In the Marshall Islands, forex brokers are not regulated by the government, but may instead sometimes be members of private independent regulatory organizations. Since the Marshall Islands does not regulate forex brokers, the brokers there are to a large extent free to operate in the way they see fit. This means that trading leverage is generally very high, often going up to 1:500 on the most liquid forex pairs.
The Marshall Islands has for many years been a popular jurisdiction to incorporate in both for forex brokers, as well as for a range of other financial services firms like funds, insurance companies, and offshore banks. Today, this Caribbean nation is therefore home to a large number of offshore companies that originate from all around the world.