Essential

BaFin

Federal Financial Supervisory Authority - Germany's top-tier financial regulator.

Definition

BaFin (Bundesanstalt für Finanzdienstleistungsaufsicht) is Germany's federal financial regulatory authority. As a Tier-1 regulator, it supervises banks, insurance companies, and securities trading with strict consumer protection standards under EU regulations.

How It Works

Regulates all financial services in Germany
Operates under EU MiFID II framework
Enforces ESMA leverage restrictions (30:1 forex)
German investor compensation scheme up to €20,000

Trading Tips

BaFin-regulated brokers are highly trusted

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Strict rules on marketing and risk warnings

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