Going offshore to escape the CFTC

[Duplacid1]

I’ll let you guys know how it goes. Thanks

[SmallPaul]

I’m rolling with spot forex and offshore brokers until the wheels fall off

[S_Jane_M]

@SmallPaul

rolling with spot forex and offshore brokers until the wheels fall off

I doubt if all the wheels will ever fall off?

There’ll always be some sort of supply of offshore jurisdictions effectively beyond anyone’s reach, crypto payments or some other equivalents that don’t depend on the international banking system, a substantial gullibility gap, a resentment of regulation in some quarters, and plenty of greed, fear and outright fraudsters able to exploit all the above.

Spot forex CFDs will probably just continue their current, inexorable march toward very gradually becoming increasingly like the “Nigerian prince email scams” until only the most naïve, worst-informed folk would ever have anything to do with them.

Same as “binary options,” really: however many countries understandably legislate against them, there are still some available for people absolutely determined to throw their money away.

[Spreculator]

@Duplacid1

So far from the limited time I’ve been on the feed I think it does effect price, but it’s more of a liquidity and pricing response. From what I’ve experienced on the demo I honestly believe the network is recognizing the demo executions and does not distinguish between the two. The only difference obviously is at the back office level with the one being funded. This is also taking into account these are contracts so the price action is a bit more segmented…something even a beginner can see in the charts.

Put it this way, for now, I can’t pick up any difference in the price reaction between demo and live executions.

I’ve become extremely acute after fighting the off-shore algos for such a long time.

Went live and there’s an immediate relief, but that’s how it started with each of the FX off-shores. If things stay this way I recommend all you guys dump the off-shores and never touch them again.

We’ll see after I put up some serious numbers in few months. I’ll definitely pick up any changes.

I don’t want to sound picky but there is absolutely zero chances that a demo can change the market price in futures.

Futures are centralized in exchanges (ex. CME) and when we buy a contract someone sold it. In futures there is no internalization of orders inside brokers as we see in CFDs.

You will never find your demo orders in the exchange, both demo pending or demo executed. You can even test it yourself. Send an order with a very far away price and see if that shows up in the exchange log.
I can assure that it won’t show up because it’s just a demo.

What we see in futures is all real. If not we would be facing a big broker’s fraud and I doubts that CME/CFTC would not discover it fast.

[Cryptosurf]

@Spreculator

I don’t want to sound picky but there is absolutely zero chances that a demo can change the market price in futures.

I believe he’s referring to FX CFD not futures.

[Spreculator]

@Cryptosurf

I believe he’s referring to FX CFD not futures.

If that’s the case, sorry about that. But I got the impression that all the discussion was coming from here:

@Duplacid1

Thanks for introducing me to AMP. I opened up an account with them and am still getting a feel for all the bells and whistles. I decided on the Mt5 platform since I know it, there’s more popular that even free as well.

Seems there’s more volume on the EU6 and M6E micro (both Eur/usd contracts of different size fyi for those that don’t know) and a bit less volume on the EEU mini.

[_METHOS]

@Cryptosurf

I believe he’s referring to FX CFD not futures.

-I honestly cannot tell. He mentions contracts, but then mentions offshore, so it’s a bit confusing. Initially, I assumed that he was referring to fx, but now I’m not sure. Clarification is needed.

Certainly, I have to agree that any live futures accounts are dealing with real markets and exchanges etc., and that any demo trades should have no influence on that real market.

If referring to FX CFD’s, then anything is possible.

[SmallPaul]

@SmallPaul

It makes me wonder if some of these big financial institutions do things like this knowing they’ll get caught and fined, but the fine doesn’t compare to how much money they make - Billions. This might not be the case here with J.P. Morgan I don’t know, but makes wonder if they do this type of stuff intentionally to make a quick billion or more.

Never heard of a demo account effecting any market, it would make spoofing very easy and hard to catch

Spoofing

Placing bids to buy or offers to sell futures contracts and canceling the bids or offers prior to the deal’s execution

What is Spoofing?

Spoofing is a disruptive algorithmic trading practice that involves placing bids to buy or offers to sell futures contracts and canceling the bids or offers prior to the deal’s execution. The practice intends to create a false picture of demand or false pessimism in the market.

By creating a false sentiment in the market, a trader can manipulate the actions of other market participants and change the price of a security. Subsequently, by reacting to the fluctuations, a spoofer can earn a profit. Therefore, spoofing is considered a form of market manipulation.

Spoofing and Legislation

Since spoofing is considered a form of market manipulation, the practice is considered illegal. In the United States, it is considered an illegal activity and a criminal offense under the 2010 Dodd-Frank Act. The U.S. Commodity Futures Trading Commission (CFTC) is an independent agency that monitors such activities in futures markets.

Despite the accompanying criminal liability, some large financial institutions continue to engage in the illegal practice. For example, in January 2018, three European banks – UBS, Deutsche Bank, and HSBC – were accused of market manipulation using spoofing schemes and were fined by the Commodity Futures Trading Commission (CFTC).

Spoofing in the 2010 Flash Crash

The 2010 Flash Crash erased almost $1 trillion in market value in U.S. stock markets. The market crash was characterized by a rapid decline in the stock markets and their quick partial rebound within an hour.

