CySEC outlines 2025 priorities on oversight and growth
CySEC boosts digital oversight in 2025 plan
The Cyprus Securities and Exchange Commission (CySEC) has published its annual report for 2024 and outlined its strategic priorities for 2025, with a strong focus on enhanced regulatory oversight, digital transformation, and the growing importance of sustainable finance.
At a recent press conference, CySEC Chairman Dr. George Theocharides emphasized that investor protection and the development of a stable and transparent market remain key priorities, according to the regulator’s report. He noted that forthcoming legal and regulatory reforms across the European Union — including the Anti-Money Laundering Package (AML Package), the European Single Access Point (ESAP), the MiFIR Review, AIFMD II, and the EU Sustainability Framework — will significantly reshape the supervisory landscape in 2025 and beyond.
CySEC also highlighted the impact of initiatives such as the Savings and Investment Union Plan and the implementation of the Markets in Crypto-Assets Regulation (MiCA), which has already attracted interest from firms seeking crypto-asset service licenses in Cyprus. The Commission has also prioritized the enforcement of the Digital Operational Resilience Act (DORA), now fully in force, which aims to strengthen cybersecurity in the financial sector.
Supervisory activity and measures in 2024
In 2024, CySEC’s Supervision and AML/CFT departments conducted over 850 inspections, covering Cyprus Investment Firms (CIFs), Administrative Service Providers (ASPs), Collective Investment Funds, and Crypto Asset Service Providers (CASPs). Additionally, the regulator reviewed 510 annual compliance reports and monitored the activities of 89 collective investment funds.
The Commission also audited 33 fund managers’ transaction and derivative reporting practices, oversaw risk management in the commercial real estate sector, and conducted 61 investigative actions, including 44 completed investigations. CySEC imposed administrative fines totaling €2.76 million, with €2.12 million levied solely on CIFs.
In 321 cases, supervised entities were instructed to take corrective measures. More than 70 firms were given specific deadlines to address deficiencies related to anti-money laundering compliance.
Strengthening digital infrastructure and financial literacy
In 2025, CySEC plans to continue upgrading its supervisory systems to enhance resilience and streamline licensing procedures. It will also expand the collection of cybersecurity-related data from supervised entities to better address digital threats.
As part of its financial literacy efforts, CySEC participated in the Global Money Week and World Investor Week campaigns. The Commission also launched an annual academic award for economics students, which was awarded to two students from the European University of Cyprus in the 2023–2024 academic year.
In 2024, CySEC licensed 80 new entities, bringing the total number of supervised firms to 834. In 2025, the Commission expects continued sector growth and the adoption of new regulatory solutions aligned with its commitment to a sustainable, investor-focused financial market.
Earlier, CySEC also released a list of unlicensed investment service websites.
