hold the appropriate licenses or authorization to do so in Spain.
The backlisted entities have been the subject of other regulator warnings. Titan Pro 500 and Mottofx have been flagged by the FCA in the UK for targeting local investors, while MyCoin was added to Austrian watchdog FMA’s list of unregulated brokers.
TitanPro 500 which claims to be located in Budapest, Hungary, is owned by a company called Hungarian BAR Auditing Kft, which has also been the subject of a CNMV warning.
On the crypto side, the myCryptoWallet thing is operating an Australian cryptocurrency exchange which had many clashes with its customers after they halted withdrawals after local banks allegedly terminated its accounts. The same company also operates MyCrypto which claims to be an open-source, client-side tool for generating ether wallets, handling ERC-20 tokens, and interacting with the blockchain more easily.
To add up, we have found numerous negative reviews from myCryptoWallet users who reported that they were unable to withdraw their funds from the platform, and that they have not been able to get in touch with the exchange’s customer service.
Spain is reportedly set to approve new measures to modify its money laundering legislation in order to comply with the EU’s Fifth Money Laundering Directive (AMLD 5). Spanish parliament is slated to vote on the updated regulations in the second half of 2020, which would the allow the central bank to police the nation’s crypto providers.
Once the draft bill approved, that would force crypto exchanges, wallet providers and crypto custodial service providers operating in Spain to register with a financial regulator and prove that they are meeting AML requirements if they want to continue their operations.