CFTC Adds 22 Entities to RED List | Practical Law

CFTC Adds 22 Entities to RED List | Practical Law

The CFTC announced that it added 22 unregistered foreign entities to its Registration Deficient List (RED List), a list of entities that are not appropriately registered with the CFTC as required by the Commodity Exchange Act (CEA) but have been identified as acting in a capacity that appears to require CFTC registration.

CFTC Adds 22 Entities to RED List

Practical Law Legal Update w-027-2918 (Approx. 3 pages)

CFTC Adds 22 Entities to RED List

by Practical Law Finance
Published on 03 Sep 2020USA (National/Federal)
The CFTC announced that it added 22 unregistered foreign entities to its Registration Deficient List (RED List), a list of entities that are not appropriately registered with the CFTC as required by the Commodity Exchange Act (CEA) but have been identified as acting in a capacity that appears to require CFTC registration.
On August 24, 2020, the CFTC announced that it had added 22 unregistered foreign entities to its Registration Deficient List (RED List). The CFTC's RED List is a list of entities that are not appropriately registered with the CFTC as required by the Commodity Exchange Act (CEA) but have been identified as acting in a capacity that appears to require CFTC registration, such as trading binary options, foreign currency, or other products. These entities have been deemed to be working as intermediaries, meaning they act on behalf of others in connection with trading futures, swaps, or options.
The RED List is circulated to financial industry partners and complements registration information provided by the National Futures Association (NFA).
The CFTC also launched a redesigned RED List webpage.
The unregistered foreign entities added to the RED List are:
  • Allegra Markets
  • Capital 245
  • Coinexx
  • Crown Finance
  • EagleFX
  • Easy Line Pro
  • F1 Trade
  • FX Dealer
  • FXVIP
  • Global Capital Options
  • Grand Tradefx
  • IDB Traders/Baltic Concert LLP
  • MM Financial Experts
  • Omega Crypto
  • Omega Capitals
  • Platin CFD
  • Richmond FG
  • Top Option 360
  • Trade GF
  • Turnkey Forex
  • VIP Businesses
  • Wellington INV/Bali Limited LTD
The RED List webpage was launched in 2015 and now includes a list of 168 total entities. The webpage links to each entity's respective profile page which provides information such as:
  • The origin of the entity.
  • The type of product offered.
  • The date the entity was added to the RED List.
  • The risks associated with engaging with unregistered foreign entities.