10 Best Forex Brokers in Cyprus for 2025

Yes, Forex trading is legal in Cyprus. The Cyprus Forex trading market legality is regulated by the Cyprus Securities and Exchange Commission (CySEC). CySEC ensures that Forex brokers engage with Cyprus Forex traders legally by checking their compliance with laws (like AML laws), safety protections (like segregated bank accounts), and transparency.

CySEC upholds the legality of the Cyprus Forex trading market. Established in 2001, CySEC collaborates with the European Securities and Markets Authority (ESMA) to harmonize financial regulations between the Forex market in Cyprus and the European Forex market.

The Cyprus Forex trading legality is regulated by the Investment Services and Activities and Regulated Markets Law of 2017, providing the foundation for CySEC’s regulatory framework. CySEC enforces Anti-Money Laundering (AML) regulations to prevent illicit activities in the Forex market.

In 2021, CySEC fined the broker Depaho Ltd €270,000 for multiple regulatory breaches, including failure to act in the best interests of clients and inadequate compliance procedures.

To verify CySEC authorization of Forex brokers in Cyprus, first, look for the broker’s CySEC license number. Second, go to the CySEC website. Third, enter the broker’s CySEC license number. Finally, match the broker’s information with the CySEC database information.

First, search for the Forex broker’s CySEC license number, usually found at the bottom part (footer) of the Forex broker’s homepage. The CySEC license number is a unique identifier (License Number XXX/XX) assigned by CySEC to regulated brokers in Cyprus.

Second, go to the CySEC website and use the search box located on the top-right corner of the webpage. Insert in the textbox the CySEC license number (using the format “XXX/XX”) of the forex broker you want to verify the CySEC license of.

Finally, check the information of the Forex broker by verifying that the broker’s business name, address, and license details match those provided on the CySEC website. This includes verifying the broker’s headquarters location and the type of activities the broker is authorized to carry out in Cyprus. The CySEC website displays the business name of the broker, and not the broker’s brand name. For example, XM business name in Cyprus is “Trading Point Of Financial Instruments Ltd”.

The Cyprus Securities and Exchange Commission (CySEC) is important because it ensures fair market conditions, oversight, and protection to Forex traders based in Cyprus. CySEC requires Forex brokers in Cyprus to treat customers fairly, store traders’ money in segregated client accounts, and provide transparent Forex trading services.

CySEC regulation is important as it enforces strict leverage controls to protect inexperienced traders, provides an investor compensation fund (ICF) up to €20,000 for broker insolvencies, and has the power to fine and ban fraudulent brokers from the Cyprus trading market. CySEC ensures Forex brokers in Cyprus comply with local laws such as the Investment Services and Activities and Regulated Markets Law of 2017, ensuring minimum standards, transparency, fairness, and efficiency of the financial markets in Cyprus.

Under MiFID II and ESMA regulations, CySEC enforces investor protection measures, including transparency requirements and suitability assessments to ensure that Forex brokers act in the best interests of their clients.

There are six factors to consider when choosing the best Forex broker in Cyprus. The factors to choose the best Forex broker in Cyprus are listed below.

1. Check the CySEC Regulation of the Broker: Checking CySEC regulation helps traders understand if a broker is authorized to offer Forex and CFD trading services in Cyprus, as well as ensuring that the broker respects traders’ privacy when complying with KYC laws.
2. Check the Cyprus FX Broker Reputation: Check if the Forex broker has negative reviews from Cypriot users on websites like Trustpilot, and verify on the CySEC official website if the broker has received any sanctions or complaints in the past.
3. Check the Spreads: Check the minimum and average spreads of the Cyprus Forex broker. The average spread in the trading industry is around 1 pip calculated on the benchmark EUR/USD Forex pair.
4. Check Technical Features: Check if the Forex broker has servers located near Cyprus or in Europe. Trading servers located close to Cyprus help Cypriot traders reduce latency time, improving the slippage ratio of Forex trades.
5. Check the Forex Broker’s Presence in Cyprus: Check if the Forex broker has offices in Cyprus. Offices in Cyprus ensure the broker has a physical location, allowing Cypriot authorities to better oversee their financial activities.
6. Check for Liquidity Providers: Check the Cyprus broker’s liquidity providers and their quality. High-quality liquidity providers enable Forex brokers to offer lower and more stable spreads, even during periods of high market volatility.

