Margin trading is commonly referred to as gambling with fancy words like “FTSE, Gold and Currencies”. Unlike the ‘horses’ or ‘dogs’ investors are trading on volatile markets with no clear understanding of what the product is, how it works and most importantly what makes it move. Regulators in advanced economies have touched on this and have tried to draw some barriers so that brokers are more aware and so are their clients on the possible risks.
Online gaming companies have potential clients that are interested in financial trading, they want opportunities to make money and margin trading offers exactly that.
A US based gaming firm has been looking at FX and is currently in process of expanding its online gaming business into the active world of Forex currency trading.
Elray Gaming, a pure play online gambling turn-key stock, announced it will be expanding its online gaming portfolio to now cover online Forex trading under its international footprint. In addition to its online casinos, and poker websites, Elray Gaming will expand its operations into currency trading, which trades around $4 trillion each day world-wide.
Separating Yourself From the Pack in a Mature FX IndustryGo to article >>
As currencies fluctuate wildly on news out of Europe, US, and Japan, traders are finding big gains trading through the Forex market, and Elray Gaming will explore how to harvest this growing market. Areas to be explored are online Forex trading, turn-key platform solutions, and managed Forex accounts for institutional investors.
The Company is expected to provide greater detail of their new expansion into Forex and other gaming divisions, like fantasy sports, mobile apps for sport fans, and social networking opportunities in the coming weeks.
With new regulations in the US Forex market, the Company will explore launching its new Forex division for non-US players. Forex is a global operation, and Elray will look to leverage its current international operations to expand its business into the currency trading market, even if missing out on US customers in the beginning.
Betfair a leading gaming company established LMAX a new CFD & spread betting exchange. Currently gaming product are not heavily regulated in the UK and spread betting as a financial product befits from zero tax for non professional traders (those that are not classified as self employed traders and corporate).