About: The Cyprus Securities and Exchanges Commission is the financial regulatory authority in Cyprus. As the first competent authority that regulated the Binary Options as an investment service, the low company tax rates, the ideal location of the island and the fact that there is a large work force that has rich financial background and experience it became a hub for many Forex Brokers. - Comparing to some competent authorities, CySEC is relatively active in terms of inspecting Forex Brokers and informing investors for suspicious activities. It is also worth noting that CySEC follows all the guidelines set by MiFID (the Markets in Financial Instrument Directive) given that Cyprus became a member of the EU in 2004. In the event that a CySEC regulated Broker goes insolvent then all the retail clients are covered by the Investor Compensation Fund up to €20,000.