Australian foreign exchange brokerage firm GO Markets revealed that it is acquiring Cyprus financial services provider Galactus Ltd to enter the European market and continue its global expansion.
Galactus Ltd is an investment company authorized by the Cyprus Securities and Exchange Commission (CySEC). It holds license 322/17 and was established in 2016.
It has been previously reported that Australia is about to implement foreign exchange and CFD regulatory measures similar to those previously implemented by European regulators. The local regulator, the Australian Securities and Investments Commission (ASIC), is expected to impose leverage restrictions and prohibit retail investors from trading binary options.
ASIC proposes a single leverage of 20: 1 for all currency pairs, a leverage of 15: 1 for stock indexes, a leverage of 10: 1 for commodities other than gold, a leverage of 20: 1 for gold, and crypto Assets have a leverage ratio of 2: 1 and stocks have a leverage ratio of 5: 1. These restrictions have not yet been implemented.
Because of these proposed restrictions, brokers need to expand their offerings and diversify their products to remain competitive. This is exactly what GO Markets has been doing in recent months.
The acquisition is the latest major milestone for GO Markets, which had just expanded its operations to the Middle East.
You can read our full GO Markets review here.