Disliked{quote} What you are saying is exactly right.They bundle together orders and accounts and provide leverage.If they didnt not do that most traders with small accounts would not be able to trade.The bigger the broker can be the better rates they receive from liquidity providers Where could you go with an account of even $100 000 to trade on the open market.What would the cost and spread be if you negotiated your costs by yourself. You can phone Barclays , HSBC , Bank of America etc and request to fill some orders of 100 k in whatever denomination...Ignored
Even better is is to wait until someone implements forex of a blockchain then trade trustlessly without banks which will slowly wither to dust