The US forex market is deliberately stingy: only brokers registered with the CFTC and NFA may serve US residents. That short list is a feature, not a bug — strict regulation protects you. Here is how to choose from within the regulated pool.
Why It Is Different in the US
US clients can only trade with CFTC-registered Retail Foreign Exchange Dealers (RFEDs) and regulated futures commission merchants. NFA rules also cap leverage and require segregation of client funds.
How to Verify
Check the broker's NFA number on the NFA BASIC register and confirm it is authorised for forex (RFED/FCM). Avoid any firm saying it does not need US registration.
What to Compare
- Platforms: what the broker offers for FX (often MT4/MT5-compatible or proprietary).
- Costs: spreads and commissions.
- Instrument coverage: FX pairs, futures, metals.
- Account minimums and funding methods.
Leverage Caps Protect You
US regulatory leverage caps (roughly 50:1 on major pairs) are lower than in many countries — frustrating for some, safer for most.
FAQ
Why do so many brokers refuse US clients?
Because they are not US-registered; accepting US clients without registration is illegal.
Can I use an offshore broker as a US resident?
Doing so is high risk and often against regulations; stick to registered firms.
Related: Best Brokers for Traders and Forex Trading Signals.
Disclaimer: Verify NFA registration; trading is risky.