Retail market to leave US?
Proposals for future regulation may move US retail FX offshore.
The tightening of the rules and regulations around retail FX in the US is something that should be welcomed by the whole of the industry. Except that the authorities there seemed to have gone from one extreme to the other.
It’s a case of being careful what you wish for. Most legitimate players have welcomed greater regulatory oversight. The US has moved swiftly from a completely unregulated market where any two-bob outfit could set up shop, to one that requires so-called forex dealer members to post a minimum of $20 million of net adjusted capital to operate. That is seen as nothing onerous, but many of the proposed changes being forced on the industry by the National Futures Association and its gatekeeper the Commodity Futures Trading Commission are regarded as misplaced at best, and biased at worst.
ODL looks from west to east