Forex Regulation by Country

Not all regulators are equal. Tier-1 authorities like the FCA and ASIC enforce strict protections. Offshore regulators offer flexibility but fewer safeguards. Know the difference before you deposit.

12 Regulators covered

3 Tier levels

2026 Updated

GLOBAL OVERVIEW

Where Forex Is Regulated

Click a pin to read the full regulatory guide.

World map showing forex regulation regions

FCATier 1 ASICTier 1 FINMATier 1 FFAJTier 1 IIROCTier 1 CBITier 1 CySECTier 2 DFSATier 2 MASTier 1 FSCATier 2 VFSCTier 3 FSATier 3

Tier 1 Tier 2 Tier 3

REGULATOR PROFILES

Compare Forex Regulators

Key facts on each regulator at a glance. Tap a card for the full guide.

🇬🇧 Tier 1

FCA

Financial Conduct Authority

United Kingdom

Compensation £85,000 (FSCS)

Max Leverage 30:1

Read full guide

🇦🇺 Tier 1

ASIC

Australian Securities & Investments Commission

Australia

Compensation No cap (AFCA)

Max Leverage 30:1

Read full guide

🇨🇭 Tier 1

FINMA

Swiss Financial Market Supervisory Authority

Switzerland

Compensation CHF 100,000

Max Leverage No statutory cap

View glossary entry

🇯🇵 Tier 1

FFAJ

Financial Futures Association of Japan

Japan

Compensation Full segregation

Max Leverage 25:1

View glossary entry

🇨🇦 Tier 1

IIROC

Canadian Investment Regulatory Organization

Canada

Compensation CAD $1M (CIPF)

Max Leverage Varies

Read full guide

🇮🇪 Tier 1

CBI

Central Bank of Ireland

Ireland

Compensation €20,000 (ICF)

Max Leverage 30:1

View glossary entry

🇨🇾 Tier 2

CySEC

Cyprus Securities & Exchange Commission

Cyprus / EU

Compensation €20,000 (ICF)

Max Leverage 30:1

View glossary entry

🇦🇪 Tier 2

DFSA

Dubai Financial Services Authority

United Arab Emirates

Compensation None (strict segregation)

Max Leverage 50:1

View glossary entry

🇸🇬 Tier 1

MAS

Monetary Authority of Singapore

Singapore

Compensation None (strict segregation)

Max Leverage 50:1

View glossary entry

🇿🇦 Tier 2

FSCA

Financial Sector Conduct Authority

South Africa

Compensation None

Max Leverage No statutory cap

View glossary entry

🇻🇺 Tier 3

VFSC

Vanuatu Financial Services Commission

Vanuatu

Compensation None

Max Leverage No cap (500:1+)

Read full guide

🇻🇬 Tier 3

FSA

Financial Services Authority (SVG)

St. Vincent & the Grenadines

Compensation None

Max Leverage No cap

View glossary entry

CLASSIFICATION

How Regulator Tiers Work

The forex industry informally classifies regulators into three tiers based on enforcement strength, capital requirements, and trader protections. This is not an official designation, but it is widely used by traders and brokers alike.

Tier	Characteristics	Examples	Risk Level
Tier 1	Strict capital requirements ($1M+), mandatory compensation schemes, leverage caps, negative balance protection, independent dispute resolution	FCA, ASIC, FINMA, MAS, IIROC, FFAJ	Lowest
Tier 2	Strong frameworks via EU directive (MiFID II), investor compensation funds, leverage caps, but enforcement varies by member state	CySEC, DFSA, FSCA, CNMV (Spain)	Low-Medium
Tier 3	Lower capital requirements, no mandatory compensation, no leverage caps, faster licensing, lighter enforcement	VFSC, FSA (SVG), IFSC (Belize), BVIFSC	Higher

A broker holding a tier-3 license is not necessarily unsafe. Many reputable brokers use offshore entities for high-leverage accounts while maintaining tier-1 licenses for their core operations. What matters is which entity holds your account.