Retail customers are individuals who purchase goods or services for their own personal use, rather than for resale or business purposes. In financial markets, this term typically refers to non-professional investors who trade securities or digital assets in smaller quantities. They often lack the sophisticated knowledge or capital of institutional investors. Their trading activities are generally subject to consumer protection regulations. Understanding the characteristics of retail customers is crucial for financial service providers and market regulators.
Context
The involvement of retail customers in cryptocurrency markets is a subject of considerable attention, particularly concerning their trading behaviors and susceptibility to market volatility. Current discussions often highlight the surge in retail participation during periods of high asset appreciation and the risks associated with less informed investment decisions. Key debates involve the adequacy of consumer protection measures and the role of exchanges in safeguarding retail investors. Future developments to monitor include regulatory efforts to enhance financial literacy among retail participants and the implementation of measures to prevent predatory practices.
We use cookies to personalize content and marketing, and to analyze our traffic. This helps us maintain the quality of our free resources. manage your preferences below.
Detailed Cookie Preferences
This helps support our free resources through personalized marketing efforts and promotions.
Analytics cookies help us understand how visitors interact with our website, improving user experience and website performance.
Personalization cookies enable us to customize the content and features of our site based on your interactions, offering a more tailored experience.
