SCB · The Bahamas
Securities Commission of The Bahamas
A well-established offshore regulator operating under the Securities Industry Act 2024. It requires real local presence, publishes enforcement decisions, and has a dedicated registration category for CFD dealers.
- Retail leverage
- No ESMA-style retail caps. Brokers set leverage.
- Compensation
- No investor compensation scheme.
- Capital
- Reported minimum of US$300,000 for dealing (US$120,000 for arranging deals). The Commission can require more based on the firm's risk.
- Supervision & substance
- A physical office in The Bahamas, a resident director and CEO, and an independent resident compliance officer and MLRO. Compliance can only be outsourced to a Bahamian provider.
- Stocks, futures & crypto
- Registration covers securities and derivatives. Crypto is regulated separately under the Digital Assets and Registered Exchanges (DARE) Act 2024, which added rules on custody, staking, and stablecoins after FTX.
- Trade-off
- No compensation scheme or leverage caps. The Bahamas was home to FTX's main entity when it collapsed in 2022, and rewrote its crypto rules in response.
What it means for you: A credible offshore home with genuine substance requirements, in the same league as other strong international centres.
Common questions about SCB
Is SCB a good regulator for forex brokers?
In our view, SCB is a strong international regulator (Tier 2 · Strong international). A well-established offshore regulator operating under the Securities Industry Act 2024. It requires real local presence, publishes enforcement decisions, and has a dedicated registration category for CFD dealers. A credible offshore home with genuine substance requirements, in the same league as other strong international centres.
What leverage can brokers regulated by SCB offer retail clients?
No ESMA-style retail caps. Brokers set leverage.
Is there a compensation scheme if a broker regulated by SCB fails?
No investor compensation scheme.
Does SCB regulate stocks, futures, or crypto?
Registration covers securities and derivatives. Crypto is regulated separately under the Digital Assets and Registered Exchanges (DARE) Act 2024, which added rules on custody, staking, and stablecoins after FTX.
A licence only protects you if your account is with the entity that holds it. Many broker groups hold several licences and onboard clients through an offshore entity. Check your client agreement, and verify the licence on the regulator's own register.
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Tiers and ratings are M1 Strategic's own assessment, based on public sources listed in our regulator guide. Rules change: always verify with the regulator directly. Not financial advice.