Author: Livia Tay, MY
Last Updated: April 8, 2024
This summary outlines key prohibited trading behaviors under Lirunex’s Terms and Conditions. These rules aim to protect the trading environment from unfair strategies, technical abuses, and harmful trading practices. All internal staff should be familiar with these points to ensure clarity in client communication and policy enforcement.
Prohibited Trading Practices
1. Abusive Strategies & Arbitrage
Kindly refer to image 1.1.42.1a for detailed information.
These occur when traders take unfair advantage of system errors or internet delays. Examples include: 1.1. Using manipulated prices due to system bugs.
1.2. Fraud or illegal activity behind transactions.
1.3. Coordinated trades by related parties exploiting delayed updates.
1.4. Arbitrage on incorrect prices due to system issues.
image 1.1.42.1a
2. Abnormal Trading Patterns
These involve high-frequency, short-term trades that disrupt the platform and mislead market behavior. Examples: 2.1. Over 30% of trades held for less than 3 minutes.
2.2. 30%+ hedged positions opened/closed within 3 minutes.
2.3. One account operating via multiple computers to simulate high activity.
2.4. Exploiting quote delays with heavy, repeated entries/exits.
2.5. Use of bots or AI software purely for unfair advantage.
2.6. Software causing negative impact on platform/server performance.
2.7. Arbitrage exploiting Liquidity Provider (LP) pricing delays.
2.8. Cross-account hedging suggesting coordinated intent.
2.9. Multiple accounts linked by same/different IPs under single control.
2.10. News Trading – entering trades 5 mins before/after news to exploit short-term spikes (especially with high leverage & insufficient margin).
2.11. Risk-free profits from rebates (e.g. only trading to earn rebates while covering losses).
2.12. Using LP-flagged 'Manipulation Strategies' like:
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Machine-gunning large lot sizes.
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Rapid flipping of buy/sell positions.
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Capturing both sides of the move, then closing positions same day.
3. Company Actions on Violations
If abusive or abnormal behavior is detected, the company may: 3.1. Cancel transactions and revoke rebates.
3.2. Correct or adjust accounts.
3.3. Restrict access to real-time prices.
3.4. Reclaim illicit profits.
3.5. Terminate the client relationship & close all linked accounts.
3.6. Inform relevant third parties.
4. Final Measures & Enforcement
If any form of fraud, manipulation, internal hedging, or abuse is detected: 4.1. All trades and profits/losses may be declared invalid.
4.2. Client accounts may be suspended or permanently closed.
4.3. Client may be banned from reopening new accounts.
4.4. If an account is reopened due to a mistake, it will be shut down and only the original deposit (minus charges) will be refunded.
Lirunex is committed to maintaining a fair, stable, and transparent trading environment. Abusive or manipulative behaviors not only harm the system but also impact genuine traders. Internally, all team members should understand and enforce these rules consistently, ensuring that only legitimate trading activities are supported on our platform.
Let’s help keep the trading environment fair and secure for everyone.