The net is tightening on brokers - at long last

http://www.smartmoney.com/investing/...1294786044234/

Good on them

Somebody should build a true Regulated FX exchange..
I know few have failed, but still

Look at this comments from the above report
"...Regardless of whether regulators find cases of unfair trading, retail investors are still at a disadvantage when trading currency because forex is far from transparent, says Charles Rotblut, the vice president of the American Association of Individual Investors. For example, if a forex firm is acting as a market-maker – taking the other side of a client's trades – it's doubtful the investor is getting the best possible price, he says.

There is already one

www.lmaxtrader.co.uk

Well LMAX does have the potential to change the game for retail traders. I was a Beta tester from day one and a coder and I are currently building a trade placement interface that will capitalise on their strengths.
Once they finally add CFDs (which was supposed to have happened by now) I think word will spread quickly and liquidity will increase. It will be to every retail trader's benefit for it to be a success.

Market maker brokers are on the way out. ECN all the way!

The sooner the better too. However, I suspect its not quite as simple as that and the MMBs will do some neat side steps to pretend they are ECNs.
There is major money to be made out there so they're not going to give it up without a fight.
We need proper regulation above all else.

You're MMB's will become the ECN's and we'll still have to be careful as to who we use.

Good to know! I think this would avoid those who want to scam other people.