Complexity of Financial Regulations in the US These factors have contributed to the outlawing of spread betting in the US, making it a unique situation compared to other countries where it remains legal. The Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) both have authority over different aspects of financial trading, leading to a convoluted system that can be difficult for traders to navigate.Īdditionally, there is a strong anti-gambling stance in America that has led to criminalization of certain types of betting, including sports betting and online gambling. One major factor is the complicated nature of financial regulations in the US. The reasons for the illegality of spread betting are complex and multifaceted.
This article will explore the legal perspectives behind this decision and what it means for traders. Have you ever wondered why spread betting is illegal in the United States? Despite being a popular form of financial trading in other parts of the world, spread betting is prohibited in the US.
