Bank Account for Forex Broker (Marshall Islands)

[Denisio]

Hi there,

I've been reading this forum for quite some time and it seems that there are quite a few people with lots of experience and knowledge thus I've come to you guys and girls to seek guidance.

I have a Marshall Islands-registered Forex brokerage, in the past, I had bank accounts in the Czech Republic and this was very well, but then I sold my brokerage and was out of the business for 2 years.

I re-opened a brokerage again, but find it much harder to open accounts than before.

Does anyone have any recommendations?

Intel:
- Forex brokerage registered in the Marshall Islands.

 

[Martin Everson]

World has moved on as you have found out. I think you will find no appetite in the west today for opening an account for a Marshall Island Forex brokerage.

Marshall Islands is also effectively a U.S vessel state.

 

[Denisio]

Actually there are 30+ active forex brokers registered in the marshall islands which have banking in Europe (slovakia, bulgaria and romania) but im looking for banking outside the EU.

Furthermore, all regulated brokers use saint vincent and the marshall islands, and a large chunk of their profits come from unregulated entities.

Any recommendations or if anyone offers account opening services it would be appriciated.

 

[Martin Everson]

Do you mind mentioning one of those brokers? Are these real brokers or scammers and laundromats for Russian money.

Anyway good luck finding a bank.

 

[Spinat]

Actually there are 30+ active forex brokers registered in the marshall islands which have banking in Europe (slovakia, bulgaria and romania) but im looking for banking outside the EU.

this sounds incredible good! but some names would be great and of course there are many banks worldwide which are happy to take on crypto business. The problem seems to find them!

 

[Denisio]

Literally every single one of them, its the most proffitable approach to business.

From Exness all the way to 24option, every regulated broker has an unregulated or very light regulated entity where most of their client deposits are made.

I know this because I held senior management roles in the FX industry for almost a decade.

 

[Martin Everson]

From Exness all the way to 24option, every regulated broker has an unregulated or very light regulated entity where most of their client deposits are made.

You mentioned Exness a Russian broker operating in Cyprus and 24option a binary options broker registered in Cyprus that I would really not want to discuss further...lol.

So I was not wrong with what I wrote below

Are these real brokers or scammers and laundromats for Russian money.

 

[Denisio]

You mentioned Exness a Russian broker operating in Cyprus and 24option a binary options broker registered in Cyprus that I would really not want to discuss further...lol.

So I was not wrong with what I wrote below

Firstly, Exness has a turnover of over 50m USD a year, 24Option has been in operations for a very long time and has a lifetime turnover of around 300m USD.

Secondly, just do your internal research and you will notice XM.com doing the exact same thing, FXPro and 95% of the FX brokers.

*24Option is now a Forex broker after CySec stopped providing Binary Option licenses.

So, no, you were not right that they were scam brokers and laundromats for Russian money.

The process I explained is a legal way brokers have operated for dozens of years now, they state all their CY, UK, AU regulations but send all of their client deposits to unregulated or light regulated jurisdictions.

 

[Denisio]

Question regarding AdvCash,

Does anyone use it to accept 3rd party payments?

 

[MrTony]

I think next, by this question:

1) You need to register at this unregulated brokers and see which banks are they use, all the more you know all of them. It will be great if you could then share with us)

2) Look at offshore banks, as Belize (if you don't panic according to the situation with Choice or Loyal Bank) or Ex-USSR banks (Kazakhstan, Armenia etc.).

3) White to all introducers, which you can find here and the internet.

 

[Denisio]

Hey Tony, thanks for joining the thread.

1. I did that, this is how I found banking in 2015 when I started the first brokerage. Everyone seems to be using Romanian and Bulgarian banks. I found a few off-shore ones but they wanted very big initial deposits to start the relationship and wanted a minimum account balance which was not logical.

I will update my progress, I am sure something positive will come along this week!

 

[MrTony]

But, If you will do this one more time now - I could find new options - new banks. There is a lot of changes from 2015: Romanian and Bulgarian banks don't accept offshores anymore.

According to my experience - offshore brokers set up UK companies and open accounts for them. But how they explain to the banks origin of funds - remain a puzzle for me.

 

[Denisio]

But, If you will do this one more time now - I could find new options - new banks. There is a lot of changes from 2015: Romanian and Bulgarian banks don't accept offshores anymore.

According to my experience - offshore brokers set up UK companies and open accounts for them. But how they explain to the bank's origin of funds - remain a puzzle for me.

No, actually I know plenty of Marshall Islands brokers who have banks in Romania and Bulgaria. The thing is, you need an agent to open the accounts. (I found one today, who came recommended from a business associate who has a Marshall Islands FX broker with accounts in Romania.)

I found plenty of places, 2 Polish banks accepted me, but they require a bank visit which I personally at this time cannot do due to the work I am doing for the firm (trainings etc), but they did say that a power of attorney can be signed with a 3rd party individual who can bring the docs, so if I don't find anything useful this week, I might proceed with that, but I have made very good progress with a few banks and agents so I think my "challenge" will be solved this week and I will update you all accordingly.

 

[MrTony]

No, actually I know plenty of Marshall Islands brokers who have banks in Romania and Bulgaria. The thing is, you need an agent to open the accounts. (I found one today, who came recommended from a business associate who has a Marshall Islands FX broker with accounts in Romania.)

In my opinion, these unregulated brokers opened their bank accounts in such banks earlier (when it was allowed to open accounts for offshores) and now they are staying in some quota of the acceptable high-risk companies, which this banks can let stay. Nowadays it's almost impossible to do that without opening a representative office or branch in this countries.

I found plenty of places, 2 Polish banks accepted me, but they require a bank visit which I personally at this time cannot do due to the work I am doing for the firm (trainings etc), but they did say that a power of attorney can be signed with a 3rd party individual who can bring the docs, so if I don't find anything useful this week, I might proceed with that, but I have made very good progress with a few banks and agents so I think my "challenge" will be solved this week and I will update you all accordingly.

Polish banks like to promise a lot of... but when you sent them documents their compliance department will sound the alarm. But, I hope you will be that lucky one, who could do this without problems.

 

[David97255]

The forex brokers I know are since a year in Georgia.
I know that they use an introducer.
If it can help check bank there.

 

[MrTony]

Not long ago Georgia passed new rules for FX activity. It is very hard to obtain FX license in Georgia (only one regulated broker in this country). Banks accept brokers, that obtain a license from Georgian financial authority.

 

[David97255]

Ok you surely right. Just know they was there until I stopped working with them since 8 monthes ago

 

[Denisio]

Yeah, I tried Georgia first, 2 rejected the other asked for a personal visit.

I made progress with Upay, they provide unique IBANs for a certain fee (dont know the fee yet) but you can use their general IBAN to recieve and send transactions.

I have a meeting today regarding banking and it seems I have solutions and will update when I have more details.

 

[Denisio]

In my opinion, these unregulated brokers opened their bank accounts in such banks earlier (when it was allowed to open accounts for offshores) and now they are staying in some quota of the acceptable high-risk companies, which this banks can let stay. Nowadays it's almost impossible to do that without opening a representative office or branch in this countries.




Polish banks like to promise a lot of... but when you sent them documents their compliance department will sound the alarm. But, I hope you will be that lucky one, who could do this without problems.

Thanks Tony. These days you need introducers for everything, I have a few, they all want to get paid from 1.500 to 5,000 per account, and thats something I cannot do at this point.

"When there is a will, there is a way" and I will find that way this way surely.

 

[MrTony]

As to Upay for outgoing wires, in the sender's name will be mentioned their company's name, not your.

You can find some introducers here at the forum. Maybe their fee will be smaller...