Regulatory changes, business expansion and productdiversification shaped a busy week across retail trading and fintech.Regulators in Nigeria and Saint Vincent and the Grenadines introduced measuresaffecting leveraged products and virtual asset businesses, while Deriv secureda banking licence in SVG.Elsewhere, brokers and prop firms continued adapting tochanging trader demand. AI automation, futures trading and broader productofferings featured prominently, while prediction markets faced questions overretail participation and profit concentration. XTB’s founder also reduced hisstake again, while Revolut moved closer to establishing a US banking operation.Nigeria Proposes New FX and CFD FrameworkNigeria’s Securities and Exchange Commission has proposedits first dedicated frameworkfor the foreign exchange and CFD industry, tightening rules for retailtrading. The framework bans binary options and places a 1:2 leverage cap oncrypto-related CFD products.It also targets social media marketing,prohibiting promoters and executives from using luxury lifestyles to suggest wealthwas generated through retail trading. The SEC’s measures form part of a broadereffort to strengthen oversight of leveraged products and retail promotion. Thenew framework gives brokers and promoters clearer conduct requirements whileimposing tighter limits on products viewed as higher risk. It represents asignificant regulatory step for Nigeria’s growing retail trading market. Saint Vincent Freezes New Virtual Asset ApplicationsThe Financial Services Authority of Saint Vincent and theGrenadines hassuspended new applications for virtual asset businesses until furthernotice. The regulator said the move will allow it to strengthen internalcapacity while continuing to process and supervise the country’s growingvirtual asset sector. Applications submitted before September 1, 2026, willcontinue through the existing review process and are not affected by thesuspension. The FSA described the measure as precautionary and administrative,without linking it to enforcement action against existing virtual assetbusinesses. No date has been set for reopening applications. The authority saidit will announce when submissions can resume, leaving prospective applicantsunable to file new virtual asset business applications in the meantime. Deriv Secures Banking Licence in SVGDeriv has obtaineda banking licence from the Financial Services Authority of Saint Vincent andthe Grenadines, expanding the CFD broker’s regulated presence in thejurisdiction. Chief Executive Officer Rakshit Choudhary said the licence formspart of a broader effort to expand Deriv’s jurisdictional reach. The licencewas granted to an entity separate from Deriv’s existing offshore business inSVG. The banking status is expected to reduce the broker’s reliance on thirdparties for deposits and withdrawals, giving it greater control over parts ofits payments infrastructure. The development follows Deriv’s earlierapplication for the licence and comes as the broker continues expanding itsinternational operations, including a new office in Mauritius earlier thisyear. Deriv Targets 75% AI Workflow AutomationDeriv CEO Rakshit Choudhary has outlined how the broker is usingartificial intelligence to automate large parts of its operations, with atarget of automating 75% of manual workflows by the end of 2026. Choudhary saidclient-facing applications are now built using AI and that the company hasmoved automation into areas including HR, finance, compliance, marketing,product and engineering.Deriv has brought in more than 100 AI engineers tohelp non-engineering staff use the technology and runs weekly trainingsessions. Choudhary also said the company is building an internal intelligencesystem based on its business context and decision history. He described thestrategy as focused on improving efficiency while acknowledging AI’s impact onjobs. Mattus Urges CFD Brokers to DiversifyTickmill co-founder Ingmar Mattus told Finance Magnates thatCFDbrokers face increasing pressure from futures, prediction markets, tighterregulation and a reluctance to diversify. He argued that established firms risklosing relevance if they focus too heavily on higher-margin CFD products whiletraders move towards equities, ETFs, futures and other instruments.JUST IN: @Kalshi has already surpassed $7B in Monthly Crypto Volume this month pic.twitter.com/o7glnKj4Ix— KalshiData (@kalshidata) August 30, 2026Mattus saidbrokers need to respond more quickly to changing client demand, noting thatnewer platforms can introduce products far faster than traditional firms. Healso identified risk management and access to banking services as growingchallenges for