The Cyprus Securities and Exchange Commission (CySEC) has fully suspended the license of Viverno Markets Ltd, formerly known as BDSwiss Holding Ltd, over alleged regulatory breaches. Viverno, which operates as a business to business (B2B) provider offering liquidity and technology solutions for contracts for differences (CFDs) brokers, must address compliance issues within one month.
Non-Compliance Allegations Against Viverno
According to CySEC, Viverno, a Cyprus Investment Firm (CIF) licensed company, is suspected of not meeting regulations requiring “at least two individuals who effectively direct the business.” CySEC’s decision highlights concerns over client protection and market integrity, as stated by the regulatory authority.
During the suspension, Viverno is restricted from offering or promoting investment services, engaging in new business transactions, or taking on new clients. However, the firm can complete or close existing transactions and return any client funds currently held. Viverno’s website has since been taken down, showing a “Temporarily Unavailable” message.
BDSwiss’ Potential Shift Away from Cyprus
BDSwiss originally operated its retail CFD brokerage under CySEC’s jurisdiction after its acquisition in 2013. In recent years, however, the company has faced regulatory challenges, including a €100,000 fine last year related to initial margin issues and risk warnings. Following this, BDSwiss rebranded its corporate entity to Viverno, removed retail domains from CySEC’s registry, and retained only its B2B operations in Cyprus.
The changes have been accompanied by a wave of departures among key BDSwiss personnel in Cyprus. Former Chief Revenue Officer Andreas Andreou recently launched a proprietary trading platform based in Dubai, while ex Group CEO Alexander Oelfke established a new CFDs brokerage also headquartered in Dubai.
Related: Coinbase Acquires Cyprus Unit of BUX: A Move Toward CFDs?
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