The table to compare Forex Brokers in Cyprus is shown below.

brokers	Spreads from	Min. dep	Bonus	Accepts Cypriot traders
Pepperstone	0 pips	$0	No	Yes
XM	0 pips	$5	No	Yes
IC Markets	0 pips	$0	No	Yes
fp-markets	0 pips	$100	No	Yes
eToro	1 pip	$100	No	Yes

The table to compare Forex Brokers in Cyprus for spread is shown below.

brokers	EUR/USD avg spread	GBP/USD avg spread	EUR/GBP avg spread
Pepperstone	0.09 pips	0.38 pips	0.41 pips
XM	0.1 pips	0.2 pips	0.2 pips
IC Markets	0.62 pips	0.82 pips	0.27 pips
fp-markets	0.09 pips	0.49 pips	0.35 pips
eToro	1 pip	2 pips	2 pips

How is the Comparison of Forex Brokers for Commission?

The table to compare Forex Brokers in Cyprus for commission is shown below.

brokers	Commission per lot traded	Inactivity fee	Currency Conversion fee
Pepperstone	$7 round turn	No	Yes
XM	$7 round turn	$5/month ($15 for the first month)	No
IC Markets	$7 round turn	No	No
FP Markets	$6 round turn	No	Yes
eToro	No	$10/month	Yes

The table to compare Forex Brokers in Cyprus for popularity is shown below.

brokers	Number of customers	Number of app downloads
Pepperstone	~300,000+	~500,000+
XM	N/A	1.000.000+
IC Markets	N/A	500,000+
FP Markets	N/A	N/A
eToro	~32,000,000+	~10,000,000+

The table to compare Forex Brokers in Cyprus for inactivity fee is shown below.

brokers	Inactivity fee	Inactivity fee activation time
Pepperstone	No	No inactivity fee
XM	$5/month ($15 for the first month)	12 months
IC Markets	No	No
FP Markets	No	No
eToro	$10/month	12 months

The table to compare Forex Brokers in Cyprus for currency pairs is shown below.

brokers	Number of currency pairs
Pepperstone	70
XM	57
IC Markets	63
FP Markets	70
eToro	47

The table to compare Forex Brokers in Cyprus for minimum deposit is shown below.

brokers	Minimum Deposit
Pepperstone	$0
XM	$5
IC Markets	$0
FP Markets	$100
eToro	$100

The best Forex broker for beginners in Cyprus is eToro. eToro is considered the best Cyprus Forex broker for beginners due to its advanced social/copy trading features, low minimum deposit, and user-friendly trading platform.

Alternatives to eToro as the best Forex brokers for beginners in Cyprus are FxPro for its wide range of trading platforms, XM for its extensive educational resources, and FBS for its low minimum deposit from $10.

The best Forex broker for volume ranking in Cyprus is IC Markets. IC Markets is a Forex broker with an average daily transaction volume (ADVT) of 18.9 billion USD, meaning that IC Markets manages approximately 6.9 trillion USD in Forex transactions on average every year.

Other Cypriot Forex brokers with high AVDT are Forex.com, with an average daily transaction volume of 15.5 billion USD, XM with an AVDT of 13.4 billion USD, and HF Markets, with an AVDT of 11.5 billion USD.

Criteria for ranking Forex brokers for volume in Cyprus is the average daily transaction volume (AVDT). The AVDT is a metric showcasing the total value of all Forex transactions and Forex trades processed by the servers of the Forex broker.

To open a Forex trading account with a broker in Cyprus, first go to the official website of the Cyprus Forex broker and ensure it is legitimate. Second, open a trading profile. Third, verify your identity. Fourth, make your first deposit. Finally, wait for the transaction to be processed.

The first step to open a Forex trading account as a trader in Cyprus is to visit the broker’s official website homepage. Make sure to check the CySEC regulation of the Forex broker of your choice before creating a demo account.

Secondly, open a trading profile. Opening a demo account in Cyprus with a Forex broker requires an email, a password, and sometimes a valid phone number.

Thirdly, verify your identity with the Forex broker. Forex brokers in Cyprus respect international AML laws and follow Know Your Customer (KYC) guidelines, which require Forex traders based in Cyprus to submit proof of address with utility bills or bank statements, and proof of identity with an ID card or passport. The KYC verification process in Cyprus requires between 1 to 5 business days to be processed.

Fourth, deposit money into your account. Forex brokers in Cyprus require traders to meet the first minimum deposit amount required to set up a Forex account. The minimum deposit is often expressed in USD or EUR, which means traders have to calculate the amount to deposit to meet the minimum requirement once the money reaches the trading account.

