Afterprime: A Closer Look at Its Licenses

When selecting a broker, understanding its regulatory standing is an important part of assessing overall reliability. For traders seeking to protect their capital, ensuring that a platform operates under recognised and stringent oversight can make all the difference. Keep reading to learn more about Afterprime and its licenses.

Afterprime has received a WikiScore of 7.15/10 by WikiFX, a global broker regulatory query platform that evaluates brokers based on factors such as license status, trading environment, risk control systems, and business operations. This score suggests a moderate level of reliability, but a deeper look into the companys regulatory structure is necessary for a full picture.

Cyprus Securities and Exchange Commission (CySEC) is one of the primary licenses held by Afterprime. This regulatory body is responsible for overseeing investment services in Cyprus, ensuring transparency and legal compliance. Afterprime holds a Straight Through Processing (STP) license under license number 368/18, and it is currently classified as regulated by CySEC. This license provides a degree of regulatory security, especially for traders within the European Economic Area.

In addition, Afterprime holds a license from the Seychelles Financial Services Authority (FSA), an offshore regulatory body that supervises non-bank financial services in Seychelles. The broker is registered under license number SD057 with a Retail Forex License. While this license is valid, traders should be aware that offshore licenses often involve less stringent oversight compared to those from major financial hubs. The offshore nature of the FSA license should be taken into account when evaluating the brokers risk profile, especially given the history of forex scams associated with poorly regulated jurisdictions.

Afterprime also claims to be regulated by the Australian Securities and Investments Commission (ASIC), one of the most reputable financial regulators globally. However, WikiFX has flagged this ASIC license (No. 000404300) as unverified, meaning there is no clear evidence that Afterprime is officially authorized by ASIC at this time. Unverified licenses can present a risk to investors, as they can be cited for the sake of legitimacy without real backing. This point is worth careful consideration for anyone looking to invest through this platform, particularly in an environment where forex scams have become increasingly sophisticated.

While Afterprime appears to be licensed by recognized authorities like CySEC and FSA, the unverified ASIC license may raise some concerns. Traders are encouraged to do their own due diligence, verify claims directly with regulatory agencies, and remain cautious when evaluating any broker's credibility.

Understanding where a broker is licensed as well as how strong that regulatory body is crucial in avoiding possible forex scams or trading mishaps. In the case of Afterprime, while there are some regulatory frameworks in place, the presence of an unverified license and an offshore registration should remind investors to proceed with care.