State Bank of Pakistan (SBP) on Wednesday declared use of forex trading platforms including OctaFX and Easy Forex illegal in Pakistan.
The central bank has issued an alert about unlawful offshore foreign currency trading websites, mobile apps, and platforms with a warning of legal action against the violators.
According to the central bank, a rising number of offshore foreign exchange trading websites, mobile applications, and platforms, like as OctaFX and Easy Forex, are marketing their products and services to Pakistanis.
These digital platforms use social media marketing to entice users to buy or invest in their products or services. Foreign exchange trading, leverage trading, and contract for differences are all instances of such goods, according to the advice.
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The central bank has issued a warning that purchasing products and services from the aforementioned platforms by anyone residing in Pakistan is illegal and against the law.
It goes on to say that anyone in Pakistan who purchases items or services from such offshore platforms and remits foreign exchange to them directly or indirectly through any payment channel risks being prosecuted for violating the Foreign Exchange Regulation Act, 1947. (FERA).
It went on to say that because such platforms are not regulated by the SBP or the Securities and Exchange Commission of Pakistan (SECP), the public should be cautious and avoid buying/investing in products and services from such offshore platforms to prevent possible losses and legal action under FERA.
OctaFX uses technology and knowledge to improve the trading experience of its clients. The broker offers dozens of trading instruments for trading in real time, as well as a copy trading service for those who want to profit from the decisions of experienced traders. Thus, fintech provides traders with knowledge and instruments that help them make the right investment decision.