Finally, wait for the deposit to be processed. The deposit processing time with Cyprus Forex brokers varies between a few hours and a couple of days, depending on the method chosen.

The amount of money needed to start a Forex trading account in Cyprus ranges from $5 to $1,000. The minimum amount to open a Cyprus Forex trading account is $5 with a cent or nano account, increasing to $1,000 for Forex traders in Cyprus wanting to trade with lower or no leverage.

The minimum amount needed to open a Forex trading account in Cyprus is $5 with a Cent Account with brokers like XM. Forex Cent trading accounts are trading accounts that measure the account balance in cents and allow traders to open trades with less than $1.

The minimum amount required to trade on a Standard Forex trading account with a CySEC-regulated Forex broker is approximately $33. Forex trading accounts in Cyprus are limited to 1:30 leverage (3.33% margin), and standard trading accounts don’t allow traders to open trades with volumes below 1 micro lot, or 1,000 units of the base currency. The margin needed to open a Forex trade with a standard trading account in Cyprus is around $33 (3.33% margin of $1,000). CySEC-regulated Forex brokers like FXTM require at least $33 to open a trade but suggest at least a deposit of $200 for sustainable trading.

The minimum amount to open a Forex trading account with no leverage in Cyprus is $1,000, as it allows for trading with 1 micro lot. Micro lots are available with most of the best Forex brokers in Cyprus, such as XM and IC Markets.

The payment options accepted by Forex Brokers in Cyprus are listed below.

• Wire transfers: Wire transfers are consistently available with Forex brokers regulated in Cyprus. They are the most widely used and dependable deposit method for traders based in Cyprus.
• Credit Cards: Credit cards remain the quickest way to fund accounts with Cypriot Forex brokers. Traders in Cyprus can select from Visa and Mastercard for credit card deposits, with Maestro being an uncommon option.
• Debit Cards: Debit cards offer a versatile deposit option in Cyprus, allowing traders to deposit and withdraw any desired amount. Visa and Mastercard debit card deposits are widely accepted by Forex brokers in Cyprus.
• eWallets: eWallets are an additional deposit method offered by Forex brokers in Cyprus, including options such as Skrill, Neteller, and PayPal.

Wire transfers are reliable and widely accessible in Cyprus, though they tend to be slower and may incur fees for international transactions. Wire transfers are classified as international when they are processed outside the region or country where the Cypriot Forex broker is based. For example, a trader located in Vietnam might face international wire transfer fees when setting up an account with a Cypriot Forex broker. Traders living inside the European Union won’t be charged international wire transfer fees when using a Forex Brokers regulated in Cyprus.

Debit card deposits remain one of the most flexible payment methods in Cyprus, being quick and typically associated with low fees. The primary distinction between using credit cards and debit cards in Cyprus is that credit card deposits are faster but often come with additional withdrawal conditions.

eWallets are the quickest deposit method to process in Cyprus; however, compared to wire transfers and debit/credit cards, they often carry higher fees ranging from 1–3% of the transaction amount.

The disadvantages of Forex brokers in Cyprus are listed below:

• High Competition: The large number of Forex brokers operating in Cyprus due to favorable regulatory conditions leads to intense competition. This may result in aggressive marketing tactics and difficulty in distinguishing reputable brokers from less reliable ones.
• Limited Leverage: CySEC, in line with ESMA regulations, imposes a maximum leverage limit of 1:30 for retail clients. While this protects inexperienced traders from excessive risk, it may limit opportunities for those seeking higher leverage.
• Regulatory Changes: Frequent updates to CySEC regulations to comply with EU directives can lead to sudden changes in trading conditions, which may affect trading strategies and broker operations.
• Potential for Less Reputable Brokers: Cyprus is the country of choice for most forex brokers wanting to be regulated within the European Union. Despite the regulatory oversight from the CySEC, some forex brokers in Cyprus may not fully comply with regulations, potentially leading to issues like poor customer service or unethical practices.

Yes, Forex traders pay taxes in Cyprus. Forex trading taxes in Cyprus are generally treated as personal income tax or corporate tax, depending on whether the trader is an individual or operates as a business entity. Cyprus Forex traders benefit from a low corporate tax rate and specific allowances, making it a favorable location for Forex trading.

The personal income tax in Cyprus varies depending on the individual’s total annual income. For example, no income tax is applied to individuals earning up to €19,500 annually. For incomes between €19,501 and €28,000, the tax rate is 20%, rising progressively to 35% for incomes exceeding €60,000.