Following a series of investigations, market manipulation using spoofing schemes was determined as one of the primary triggers of the Flash Crash. In 2015, the U.S. Department of Justice filed charges against a London-based trader, Navinder Singh Sarao. He was accused of market manipulation after placing a large order for E-Mini S&P 500 stock index futures contracts with the intent to cancel the order prior to execution.

Spoofing - Overview, How it Works and Current Legislation

[Cryptosurf]

@_METHOS

Certainly, I have to agree that any live futures accounts are dealing with real markets and exchanges etc., and that any demo trades should have no influence on that real market.

Agreed, there’s no way that’s occurring on futures

[compounder2]

SmallPaul, are you able to consistently double your money at least every 4 months? Or, are you able to consistently make at least a 50% profit on your money every 2 months? What are your 2 favorite exotic pairs? I like the South African rand, when it spikes on the 5 minute chart. On average, how many hours or days do you hold a trade?

[SmallPaul]

@compounder2

SmallPaul, are you able to consistently double your money at least every 4 months? Or, are you able to consistently make at least a 50% profit on your money every 2 months? What are your 2 favorite exotic pairs? I like the South African rand, when it spikes on the 5 minute chart. On average, how many hours or days do you hold a trade?

The amount over my preferred account amount I withdraw daily and weekly, let’s say I have 2 accounts with 100k each, one account I withdraw daily if there is a trade and profit over the 100k amount, and the other account I withdraw weekly if there is a trade and profit over 100k amount

keepig both accunt at 100k each

Here is all the pairs.

EUR/MXN

EUR/ZAR

USD.MXN

USD/ZAR

XPT/USD

XAY/USD

XAU/EUR

USD/CZK

EUR/CZK

GBP/NOK

EUR/NOK

USD/NOK

GBP/SEK

EUR/SEK

USD/SEK

[Cryptosurf]

@SmallPaul

2015, the U.S. Department of Justice filed charges against a London-based trader, Navinder Singh Sarao.

It’s funny how they lay blame for the flash crash at the feet of Nav Sarao. He had tried to unsuccessfully to alert the authorities of spoofing (by the large institutions) for years leading up to this event.

Out of frustration he created his own algo to beat them at their own game only to face prosecution for it.

Spoofing by many of the large institutions are still happening to this very day.

[SmallPaul]

@SmallPaul

It makes me wonder if some of these big financial institutions do things like this knowing they’ll get caught and fined, but the fine doesn’t compare to how much money they make - Billions. This might not be the case here with J.P. Morgan I don’t know, but makes wonder if they do this type of stuff intentionally to make a quick billion or more.

@SmallPaul

Despite the accompanying criminal liability, some large financial institutions continue to engage in the illegal practice. For example, in January 2018, three European banks – UBS, Deutsche Bank, and HSBC – were accused of market manipulation using spoofing schemes and were fined by the Commodity Futures Trading Commission (CFTC).

@Cryptosurf

Spoofing by many of the large institutions are still happening to this very day.

yes it still goes on And the regulators are here to protect the big financial institutions and their bread and butter markets with some / little benefits for retail traders.

EDIT: If U.S. regulators and big financial institutions had their way, retail spot forex trading would be eliminated in america

[SmallPaul]

@Cryptosurf

Spoofing by many of the large institutions are still happening to this very day.

Don’t let you the average Joe come up with his own version of spoofing the market and make millions, you think we’ll just get a fine?

[Cryptosurf]

@SmallPaul

you think we’ll just get a fine?

Nope, we’ll get a cozy suite at club fed penitentiary.

[caffelatte]

Has anyone had experience using a broker called Lirunex? It looks like they are currently accepting U.S. traders, although some listings on other sites say they do not.

Will appreciate any information about trading with them.

[TraderJaws]

Introducing Broker - Lirunex | Forex Trading Broker

Regional Restrictions: LIRUNEX does not provide services to residents of North Korea, Congo, Libya, Afghanistan, Cuba, Mali, Syria, Sudan, South Sudan, Yemen, Somalia, Belarus and Venezuela.

I don’t see USA here, so I guess they accept U.S. traders?.

[freedomfinance]

Might you please share the discord channel?

[SmallPaul]

Bitstamp sent me this email, looks like Robinhood is making some big moves. I’ve been using Robinhood for crypto for the past two years, so I’m glad to hear this news considering how the U.S. regulators are targeting Robinhood’s crypto business.

Hi James

We have some important and exciting news to share. Bitstamp and its shareholders have entered into an agreement for Bitstamp to be acquired by Robinhood Markets, Inc. (“Robinhood”).

Together, we will deliver an enhanced trading experience while maintaining our commitment to security, reliability, and transparency. Over the next year, we will work closely with the Robinhood team to integrate Bitstamp’s platform and expertise into Robinhood’s ecosystem.

There will be no immediate changes for Bitstamp customers, and your assets with us are always available to you. We are committed to maintaining transparency throughout this process. The acquisition is expected to close in the first half of 2025 subject to regulatory approvals.

You can read more details here.

Thank you for choosing us as your trusted crypto exchange.

JB Graftieaux
CEO of Bitstamp

[sharpforextrader]

Has anyone tried this Copy trading platform- Copyrack? https://www.copyrack.com/. I have funded my account 2 days back with them with just about $100, they seem quite impressive tbh. There is social copy trading, you can see trading activities of all listed leaders (there are many of them) and then choose to follow multiple leaders. You can do manual trading as well. I have made some profit, will raise a small withdrawal today to test and update here about my experience.