FAQ
Frequently Asked Questions
What is the The European Regulation?
European Regulation is an independent external dispute resolution (EDR) body designed for consumers and traders who are unable to resolve issues directly with financial service providers that are registered members of European Regulation.
The organization was established to offer a modern, balanced approach for both traders and platforms to address challenges that may arise during activities related to online markets.
European Regulation handles a wide range of disputes, regardless of the amount involved. It ensures that traders have a fair platform to voice their concerns, while giving registered providers the opportunity to respond clearly and transparently to any claims brought against them.
What are the objectives of European Regulation?
European Regulation was created as an impartial third-party body aimed at reviewing and resolving disputes in a fair and balanced way. Its goal is to offer a more straightforward and faster alternative to traditional regulatory authorities and lengthy legal procedures.
What happens when a customer files a complaint with European Regulation?
When European Regulation receives a complaint, the first step is to verify that the customer has already attempted to resolve the issue directly with the company involved, using that company’s own Internal Dispute Resolution (IDR) procedure.
According to European Regulation’s guidelines, all registered members must appoint a designated contact for complaints and implement a clear IDR process.
This process requires a formal response to the complaint as quickly as possible, and no later than 10 business days. A proper response must include:
– Acknowledgment of the issue raised, and
– When necessary, a compensation proposal, or
– A justified rejection of the complaint, with clear reasoning.
If the customer is not satisfied with the company’s resolution, they may then escalate the issue by submitting a formal complaint to European Regulation for independent review.
Can I submit a complaint against a broker who is no longer a member of European Regulation?
Unfortunately, no. European Regulation only processes complaints involving brokers that hold an active and verified membership at the time the dispute is submitted.
If the broker in question has been removed, suspended, or their membership is currently under review, we are unable to assist with your case. In such situations, we recommend that you reach out to the appropriate financial regulatory body in your country for further support.
If any regulatory authority wishes to involve European Regulation in the resolution process, they may contact us formally, and we will evaluate the request accordingly.
Is European Regulation a regulator overseeing broker activity?
No, European Regulation is not a regulatory authority and does not claim to be. It functions as an independent third-party dispute resolution forum, created specifically to offer a fair and transparent alternative process for resolving issues between traders and broker members.
For licensing or regulatory verification, traders are encouraged to consult our Broker Verification Directory or contact official financial regulators in their country to confirm the status of any broker.
Please note: European Regulation does not handle complaints involving potential regulatory violations or issues beyond the scope of its established Rules & Procedures. Only disputes concerning broker members in good standing are eligible for review
How does the Dispute Resolution Committee (DRC) of European Regulation operate?
When a complaint is submitted, the DRC first confirms that the individual has already attempted to resolve the issue directly with the broker member, following the appropriate internal procedures. If no resolution is reached, the matter is escalated to the Committee.
The DRC then gathers all relevant documentation and explanations from both the client and the broker involved. Each party is given the opportunity to present their position and any supporting evidence.
Once all the necessary information is collected, the Committee carefully examines the case. If clarification or further evidence is needed, additional communication will be made with either side.
Following a thorough evaluation, the DRC delivers a formal outcome. This includes a summary of the complaint, an explanation of the findings, and a clear conclusion with suggested or binding resolution terms.
Is the European Regulation truly independent from brokers and regulators?
Yes. The decision-making process and operations of the Dispute Resolution Committee (DRC) under European Regulation are fully autonomous and separate from any brokers or financial industry entities—even those that contribute to its funding.
The DRC:
– Maintains full authority over the review and resolution of all complaints.
– Reports solely to the European Regulation Supervisory Board.
This Board is tasked with overseeing the integrity of the dispute resolution process, safeguarding impartiality in every decision, and ensuring that no outside influence—financial or institutional—interferes with case outcomes.
To maintain this independence:
– The Board is chaired by a neutral, external figure.
– No broker representatives are permitted to sit on the DRC.
Importantly, European Regulation and its DRC are not employed by, nor affiliated with, any broker or government regulator in any country. Their role is solely to offer transparent, fair, and unbiased dispute resolution.
What is the compensation fund and how does it work?
European Regulation is an independent organization created to provide a fair and professional solution for resolving disputes between clients and operators in the Forex and crypto sectors.
Our mission is to offer a faster and more transparent alternative to traditional legal proceedings, helping both parties reach a fair outcome — at no additional cost.
We are made up of a committee of industry experts with years of experience, capable of evaluating each case objectively. We gather information from both parties, assess the situation, and issue a clear, justified, and impartial decision.
To protect users, European Regulation also maintains a compensation fund, activated only in specific cases, which ensures reimbursement up to €1,000,000 per client in the event of a member broker’s non-compliance.
We operate with full independence, with no ties to brokers or government regulators, ensuring a truly neutral and trustworthy service.
European Regulation
Contact Us
74-72 Grosvenor Rd, Rathmines, Dublin, Ireland
info@europeanregulation.com