ESMA clips perpetual futures with CFD limitsEurope’s top securities regulator warned that perpetualfutures and similar perpetual contracts popular in crypto trading are very likely covered by existing EU rules on contracts for differences (CFDs), nomatter how firms brand them.The European Securities and Markets Authority (ESMA) saidinvestment firms must assess whether these products fall within the scope ofthe bloc’s CFD product intervention regime.If they do, firms must apply the full CFD rulebook,including leverage limits, standardized risk warnings, margin close-out rules,negative balance protection.Can this latest directive kill crypto perpetuals contracts in the region altogether? European providers currently offer up to 10x leverage on perps, but if these products are classified as CFDs, the maximum leverage woulddrop to 2x.Retail CFDs could rival US stocks by 2028Meanwhile, retail traders are quietly taking a much biggerslice of the global FX pie. FMintel’s new analysis of more than 50 retailbrokers worldwide finds that retail CFD trading now makes up about 14% of daily global FX turnover, up from just 2.7% five years ago.The study builds on the Bank for International Settlements’ 2025Triennial Survey, which put average daily over-the-counter FX turnover at 9.6trillion dollars in April 2025, a 28% jump from 7.5 trillion dollars in 2022.iFOREX debut on LSE main marketIn London, a new name has joined the small group of listed retail CFD brokers. iFOREX, which is based in the British Virgin Islands, began trading on the London Stock Exchange’s Main Market on Wednesday under the ticker IFRX. Its shares rose 6% to 207 pence in their market debut,signaling a warm welcome from investors.The listing completes a process that began in May 2025 butwas temporarily paused as the broker worked through regulatory complianceissues raised by authorities in the British Virgin Islands. With those concernsnow resolved, iFOREX has secured approval for the admission of its full sharecapital, allowing around 22.2 million ordinary shares to trade freely inLondon.IG set to join FTSE 100Still in the UK, IG is expected to enter the FTSE 100 index, based on changes FTSE Russell published ahead of its March 2026 quarterly review. The preliminary list is based on market data as of February 20, with the formal review to use closing prices on March 3 and confirmed changes to be announced after the market closes on March 4.If the move is confirmed, IG Group will shift from the FTSE 250 into the FTSE 100 as part of the regular rebalance. Index-tracking funds and ETFs tied to the FTSE 100 would then add the stock, while vehicles benchmarked to the FTSE 250 would remove it, typically triggering trading as passive investors adjust their portfolios.In Africa, the story looks different for the London-listed broker. IG closed its South Africa office and laid off its remaining local staff, after previously employing around 90 people there. Themove follows the broker’s decision to stop offering services under its SouthAfrican unit, while allowing clients to transfer their accounts to offshoreentities.The broker had used the South Africa operation mainly as amarketing hub, making the closure a final step in its exit from the localmarket. IG also surrendered its South African ODP license, which is required tooffer CFD trading in the country.74% of Capital.com gold closed within an hourCapital.com reported that 73.8% of gold trades executed on its platform in 2025 were closed within one hour, and 95.9% were completedwithin 24 hours. The broker noted that this concentration aligned with intradaytrading behavior observed during a period of heightened market volatility. The broker ended 2025 with a total trading volume of $3.42trillion, a 92.1% increase from the $1.78 trillion recorded the previous year.Trading activity remained heavily concentrated in the Middle East, whichaccounted for about half of the platform’s annual volume. Europe, the broker’ssecond-largest market, also saw a 73% surge in volumes.Deriv seeks banking licence in SVGAt the same time, Deriv is seeking a banking license from the Financial Services Authority in St. Vincent and the Grenadines. Public records show thebroker formed a separate entity on the island in June 2023, with its banking licenseapplication now listed as “pending approval.” SVG’s regulator does not grant traditional brokerage licensesbut allows firms to offer leveraged trading once they are incorporated locally.However, the authority recently required all forex and CFD companies based inSVG to verify their overseas licenses, effectively making external regulation acondition for operation from the jurisdiction.XTB CEO targets spot crypto to lower CFD dominanceAlso, eying diversification, Omar Arnaout, the CEO of Polishretail brokerage XTB, believes spot cryptocurrency trading could significantly rebalance the firm’s revenue mix within the next two to three years, providedregulatory barriers in Poland are eased.Arnaout noted that about 95% of XTB’s income currently comesfrom CFD products, a concentration he said is increasingly frustrating.Arnaout’s goal is to reduce that share to around 70% by expanding into spotcrypto and equity trading.ASEAN's pivot from growth to dividendsASEAN companies are drawing investors’ attention with risingdividend payouts. Equities are shifting from a pure growth narrative to a moreincome-oriented story as companies across the region deliver strong dividendpayouts. The London Stock Exchange Group’s Miko Huang noted that theFTSE ASEAN Index, which tracks large- and mid-cap firms from Singapore,Malaysia, Indonesia, Thailand, and the Philippines has recorded a 10-yearaverage dividend yield of 3.57%.The region’s appeal for dividend-focused investors has strengthened as cash flow per share and dividend payout ratios have remainedresilient in recent years.Prediction markets take center stageOnline brokerages have long evolved through successive waves of innovation, from spot forex to CFDs, the rise of retail equity trading, and the expansion into digital assets. Each transition was initially met with scepticism before becoming an industry standard, shaping how brokers retained and competed for market share. The latest shift appears to centre on prediction markets, which are moving beyond their reputation for political and sports forecasting. Industry observers note a growing institutional interest, with prediction markets increasingly viewed as potential macroeconomic instruments rather than niche products, signalling their gradual integration into the broader trading ecosystem.The link between spreads and marketThe bid-offer spread has long served as a key indicator of market risk, compensating liquidity providers for holding inventory, managinguncertainty, and bridging information gaps between buyers and sellers. Whetherset through dealer negotiations, brokered transactions, or electronic trading,the spread traditionally widened during periods of volatility and narrowed asconditions stabilized, acting as a visible measure of market stress.That relationship has weakened in recent years. Across assetclasses and trading models, competitive pressure has compressed spreads tolevels detached from underlying risk. What began as a push toward greaterefficiency has, in many cases, produced distortion, with spreads no longerperforming their original role as reliable shock absorbers for marketuncertainty.Wise reportedly curbs Coinbase transfersLastly, a LinkedIn post circulating online claims that Wisehas started blocking payroll transfers from Coinbase to employees’ Wiseaccounts in the UK. According to the post, the move has disrupted some workers’access to their wages and was described as “anti-competitive.”Wise’s public Acceptable Use Policy prohibits customers fromusing its platform to buy, sell, or trade cryptocurrencies directly. It alsostates that the company may block or return payments linked to crypto-relatedbusinesses based on its compliance checks and risk assessments.This article was written by Jared Kirui at www.financemagnates.com.