For businesses, Cyprus has one of the lowest corporate tax rates in Europe at 12.5%. Forex traders operating as a registered company may pay this corporate tax rate on their net profits. Additionally, Cyprus has no capital gains tax on profits from securities trading, including Forex, unless the gains are linked to immovable property in Cyprus.

Cyprus-based Forex traders also benefit from the country’s extensive network of double-taxation treaties, reducing or eliminating tax liabilities on foreign-sourced income.

The table with the best MetaTrader brokers in Cyprus is shown below.

brokers	MT4 availability	MT5 availability	Premium tools for MetaTrader	MetaTrader demo	Minimum deposit
Pepperstone	Yes	Yes	Yes	Yes	$0
XM	Yes	Yes	No	Yes	$5
IC Markets	Yes	Yes	Yes	Yes	$0
FP Markets	Yes	Yes	Yes	Yes	$100
FxPro	Yes	Yes	No	Yes	$100

MetaTrader is a widely-used trading platform in Cyprus and is provided by many Forex brokers regulated by the Cyprus Securities and Exchange Commission (CySEC). MetaQuotes, the company behind MetaTrader, offers both MetaTrader 4 (MT4) and MetaTrader 5 (MT5) platforms, catering to Forex traders’ diverse needs in Cyprus.

The Forex trading statistics for Cyprus are listed below.

• Forex Brokers Headquarters: Cyprus is home to over 200 Forex brokers regulated by the Cyprus Securities and Exchange Commission (CySEC), making it a significant hub in the Forex industry.
• Domestic Trading Activity: Cyprus has a small domestic population, the country has a high concentration of Forex trading activities due to the large number of brokers operating within its jurisdiction.
• Investor Compensation Fund (ICF): Cyprus offers an investor compensation fund up to €20,000 per client, which adds to the attractiveness of Cyprus-based brokers for international traders.

The terms of a Cyprus-specific Forex terminology traders should learn are listed below.

• CySEC (Cyprus Securities and Exchange Commission): CySEC refers to Cyprus’s financial regulatory body that oversees Forex brokers and ensures they comply with strict standards to protect traders.
• CIF (Cyprus Investment Firm): CIF refers to companies authorized by CySEC to provide investment services, including Forex trading, within Cyprus and across the European Union under MiFID II.
• MiFID II Passporting: This refers to the ability of Cyprus-regulated Forex brokers to offer services throughout the European Economic Area (EEA) without needing additional licenses, thanks to the EU’s MiFID II directive.
• Investor Compensation Fund (ICF): The ICF provides protection to retail clients of Cyprus Investment Firms, offering compensation up to €20,000 in the event a broker becomes insolvent.
• Negative Balance Protection: A regulatory requirement in Cyprus ensuring that traders cannot lose more money than they have deposited, protecting them from negative account balances due to high market volatility.

Yes, Cyprus Forex traders can use various trading strategies, including scalping, hedging, and algorithmic trading, depending on the policies of their chosen broker.

Forex traders based in Cyprus should verify with their broker if they allow specific types of trading strategies. Some Cyprus-regulated Forex brokers may have restrictions on strategies like scalping or hedging.

Cyprus Forex traders should monitor economic news related to Cyprus and the Eurozone to assess the impact of geopolitical and economic events on the EUR/USD exchange and their trading strategies.

The countries similar to Cyprus for Forex trading are Malta, United Kingdom, and Luxembourg, considering leverage ratios, CFD trading status, investor compensation schemes, negative balance protection availability, and the presence of a retail/professional Forex trader status.

The most similar countries to Cyprus for Forex trading are listed below.

• Malta: Malta is the most similar country to Cyprus for Forex trading. The forex trading regulation in Malta shares many similarities with those in Cyprus, such as leverage limits of 1:30, similar CFD conditions, negative balance protection, and an investor compensation scheme up to €20,000. The maltese forex regulation (MFSA) is the most popular alternative to the CySEC for forex brokers wanting to be regulated in Europe.
• United Kingdom: The United Kingdom is similar to Cyprus in terms of trading conditions. The trading conditions of Forex brokers in the UK include 1:30 leverage, strict oversight on CFD assets, negative balance protection, and a distinction between retail and professional trader statuses.
• Luxembourg: Luxembourg is comparable to Cyprus regarding investor protection schemes. The compensation scheme offered by Forex brokers in Luxembourg goes up to €20,000, and they follow similar regulatory standards under MiFID II.