The 30-year supervisory journey of the Cyprus Securities and Exchange Commission (CySEC) reflects “Cyprus’ evolution into a modern and credible financial centre,” with CySEC serving as its guardian, stated the President of the Republic of Cyprus, Nikos Christodoulides, during CySEC’s anniversary conference held in Nicosia in the presence of more than 160 guests, including officials and senior representatives of other European supervisory authorities.
CySEC remains the guardian of transparency and stability, exercising substantive and rigorous supervision over the investment services sector to ensure the orderly functioning of the market”, said the President of the Republic, adding: “Its role is vital for investor protection and the attraction of high-quality investments. As a Government, we actively support its operational capacity to meet contemporary supervisory challenges, thereby strengthening the international credibility of the Cypriot economy.”
In his address, CySEC Chairman Dr George Theocharides reflected on CySEC’s journey over the past three decades, highlighting its transformation to address emerging sectors such as digital finance, financial technology (fintech), and crypto-assets, as well as the emphasis placed on financial literacy and investor education.
“CySEC evolved from a very small structure in 1996 into a modern authority with more than 200 professionals, multidisciplinary expertise, and enhanced capabilities. Today, CySEC stands as a resilient, modern, and fully integrated European supervisory authority, committed to effective supervision, investor protection, and the sustainable and sound development of the capital market”, he stated.
Referring to the future, the Chairman of CySEC outlined three defining challenges for supervisory authorities over the next decade: investor protection in the digital age, digitalised products and innovation, and market integrity. He further added: “CySEC approaches these challenges guided by enduring principles, independence in judgement, consistency in action and a steadfast commitment to continuous improvement.”
Among the distinguished speakers at CySEC’s 30 Years of Supervision anniversary conference were Verena Ross, Chair of the European Securities and Markets Authority (ESMA), and Jean Paul Servais, Chair of the International Organization of Securities Commissions (IOSCO).
“Together with CySEC and all other national supervisory authorities, we must create a European market that is ready for the future, resilient to shocks, attractive for investors, and easy to navigate for market participants”, stated Ms Ross.
Referring to the Savings and Investments Union, she noted that the EU’s strategic initiative “aims to unlock Europe’s potential for innovation and to break down barriers, amongst others through more integrated, agile and robust supervision.”
Mr Servais stated that regulators must remain strong and flexible to keep pace with fast-evolving events and cross-border risks, in order to keep pace with rapid developments and cross-border risks, and that close coordination between authorities is required at both national and international level, reflecting the global nature of modern financial markets. “IOSCO supports this effort through, the day-to-day cooperation of its more than 130 members”, he added.
During the event, Huy Nguyen Trieu, renowned artificial intelligence expert and author, referred to the rapid increase in AI adoption within the sector.
“Marking 30 years is not only about celebrating progress, but about preparing for the next 30, as AI and digital transformation reshape finance. It also reflects CySEC’s vision to be a future-ready regulator, where innovation, regulation, and trust evolve together. The third wave of AI is about the shift from AI that predicts and creates to AI that increasingly acts”, he stated.
This was followed by a panel discussion on artificial intelligence featuring Dr Carlo Comporti, Commissioner of the Italian Securities and Exchange Commission (CONSOB), Dr Vasiliki Lazarakou, Chair of the Hellenic Capital Market Commission, and Claude Marx, Director General of Luxembourg’s Commission de Surveillance du Secteur Financier (CSSF).
Dr Comporti underlined that while technological developments create significant opportunities, they are never detached from risk, particularly in relation to cyber resilience, increasing complexity and market concentration. He also underlined the importance of maintaining control over technological developments, noting that “if there is something that is difficult to understand, by definition it is also difficult to manage.”
Dr Lazarakou stressed that these developments create important opportunities to enhance efficiency and market access, while also strengthening investor protection and market integrity. “At the same time, these developments introduce new risks, including model opacity and the accelerating pace of technological change, requiring the continuous adaptation of regulatory tools, skills, and supervisory capabilities”, she added.
Mr Marx stated that the use of technology, and particularly AI-based tools, can bring supervisory authorities closer to achieving a highly ambitious objective: real-time supervision. “Prime examples are the prevention of market abuse, money laundering and terrorist financing, or illegal offerings to EU customers from unauthorized providers of financial products and fraudulent offerings”, he mentioned.
The anniversary event concluded with a special ceremony honouring CySEC’s former Chairpersons, who served with dedication, vision, and integrity.
To mark its 30th anniversary, CySEC has created a dedicated section on its website, which will be continuously updated throughout the year with related material.
