Government to Monopolize Forex Trading
April 1, 2011
US regulatory authorities — CFTC and NFA — proposed a new initiative today. The main idea of their proposal is to monopolize the retail Forex market by the government. All the existing registered US brokers should be nationalized and, as a result, a single Washington-controlled foreign exchange dealing body is to be created. The resulting Forex broker will be called Federal National Forex Broker and will have the largest customer base in the world, as all the current clients from the existing US brokers will be automatically transferred to it. The main features of FNFB will be the fast execution of orders (no more than 5 seconds) and the slightly increased spreads for the major currency pairs (from 10 normal pips on EUR/USD). According to the officials, this will serve two purposes: first, to protect the traders from sending unreasoned trading orders, second, to bust to the revenues of the federal budget.
The further details of the nationalization process and monopoly creation will be provided soon. The process is sought to be completed by April 1st, 2012.
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