Bulgaria has been positioning itself as a new-generation hub for tightly regulated financial transactions within the EU. The country’s financial environment also inspires a broker (i.e., alongside investors and fintech entrepreneurs) who is quite determined to undertake flexible yet credible regulation that meets the demands of MiFID II supervision requirements. Undoubtedly, straight access to EU-wide passporting, strong taxation, plus the reputation of a cross-border foreign currency professional-broker—all those are offered by forex license in Bulgaria.
Bulgaria Forex License: Basic Understanding
Financial Supervision Commission (FSC) is Bulgaria’s national financial markets regulator. It authorizes and supervises all entities providing investment, insurance, and financial intermediation services.
The FSC ensures proper corporate governance, adequate share equity, risk-management systems, and full compliance with MiFID II and the Securities and Exchange Act.
Key Benefits regarding a forex license Bulgaria
Dependable political and economic stability alongside an investor-friendly law-strategy makes Bulgaria quite attractive EU locations for regulated brokerage establishments. Core advantages include:
- Low taxes: a fixed 10 percent corporate income tax and 5 percent dividend withholding tax, among the lowest in the EU.
- Unimpeded transfer of capital: profits, dividends, and other revenues can be repatriated without limitations.
- The strategic setting: it connects Central and Eastern Europe, the Balkans, and Asian trade routes.
- Lower operating costs: office rent, staff salaries, and accounting services are generally lower than in many other EU jurisdictions, including Cyprus and Malta
- EU “passporting”: licensed brokers can provide services throughout the entire EU based on their authorisation in Bulgarian.
Acquiring forex license Bulgaria grants companies a useful reputation and saves them via becoming excessively heavy on private expenditures.
Getting a Forex License in Bulgaria: Application-Stages
Getting a Forex License in Bulgaria is a well-structured process handled by the Financial Supervision Commission (FSC). The process usually takes 6–12 months, although more complex corporate structures and business models may require additional time.
Main stages include:
- Preliminary evaluation of the enterprise concept and trading model.
- Document preparation—articles of formation, three-year financial forecasts, internal policies, and compliance manuals.
- Company registration—establishment of a Bulgarian legal entity (usually an LLC or JSC).
- Initial capital deposit—not less than 25% payable following enrollment plus the rest within fourteen days of licensing.
- Inspection—The FSC review is of governance, director experience, AML/KYC systems, and financial viability.
- Licensing, activation of the license, opening a functioning bank account, and hiring trained staff.
Professional advice often speeds up the process and helps maintain effective communication with the regulator.
Bulgaria forex brokerage licence: Regulatory Frame
Two distinct government acts, the first one—MiFID II—Markets in Financial Instruments Act plus namely second one—Securities and Exchange Act, operating under Bulgaria forex brokerage licence, both of them are compatible regarding EU regulation 2014/65/EU. These laws outline activities permitted for licensed intermediaries:
- closing of deals on financial instruments;
- dealing on one’s private account;
- portfolio administration and investment advice;
- operation in the derivative markets (options, futures, CFDs);
- participation in collective investment schemes;
- transactions in currency pairs within the international market.
Every licensee is required to maintain a permanent office in Bulgaria and appoint at least two professional EU-resident directors. Yearly audits and open reporting are still required throughout the term of the license.
Corporate Forms Suitable for Forex Broker License in Bulgaria
Receiving Bulgaria Forex Broker License requires applicants have an incorporated legal entity. The following are the two most common types that you could consider:
Limited Liability Company (LLC) – the most straightforward entity, available with as low as 2 BGN nominal capital. It is managed by general meeting and executive director.
Joint-Stock Company (JSC) – recommended for bigger projects; minimum capital 100,000 BGN (~ €51,000). Public and private shares provide more access to investors and legitimacy in the eyes of regulators.
Both structures protect shareholders from unlimited liabilities and can achieve cross-border trading across the EU upon authorization by the FSC.
Choosing the right corporate structure for your forex brokerage provides a strong foundation when applying for a Forex Broker License in Bulgaria, ensuring clear legal grounds and greater investor confidence.
CFD brokerage license in Bulgaria: Market-Model Distinctions
The two main categories of authorizations for investment firms that are involved in forex and CFD trading:
- STP license (A-book) - brokerages route customer orders to liquidity providers with no transactions on their own account, minimum capital €125,000.
- Market-Maker license (B-book) – Brokers are counterparties and provide liquidity directly; minimum capital €750,000.
Both models are subject to strict capital requirements, internal control rules, and risk management policies. The market-maker model does offer a wider range of instruments, but with more stringent surveillance requirements.
By obtaining a CFD brokerage license in Bulgaria, businesses can legally carry out their operations in the derivatives sector and serve clients throughout Europe.
Brokerage (Forex) licenses in Bulgaria: Compliance plus Oversight
The FSC closely supervises Brokerage (Forex) licenses in Bulgaria. Ongoing duties include:
- maintaining segregated client funds;
- monetary reporting and audited statements;
- hiring independent auditors and a compliance officer;
- in accordance with anti-money-laundering (AML) and counter-terrorist-financing (CTF) legislation;
- sustaining sufficient equity ratios as well as availability.
Bulgaria Forex License in 2025: Trends and Opportunities
In 2025, Bulgaria continues to strengthen its position as an EU hub, Forex, and investment firms. Streamlined digital-government procedures and FSC modernization have already reduced processing times and improved transparency.
Growing demand from non-EU brokers seeking an EU presence further cements Bulgaria’s role as a cost-efficient gateway into the Euro market-sector.
Pathway Toward Becoming a licensed forex broker in Bulgaria
Becoming a licensed forex broker in Bulgaria is a time-consuming process that requires careful preparation and a solid understanding of the legal framework. Apart from the paperwork, applicants establish local presence – by hiring suitable directors, compliance officers, and accountants.
Eternity Law International provides comprehensive assistance during acquiring a Forex or CFD license in Bulgaria – beginning via firm incorporation and document drafting to regulatory submission and post-licensing compliance.
Contact our specialists to receive tailored guidance for your project.
Those enterprises interested in ready-made entities for sale may check out Eternity Law ready-made licenses for sale. You can even get general licensing options through Eternity Law.
Both paths lead to a regulated enterprise, which can provide an investment service into a constitutional whole of the EU.
FAQ
Is forex trading legal in Bulgaria?
Yes. Foreign-exchange transactions are legal and fully regulated in Bulgaria by the Financial Supervision Commission (FSC).
Do I need a license to trade forex?
Yes, any corporate trader or investment firm providing currency exchange or CFD services within the EU must hold a valid authorization from the FSC or another EU regulator. Private individuals trading on personal accounts do not require separate permission.
How do I get a forex license?
The procedure involves establishing a Bulgarian company, drafting a three-year business plan, depositing the required capital, and submitting a comprehensive application to the FSC.
How much does it cost to get a forex license?
Albeit exact fees differ, however, normative documentation suggests that the funding requirements are €125,000 for STP brokers and €750,000 for market makers. Additional expenditures include local staff, office upkeep, and standards compliance as well.