Mumbai: The RBI on Friday has added 14 new entities to its ‘alert list’ of those providing unauthorised forex-trading platforms to Indian citizens online. RBI rules limit foreign exchange remittance for specific purposes and exclude speculative activity like gambling. Residents can undertake forex transactions only with authorised persons and for permitted purposes.
The updated list includes BD Swiss, Cabana Capital, FP Markets, FX Western, FXPrimus, Infinox, IronFx, MetaTrader 4, Pepperstone, Pocket Option,l Quotex, Tickmill, Vantage Markets and VT Markets.
The RBI has said that before using any trading platform, users should ascertain their legal status from the list of authorised persons and authorised exchange trading platforms on RBI’s website.“Residents are cautioned against entities/platforms/websites which appear to be promoting such unauthorised entities/ETPs, including through advertisem*nts of such unauthorised entities or claiming to be providing training/advisory services (for example, on social media including video streaming platforms) by providing for ‘demo trading’ in ‘simulated environment’ and such other indirect means for facilitating and doing forex trading through unauthorised entities,” it said.
The RBI has said citizens cannot undertake forex transactions for purposes other than those permitted under the FEMA. The trading platforms not authorised by the RBI will be liable for penal action.
FAQs
The analysis includes apps like Zerodha, Upstox, Angel Broking, 5paisa, Motilal Oswal, ICICI Direct, HDFC Securities, Sharekhan, Axis Direct, and IIFL Securities. These platforms are not exclusively for forex trading but allow trading currency derivatives on NSE and BSE, the legal avenues for forex trading in India.
Is OctaFX banned in India? ›
OctaFX's Continued Commitment to India
Despite the rumors and concerns, OctaFX continues to serve its Indian clientele, with no indications of halting its services. Traders are advised to stay informed and cautious, especially regarding rumors about fake trading apps and potential bans.
Is Quotex legal in India by RBI? ›
Key Takeaways. Quotex does not possess any legal authorization or license from Indian financial regulatory bodies as of 2024.
Is FXTM legal in India? ›
Unfortunately, FXTM does not accept clients from India.
FXTM focuses mainly on CFD trading.
Which is the most trusted forex trading app in India? ›
Best Forex Trading Apps
- IG - IG Trading app, MetaTrader mobile.
- Saxo - SaxoTraderGO mobile app, MetaTrader mobile.
- CMC Markets - Next Generation mobile, MetaTrader mobile.
- Charles Schwab - thinkorswim app.
- Interactive Brokers - IMPACT app, IBKR mobile app.
- FOREX.com - FOREX.com mobile, MetaTrader mobile.
Yes, forex trading is legal in India but with certain restrictions. As stated earlier, forex trading can only be done through a registered Indian broker. Additionally, forex trading is limited to specific currency pairs such as USD/INR, EUR/INR, JPY/INR, and GBP/INR.
What is the punishment for forex trading in India? ›
Exchanging currency to foreign pairs not permitted is also a punishable offence. If the person has traded in an illegal manner, the individual will be fined up to Rs 10,000 for the day in which they have traded.
Is OctaFX legal in the US? ›
OctaFx is a Regulated Broker
OctaFx is regulated by two top-tier financial regulators: The Financial Services Authority of Saint Vincent and the Grenadines (FSA SVG) The Cyprus Securities and Exchange Commission (CySEC)
Is Zerodha legal in India? ›
The Legal Trading Apps in India
These apps are regulated by the Securities and Exchange Board of India (SEBI) and follow all the necessary guidelines and regulations set by the government. Some of the popular legal trading apps in India include Zerodha, Upstox, and 5Paisa.
What is the safest trading platform in India? ›
Zerodha Kite, Angel One, and Finq.com are some of the safest trading applications in India. And if you are looking for more, you can check the list above.
Forex trading itself is not a scam, but there are certainly scammers who use the industry as a way to take advantage of unsuspecting investors. These scams come in many forms, from unscrupulous brokers to fake trading systems.
Is Quotex real or fake in India? ›
In conclusion, Quotex Trading App is legal in India and offers a reliable and secure platform for traders to access various financial markets. While it may not be directly regulated by SEBI, it does have a valid international license from IFMRRC, which ensures a level of reliability and security.
Is it legal to use Exness in India? ›
Is Exness legal in india. Exness is not a regulated forex broker in India. The Securities and Exchange Board of India (SEBI) is the country's financial regulatory body and it only allows trading with forex brokers that are registered with it.
Is it safe to trade forex in India? ›
It is permissible to trade Forex on Indian exchanges such as the BSE, NSE, and MCX-SX. However, you can hit it big or lose it all in the blink of an eye. You can buy or sell a currency based on whether you think its value will rise or decline.
Is IG forex broker legal in India? ›
Yes, forex trading is legal in India, but it is subject to certain restrictions set by the Foreign Exchange Management Act (FEMA) and regulated by the Reserve Bank of India (RBI). Forex transactions can only be undertaken with authorized persons and for permitted purposes.
Is forex legal in India RBI? ›
Can a resident person undertake forex transaction? Answer: Resident persons are permitted to undertake forex transactions only with authorised persons and for permitted purposes, in terms of the Foreign Exchange Management Act, 1999 (FEMA).
Does Zerodha allow forex trading? ›
Open an instant account with Zerodha and start trading today. Yes, Zerodha offers trading in forex (currency). You can trade in currency derivatives at BSE and NSE exchanges using the Zerodha trading account. The customer has to enable the Currency trading segment before start trading in the currency.
Is Zerodha Authorised by RBI? ›
Zerodha, a technology-driven zero brokerage firm has got licence from the Reserve Bank of India to operate as a non-banking finance company in the country.
Is Upstox approved by the RBI? ›
Upstox counts Mr. Ratan Tata among its investors. Not sure how many brokers come with that sort of backing. Yes Upstox is completely legal in India and has been approved by RBI, SEBI and exchanges to provide trading in stocks, forex and commodities in India.
