Bucket shop

A bucket shop took customers' orders and never sent them to a market, betting against the customer instead. Bucket shops were outlawed in the early twentieth century, and the prohibition is a direct ancestor of the rule that a displayed order must be real.

history and doctrine · updated 2026-11-06

See also

• Bona fide order — A bona fide order is one placed with a genuine intention to trade if the market reaches it. The concept does most of the work in s…
• Boiler room — A boiler room is a high-pressure sales operation, historically telephone-based, that sells securities using scripted misrepresenta…

Terms that refer here

Binary option

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