CySEC Proposes Revised Fee Structure for Investment Firms in Cyprus

The Cyprus Securities and Exchange Commission (CySEC) has proposed a new fee structure for regulated investment businesses, which will affect both local and foreign investment firms operating on the island. The changes are aimed at aligning fees more closely with company size, business model, and turnover.

Under the proposed system, the cost of obtaining a CIF license will rise. For most investment services, the fee will increase from €7,000 to €8,000, while firms trading on their own account will face a charge of €15,000. Fees for managing trading platforms, including multilateral and organized trading facilities (MTF/OTF), will increase from €25,000 to €30,000.

One notable adjustment involves crypto-related services. CySEC will remove the previous €5,000 fee for licenses covering cryptocurrency operations. The regulator cited the EU-wide Markets in Crypto-Assets Regulation (MiCA), which establishes a harmonized framework for crypto service providers across member states, making a separate national approval in Cyprus redundant.

Annual fees will also be revised. For standard CIFs, the base annual fee will increase, while firms trading on their own account will face an annual fee of €30,000 for that activity alone. The proposed progressive fee scale for firms with turnover above €500,000 will be steeper than before, with a 2% rate for turnover between €500,001 and €1,000,000 and a 1% rate for turnover between €1,000,001 and €5,000,000.

CySEC is also introducing a new annual fee for branches of EU-based investment firms operating in Cyprus. These fees will be calculated at 40% of the amounts applicable to local firms, allowing foreign branches to participate in the fee system while maintaining a reduced rate.

The proposed fee changes are open for public consultation until February 13, 2026. CySEC stressed that late submissions will not be considered unless an official extension is granted. The regulator aims to ensure that the revised system reflects the scale and complexity of modern investment businesses while removing outdated charges.