A fresh chat with [I]ForexBrokerInc[/I] representatives, according to them, confirms that [I]ForexBrokerInc[/I] will continue its operations. The redirection towards [I]FX Choice[/I], according to them, was only a redirection for new and upcoming users who were not able to open an account with [I]ForexBrokerInc[/I] for the last 2 months of suspension due to server updates. The last two weeks of trade suspension in MT4, according to them, was part of a server upgrade that will continue to reside in Marshall Islands. No broker transfer or agreements, apparently, have been made.
About the [I]FX Choice[/I] redirection, according to [I]FX Choice[/I] representatives, [I]ForexBrokerInc[/I] is an Introductory Broker, āintroduce clients to FXChoiceā was their response. How long was this known, I do not know but this clears up a lot of the [I]ForexBrokerInc[/I] speculation. But now that [I]Tallinex[/I] has withdrawn U.S. services, wonder what would happen to the remaining 11 (as of this post) brokers.
On a positive note, I have not had any negative experiences with [I]ForexBrokerInc[/I] for the past year, great customer service as well, though signing sheets for submission to confirm withdrawals is annoying and unnecessary.
So while their website is down, do they allow people to withdraw the balance that they last had as normal? Sounds more like a getaway plot to me.
The writing was on the wall for over 6 years already. Iāve always respected the spirit of this thread. But the [U][I]reality[/I][/U] is that the US has become increasingly āprotectiveā of its residents and currency, not to mention its futures markets. If the Prime of Primes and tier 3 brokers who have bonafide PoP relationships are not accepting USA clients, what made you think the offshore guys would last?
98% of non-USA brokers folded when it came to accepting US residents. I remember in 2010 when many of them insisted that US laws didnāt apply to them. When the hammer finally dropped, the majority ultimately decided it wasnāt worth the trouble. Tallinex was just a matter of time. And look back at previous threads to see all of the smack about how they were not affected by US regulations. Tallinex didnāt even come back to the thread and elaborate on the decision, not sure if this was done purposely. But this thread Iām sure provided them with a lot of referrals. Are they active on other parts of the babypips forum or on other forums?
More robust solutions include: using a non-us spouse/family member, using non-us corporation, establishing residency in a non-us territory, etc. This takes a little more effort on your part, but it will be more sturdy in trading in the years to come. I talked about this much earlier in this thread.
But with the overwhelming majority of legitimate brokers either leaving the retail forex US market altogether or just located overseas in other developed countries, not a lot of choices remain for US residents. Especially if you desire anything close to direct market access (a real prime of Prime or provable PofP relationship).
In the past Iāve used a few offshore brokers, some good, some not so good. Iāve now been using lqdfx.com for the last month and have yet to make a withdrawal. Does anyone have any experience with them? If so how quick were the withdrawals?
Maybe we should start new thread where to go to open an offshore company. I know there is lots of places on the web but we need to find the best and cheapest option.
Get the second cheapest option. I was looking into this as I am growing worried of the environment now and donāt feel like being kicked out like I had been in the past. It seems like the cheaper options are hit and miss when trying to actually open a bank account. They say they will open a company, which I have no doubts about, but the problem is opening the bank for US customers; they seem to not guarantee that those can actually be opened. It will be pointless to use an offshore without a bank account.
We will also be required to report our bank accounts to the United States Treasury every year if our cumulative total offshore holdings exceed $10k at any time during the year. I had to do this for my Forex accounts as they were over $10k combined for the past 2 years. I think we will still be off limits to many brokerage firms anyway even with the offshore setup, but maybe the door will be cracked open in some places. That is all we need.
If they sell the company, I sincerely doubt they will tell anyone :33: ā¦ maybe they finally had to fold and give in because it just was not feasible to serve US anymore. [B]Tallinex[/B] has an excellent Alexa rank globally, so they can survive without US/Canadian customers for sure. [B]Forexbrokerinc[/B] on the other hand does not. They had an OK rank in the US but globally they are pretty low IMO.
Maybe someone else with better SEO knowledge can comment on this as I only recently have been looking at this stuff. So again, I think it just became not feasible for [B]Tallinex[/B] and they simply stopped it so they could open up other opportunities for themselves with their non-US/Canadian customer base.
Iāve been working hard for the past 2 years trading Forex and finally feel good about my system and money management. My ultimate goal is to trade full-time as a professional and this news lately is so discouraging. Being a trader in the U.S. is becoming more and more difficult. Really hard to trust offshore brokers with my hard earned money and legitimate brokers are leaving US citizens to the curb. 50:1 leverageā¦ridiculous.
My feelings exactly! For the second year in a row I am on a path to actually paying taxes for my FX activity, rather than claim a loss like I did every time before that :21:
I am banned from Forex.com for scalping lol and I refuse to trade with FXCM with their financial condition so I want to stay offshore as long as possible. It really is frustrating and makes me so mad.
Iāve been gone for a while and am just catching up with the thread. Went back and read the last half dozen pages.
Clint, have you heard anything from Paul about Tallinex not accepting new US clients ? I still have my account with them and am still actively trading it without any problems. But, having just scanned through the last several pages of this thread, Iām wondering how much longer it will be before I get an email from them asking me to withdraw my funds and leave.
Iāve had one PM from Paul (back on Oct 5) in which he confirmed the decision to stop accepting new U.S. clients.
