CySEC Strips Three Firms of ICF Membership After License Withdrawals

The Cyprus Securities and Exchange Commission (CySEC) has announced that three firms—BrightPool Ltd, VPR Safe Financial Group Ltd, and FIBO Markets Ltd—have been removed from the Investors Compensation Fund (ICF). The decision follows the regulator's earlier withdrawal of the Cyprus Investment Firm (CIF) authorisations for all three companies.

CySEC emphasized that the loss of ICF membership does not affect clients' rights to compensation for activities conducted up to the date of removal, provided they meet the compensation criteria outlined in Directive DI87-07. The regulator also noted that the withdrawal does not prevent the initiation of compensation procedures for eligible clients.

The three firms, each identified by their Legal Entity Identifiers (LEIs), had their ICF status revoked as a direct consequence of losing their CIF authorisations. The ICF is designed to compensate covered retail clients in cases where a member firm is unable to meet its obligations.

CySEC did not provide further detail regarding the specific circumstances that led to the authorisation withdrawals but reiterated that client protections remain in place for qualifying claims.