Forex trading is legal in Gibraltar and operates under a comprehensive regulatory framework overseen by the Gibraltar Financial Services Commission. The GFSC regulates the financial services industry in Gibraltar with the aim to protect consumers, enhance the reputation of Gibraltar as a quality financial services centre and promote good business (1). The GFSC supervises investment firms, banks, payment services providers, and other financial entities, with firms required to meet prescribed standards both at application stage and on an ongoing basis (1).
Investment firms providing forex services must obtain Part 7 permission from the GFSC under the Financial Services Act 2019 and comply with the Financial Services Investment Services Regulations 2020. These regulations implement Markets in Financial Instruments Directive standards, requiring firms to meet stringent capital requirements, organizational standards, and conduct of business rules (2). The GFSC issues letters of authorization and licenses detailing the specific services firms are permitted to provide, with investment firms required to be members of the Investor Compensation Scheme (1).
"The Gibraltar Financial Services Commission regulates the financial services industry in Gibraltar. Their aim is to protect consumers, enhance the reputation of Gibraltar as a quality financial services centre and promote good business."
Gibraltar-licensed forex brokers benefit from EU-aligned regulatory standards and passporting rights that allow them to offer services throughout the European Economic Area. Firms must maintain minimum capital requirements, implement robust risk management procedures, ensure client asset protection through segregated accounts, and comply with anti-money laundering regulations (2). The GFSC's regulatory objectives include promotion of market confidence, reduction of systemic risk, protection of consumers, and reduction of financial crime, with supervisory work focusing on firm governance and risk identification (1).
Source:
https://www.gibraltarfinance.gi/about-us/regulator-and-oecd
https://www.gibraltarlaws.gov.gi/legislations/financial-services-investment-services-regulations-2020-4805/download
Last updated: 15-10-2025 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.
