The big picture
- Legal across the EU under MiFID II.
- Common retail rules: 1:30 leverage cap on majors, 50% close-out, negative balance protection, no bonuses.
- Some countries add stricter marketing or product rules.
Country overview
| Country | Regulator | Notable points |
|---|---|---|
| Germany | BaFin | No additional payment obligations since 2017 — guide |
| France | AMF / ACPR | Advertising restrictions on high-risk products — guide |
| Spain | CNMV | Restrictions on CFD marketing to retail — guide |
| Italy | CONSOB | Blocks unauthorised websites — guide |
| Ireland | Central Bank of Ireland | Few local brokers; many passported — guide |
| Netherlands | AFM / DNB | Box 3 taxation — guide |
| Poland | KNF | Large local market — guide |
| Belgium | FSMA | Strict limits on leveraged OTC derivatives for retail — guide |
| Austria | FMA | 27.5% tax rate — guide |
| Portugal | CMVM | 28% flat tax — guide |
| Sweden | Finansinspektionen | 30% capital gains tax — guide |
| Cyprus | CySEC | Hub for EU brokers — guide |
| Switzerland (non-EU) | FINMA | Different rules — guide |
Passporting
A broker authorised in one EEA country can usually offer services in others after notifying the host regulator. The host country's conduct and marketing rules may still apply.
Staying safe anywhere in Europe
- Check the broker on the home regulator's register.
- Confirm it's notified to operate in your country.
- Read the client agreement for the legal entity.
- Be wary of leverage above 1:30 or bonuses as a retail client.
Other EU countries
| Country | Regulator | Is forex trading legal? |
|---|---|---|
| Croatia | HANFA | Yes, with authorised or passported brokers |
| Czech Republic | Czech National Bank (ČNB) | Yes, with authorised or passported brokers |
| Finland | FIN-FSA (Finanssivalvonta) | Yes, with authorised or passported brokers |
| Romania | ASF | Yes, with authorised or passported brokers |
In every EU country, ESMA-based retail protections apply to CFDs offered by EU-authorised firms.
Frequently asked questions
Is forex trading legal in the EU?
Yes. Forex and CFD trading is legal in EU countries and regulated under MiFID II, with retail CFD protections based on ESMA's measures.
Which European country has the strictest rules?
Belgium is among the strictest, with long-standing limits on distributing leveraged OTC derivatives to retail clients through electronic platforms.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Most retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.