brokerage businesses. Through Andromeda Capital Partners, Mattushas backed diversification projects including TradersYard and MetroTrade,reflecting his view that brokers need broader offerings to remain competitive. XTB Founder Sells Another $410 Million StakeXTB co-founder Jakub Zabłocki hassold another 9.4 million shares in the Warsaw-listed broker forapproximately $410 million, reducing his stake to 27.78% from 35.78%. Theshares were sold at 160 zlotys each through an accelerated bookbuildingprocess, representing an 8% discount to XTB’s market price at the time. Thetransaction was carried out through XX ZW Investment Group, aLuxembourg-registered vehicle majority owned by Zabłocki. It marks at least thefifth reduction in his holding since 2023. Despite the latest sale, Zabłockiremains XTB’s largest shareholder and continues to sit on the company’ssupervisory board. The transaction follows several earlier disposals by thebroker’s co-founder. Brokers Shift Loyalty Strategies Beyond Trading RewardsRetail brokers are increasingly moving beyond simplerebates and trade-based rewards as they look for ways to retain clients in amore competitive market. Cash incentives can attract traders, but brokersare placing greater emphasis on events, education, support, insights, platformquality and broader client relationships.The retail prop firm playbook has a mathmatical advantage on the brokerage market:In the traditional brokerage (e.g., XP Inc., @CharlesSchwab, Pepperstone), a broker spends anywhere between $300 and $1,500 (CAC) on marketing to acquire a retail trading clients. During volatile…— Merchant Seven (@MerchantSeven) June 3, 2026The shift reflects the high cost ofacquiring new customers, with firms looking for loyalty programmes thatencourage longer-term engagement rather than simply increasing tradingactivity. Brokers are also using community-based benefits and exclusiveexperiences to strengthen their relationship with clients. The approach marks amove away from the traditional assumption that higher trading frequency aloneis enough to build loyalty, as firms seek to compete on the wider clientexperience. FTMO Expands Into Futures With Beta LaunchFTMOhas launched a beta version of its futures prop trading offering, expandingthe Prague-based firm beyond its established CFD-focused model. FTMO Futuresrequires traders to complete an evaluation before moving to a Sim-FundedAccount, with challenges offering up to $450,000 in simulated capital.The betaincludes Growth and Pro account structures with different withdrawal rules. Thelaunch comes as several prop firms broaden their product ranges and explorefutures as an alternative to CFDs. FTMO has also resumed services for US-basedtraders, offering its US product through MetaTrader 5. The firm previouslysuspended US services in 2024. Its return follows changes across the proptrading sector and the wider adoption of alternative operating models. Prediction Markets Face Retail Profit ConcentrationQuestionsPrediction markets are facing growing questions over whethertheir rapid expansion could create an uneven environment for retailparticipants. An analysis published by Finance Magnates highlighted datashowing a large share of profits on Polymarket being captured by a very smallgroup of accounts.The concentration raises questions about whetherwell-capitalised or better-informed traders could gain a persistent advantageas more retail participants enter the market. The issue goes beyond whetherprediction markets should be treated as gambling or financial markets. Theirappeal has grown rapidly among retail traders, while platforms compete withbrokers and other venues for trading activity. The experience of other marketssuggests excessive concentration of profits could eventually undermineparticipation if smaller traders consistently lose.Revolut Wins Conditional US Bank Charter ApprovalRevoluthas received conditional approval from the US Office of the Comptroller ofthe Currency for a national bank charter, marking a step towards establishingits own banking operation in the country. The fintech had previously consideredentering US banking through an acquisition but changed course in January topursue a charter directly. Founder and CEO Nik Storonsky said the company wantsto serve US customers fully and directly with its broader range of products andservices. The conditional approval does not yet allow Revolut to operate as afull national bank. The company must continue working with the OCC, FDIC andFederal Reserve to complete the requirements associated with the charter beforeit can operate under the new structure. This article was written by Tareq Sikder at www.financemagnates.com.