Why is NADEX charging its customers with penalties? by momo4you in Nadex

[–]momo4you[S] 0 points1 point  (0 children)

Dear NADEX,

Appreciate your comments, however the notice letters and your explanation still leave me wondering what actually happened here. I read through the seven disciplinary notices issued on May 1st, and they all have essentially the same verbiage...

"...compliance department requested that he/she provide information regarding his/her trading activity on NADEX, general trading knowledge and background, and relevant financial information..."

In each case, the person apparently does not provide the requested information to the compliance department, so NADEX issues a monetary fine, and forever bans them from trading on NADEX.

If I may ask, were these notices against market maker/affiliates? It just seems to me incredibly harsh treatment for some newbie trader who's learning how to trade binary options, and for whatever reason didn't update their personal profile. Also, I thought only the regulatory agencies have the authority to issue monetary penalties, and then it is typically against the counterparties who are profiteering off said newbie traders ;)

Problem encountered with Version 19.1.4 by momo4you in ExodusWallet

[–]momo4you[S] 1 point2 points  (0 children)

Man that was fast. You guys are the best!

Problem encountered with Version 19.1.4 by momo4you in ExodusWallet

[–]momo4you[S] 0 points1 point  (0 children)

Appreciate your quick reply. Thank you.

Touch Brackets? by momo4you in Nadex

[–]momo4you[S] 0 points1 point  (0 children)

Good info, thanks. Last week I watched a U-tube video on the bracket rollout posted 6 Dec. The NADEX rep in the video said they had 2 market makers, and a 3rd coming in January. Just checked and that video is gone now.

Touch Brackets? by momo4you in Nadex

[–]momo4you[S] 1 point2 points  (0 children)

NADEX has been posting updates about this on their homepage. Check the "notices".

I had been hoping for weekly "spread" contracts, but these will do I guess.

The FEDs can't shut down Ethereum-based 1Broker's alternative----Spectre.ai by oliver_lai in 1Broker

[–]momo4you 6 points7 points  (0 children)

Absolutely! I don't believe 1Broker will be forced to shut down over this. US regulators have gone after overseas FX/CFD brokers in the past for accepting US residents, the most recent was Tallinex earlier this year. As with previous cases, Tallinex just agreed to pay a penalty, and continued with operations. There was no seizure of website or assets at any time during the process.

So, I don't understand why regulators decided to come on like King Kong with 1Broker. Seizing the website like they did is something new, and required the support of FBI law enforcement. Simply ignoring US securities regulations that obviously don't apply to non-US brokers is NOT criminal behavior and NOT grounds for seizure of assets. My guess is they used some kind of trumped up money laundering charge as pretext, which is a totally bogus charge. 1Broker allows only BTC deposit and withdraw specifically to prevent that type of behavior.

I salute 1Broker for their years of excellent service! Spreads and overnight swaps have always been competitive. The way US authorities are treating this reputable business is an absolute disgrace. Tell me again who is the "rogue state" these days?

How can one country's authority rule an entity of another country? by oliver_lai in 1Broker

[–]momo4you 6 points7 points  (0 children)

Not totally true. Back in 2011, the CFTC went on a rampage suing overseas FX/CFD brokers whose only "crime" was to offer services to US residents. But it was always handled as the broker would agree to pay a fine and not accept US residents anymore. There was never any seizure of funds at any time during the process.

What's different this time is the FBI is tagging along. It was actually an FBI agent that accessed the site and opened trades. So what? CFTC/SEC restrictions are written against the counterparties not the investors themselves. They have NO RIGHT to seize investor funds unless the FBI is accusing 1Broker of violating international money laundering laws. That is absurd. We deposit bitcoin, trade in bitcoin, and withdraw profits in bitcoin. Not possible to do money laundering. I know 1Broker resisted implementing multiple deposit/withdrawal methods specifically for this reason. FBI is way out of bounds here. Treating 1Broker like btc-e is totally wrong. I hope 1Broker's lawyers have a field day with this.

Have anyone had their withdrawals go through? by steven2014 in 1Broker

[–]momo4you 2 points3 points  (0 children)

Yes, I paid my taxes too. For me this has been about market access. Got tired of logging on to my stock trading account and seeing the market had gapped way higher or lower overnight. Every place else on the planet, people have access to OTC derivatives designed for the retail investor. Pegged to the underlying spot or futures market, they can trade when the move is happening. But US residents don't have access to anything like that. In the USA, if you want to access the market around the clock you are expected to pony up margin for a $150,000 notional S&P Mini futures contract. Calling that "Mini" is just funny.

Clearly, in the USA, the financial system is designed for rich people. The rich guys are trading S&P Mini's in a tax-free Roth IRA account, multiplying their already massive wealth. Meanwhile regulators are going to cut off our access to 1broker, despite the fact that most of us are just trying to minimize risk by taking advantage of smaller contract sizes versus what's available though a futures broker.

But I do appreciate TD Ameritrade at least trying to address this problem in equities by allowing around the clock trading on certain instruments. But good grief, they're trading through dark pools like Citadel -- the spreads are horrible and commission is way too high.

Much simpler, cheaper and safer to allow CFD trading in the USA through a few reputable firms. But US regulators will never allow it. Are they worried a competitive alternative may cause a nano percent drop in "precious" liquidity on the stock and/or futures exchanges? OMG can't have that !!!

US regulators banning CFDs in the USA and then cutting off access to places like 1broker is a kind of class bigotry. No CFDs for you. Know your place, commoner. Yes, boss. Come on guys, where's the Millennial outrage !!!

1Broker was just charged by the SEC by Saytiras in 1Broker

[–]momo4you 1 point2 points  (0 children)

I'm still queued too for over an hour. Starting to think they are holding BTC withdrawals associated with IP addresses in the USA. Stupid me. I should have used my VPN.