With forex, the banks are the nearest you can get to having a formal exchange. As such, bank-backed prices are as good as it gets for the sake of DMA. However, for this product to enjoy tax haven status in the UK, the bets must not involve real transactions outside the firms offering the product; so some form of limited bucket shopping is unavoidable. This is IMO why futuresbetting went overseas. Yet the smart thing to do is offer these real prices to induce a psychological sense of belonging in those who have always wished for a way of trading DMA without paying tax. The real hope for the product offerer..... (,,I think), is that the small spreads will entice a user size big enough to earn reasonable profit for the firm. In other words, large scale economics! The next step will be to offer same product in other non-forex markets .......whenever enough clients ask for one. With this in mind, I am all for it as it will drive down futuresbetting commissions afterall (if they come back....ehm, when they come back).........I stand corrected!
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