He was not able to make further details public at that time. I hope and believe that when he is able to do so, he will return to the forum and lay out for us the factors which made this move necessary.
Your information is as current as mine, regarding existing accounts.
Consider yourself fortunate that you were able to establish a broker relationship with Tallinex before the door was closed to new clients.
My advice to you would be to maintain your Tallinex account, and wait for further information.
ā¢
We designated Tallinex as a Trusted Broker, because we came to believe that they are honest and reliable. That view has not changed, even as Tallinex has been targeted by the CFTC.
Unless and until the Washington Ruling Class is stripped of its power, and the apparatchiks at the CFTC are replaced with common-sense regulators, Tallinex (and many other good offshore brokers) will have to remain off-limits to new U.S. clients.
On ANOTHER THREAD ā Mike Wolski has posted a LINK to a document critical of the retail forex industry. This document is worth reading because it illustrates the Nanny Stateās compulsion to meddle in financial activities which should be left to the free market, and should be off-limits to the nannies.
The document in question is an analysis/opinion piece written 5 years ago by a hedge fund called Philadelphia Financial Management of San Francisco, and submitted as a letter (via email) to the Securities and Exchange Commission, in response to an SEC request for comments on Retail Foreign Exchange Transactions.
Let that sink in for a moment.
The Securities and Exchange Commission does not have regulatory oversight of retail foreign exchange trading in the United States; that authority rests with our beloved CFTC. And yet, the SEC took it upon themselves to solicit comments from the public and from the financial services industry on a financial market totally outside their purview.
Regulators are control-freaks, by nature. They canāt help themselves. And there is no limit to the ways in which they will attempt to control our lives.
At this point, the document which Mike posted has mainly historical interest, because of its age. But, it serves to illustrate the anti-free-market mind-set of the Washington Ruling Class.
Thanks to Mike for posting it.
On another topic ā the broker called LQDFX
I looked into this broker, and found the following:
They have been in existence for only about a year. They are domiciled in The Marshall Islands, but apparently their physical location is in the UK (based on their telephone number). And they seem to accept U.S. clients, judging by their account application page (although I did not go through the account opening process in order to test this assumption). Their website is extremely user-friendly, well organized, and informative. They offer a range of account types, and an impressive array of financial instruments (currency pairs, commodities, metals, etc.)
Iām new to posting on the forum, wanted to chime in as a US trader. I have been using LMFX for the past 3 months and have made successful deposits and withdrawals. Their customer service has been great and fast. The only deposit method open to US traders is bank wire which is fine for me. They go as high as 1:1000 leverage, I personally trade with 1:200. Unregulated as far as I can tell, but there are quite a few decent reviews about them, and Iāve had a great experience so far. A lot of the other offshore brokers Iāve researched have a lot of āscamā reviews and such.
[QUOTE=āwillyg44;789763ā]Iām new to posting on the forum, wanted to chime in as a US trader. I have been using LMFX for the past 3 months and have made successful deposits and withdrawals. Their customer service has been great and fast. The only deposit method open to US traders is bank wire which is fine for me. They go as high as 1:1000 leverage, I personally trade with 1:200. Unregulated as far as I can tell, but there are quite a few decent reviews about them, and Iāve had a great experience so far. A lot of the other offshore brokers Iāve researched have a lot of āscamā reviews and such.[/
What is the difference in a bank transfer and international wire transfer. And do you new to pay in on a withdraw? Thanks
Ah sorry, I meant wire transfer. There werenāt any withdrawal fees, and for the international wire transfers, they cover the transfer fees from the bank for deposits over $250 USD which is nice.
In light of one of the previous brokers that have now stopped taking us clients I think it is not wise for representatives to post of this or any other forum. Think the cftc will go after them because they think [cftc] that this is proof that said firm with representative on internet forum is soliciting us clients. This is part of the cftc nanny state.
Thatās a good question, and one that I have worried about for some time.
Tallinex was very active on this thread for many months, creating a high public profile. That profile generated a lot of client interest in Tallinex, but likely also brought unwanted CFTC attention to them.
There is a U.S. lawyer / tax accountant who specializes in tax matters for traders, who imagines himself (incorrectly) to be an authority on offshore brokers and traders. This guy decided to appoint himself [I]Deputy Sheriff[/I] for the CFTC, and start reporting offshore brokers who host U.S. clients.
About a year ago, he put on his toy Deputy Sheriff badge and started accusing Tallinex and all of their U.S. clients of violating U.S. law. He was wrong on both counts ā but neither he nor the CFTC let the facts interfere with their agendas. Tallinex basically told this guy to piss-off, and for a while he disappeared.
Tallinex hasnāt told us ā and I donāt know ā whether their decision to exit the U.S. market can be traced back to the meddling by this Deputy Sheriff lawyer a year ago. But, I have my suspicions.
Several offshore brokers (whom I will not name) who accept U.S. clients, have been invited to participate in this thread, and have declined.
And we know that several offshore brokers who state publicly on their websites that they do not accept U.S. clients [I]do, in fact, accept those U.S residents who apply.[/I]
Itās quite possible that these offshore brokers are wisely protecting themselves by maintaining the lowest possible profile with the CFTC. At the cost of foregoing valuable advertising exposure here on this forum, they may be shielding themselves from targeting by the CFTC.
When a question similar to yours was asked several months ago, I replied that I donāt know any solution to this situation, other than closing this thread, so as to stop calling attention to our offshore brokers.