OctaFX is a trading platform that allows clients to trade Forex。Its official website emphasizes that the platform provides access to multiple assets, currencies and stocks, as well as other products.。It also offers low spreads and low commissions, with accounts now costing just $20.。

However, gold is not enough, and so is OctaFX。The broker is currently facing charges of operating illegally in India.。

ED to crack down on OctaFX's illegal forex trading in India

Forex platforms are tasked with facilitating transactions on behalf of clients and often include services such as educational and analytical tools。These tools help to better understand the graphical movements of specific currency pairs such as INR / USD。

ED, the Directorate of Enforcement of India, has begun cracking down on platforms that operate without a legal identity.。The ED found that some platforms misrepresented Indian customers and used their funds for purposes other than those stated to them.。Among them, OctaFX will use funds to buy cryptocurrency。

The funds received by OctaFX were transferred to the bank account of the bogus entity, and part of the funds were used to purchase the cryptocurrency.。Most of them were also found to have breached FEMA regulations and were conducting business without the permission of the RBI (Reserve Bank of India).。The list published in early June 2023 includes companies such as Guru Trade7 Limited, Rubik Trade and Trust Trade。

Is OctaFX legal in India?？

Questions have been raised about the legality of OctaFX。Of course, as one of India's leading forex brokers, OctaFX defends that it is licensed to serve clients in jurisdictions where its operations are unrestricted.。Moreover, some regulators often set strict rules and regulations that force platforms to work under strict trading conditions.。

This would make sense if OctaFX did not add that it holds FSCA and CySEC licenses。OctaFX's case of illegal foreign exchange trading will only be more convincing if it is assumed that it selectively chooses not to comply with the regulations of a certain country - in this case, India -。

The previous notice clearly stated that OctaFX had no legal status in India and violated FEMA regulations.。OctaFX and related entities caught for illegal online forex trading。OctaFX says it operates in India and intends to continue doing business there.。

Regarding OctaFX's status, RBI clarified that if a platform does not appear on their list, it should not be considered legitimate.。A platform, legal or not, will only appear on the RBI's list after it has received attention and started an investigation, and platforms that do not appear on the list may not yet be fully investigated.。

Conclusion

The Indian Law Enforcement Agency does not intend to stop the operation for the time being and will continue to crack down on illegal foreign exchange operators.。OctaFX gets attention for not obtaining license from RBI and violating FEMA regulations。As the platform continues to operate in India, traders are advised to exercise due caution before using the platform。

The license is equivalent to providing an umbrella for customers. In this case, if any type of brokerage platform shuts down, customers will largely face the risk of loss of funds, and this does not affect OctaFX. Achievements in registration in the jurisdiction where the license is held。