CFTC issues an injunction against InstaTrade Corporation and ZTRADEFX LLC
- Instatrade Corporation, aka Insta Forex, and Ztradefx LLC were two of the 14 firms sued by the CFTC early last year. Ever since most firms didn't bother to settle with the CFTC but some did. Last week we saw that FXOpen settled the case with the CFTC paying $140,000 fine.
Instatrade Corporation, aka Insta Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term, and Ztradefx LLC were two of the 14 firms sued by the CFTC early last year. Ever since most firms didn't bother to settle with the CFTC CFTC The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss Read this Term but some did. Last week we saw that FXOpen settled the case with the CFTC paying $140,000 fine.
Without any official announcement the following information appeared on NFA's website. Apparently both companies were sanctioned in the following way:
TRADING PROHIBITION 09/14/2011
- STOP SOLICITING 09/14/2011
- OTHER (SEE NARRATIVE) 09/14/2011
- PERMANENT INJUNCTION 09/14/2011
- MAY NOT APPLY TO REGISTER 09/14/2011
- FINE $140000 09/14/2011
- MAY NOT OPERATE AS PRINCIPAL 09/14/2011
This step probably took place because both companies didn't settle and are not in the process of settling. There is no additional information available at this point. I'm awaiting clarifications from the NFA.
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Instatrade Corporation, aka Insta Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term, and Ztradefx LLC were two of the 14 firms sued by the CFTC early last year. Ever since most firms didn't bother to settle with the CFTC CFTC The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss Read this Term but some did. Last week we saw that FXOpen settled the case with the CFTC paying $140,000 fine.
Without any official announcement the following information appeared on NFA's website. Apparently both companies were sanctioned in the following way:
TRADING PROHIBITION 09/14/2011
- STOP SOLICITING 09/14/2011
- OTHER (SEE NARRATIVE) 09/14/2011
- PERMANENT INJUNCTION 09/14/2011
- MAY NOT APPLY TO REGISTER 09/14/2011
- FINE $140000 09/14/2011
- MAY NOT OPERATE AS PRINCIPAL 09/14/2011
This step probably took place because both companies didn't settle and are not in the process of settling. There is no additional information available at this point. I'm awaiting clarifications from the NFA.