When entering into commodity trading online rules and regulations and even the trading practices need to be considered afresh. When a trade is being effected between two different traders online, actually it is a virtual trade and the actual commodity may take time to reach the buyer. The investor can make a request either for the transfer of balances in to his account or to that of another participant.

All traders do have certain legitimate rights as per the byelaw and the business rules laid down by the regulatory authorities. The byelaw specifies the right to,
• Termination
• Transfer of Balance
• Consequence of Suspension
• Consequence of Expulsion

If the participant in a trade goes bankrupt, is there any chance to help him out? A depository often holds the investor accounts on trust. Therefore, if the depository participant goes bankrupt, its creditors will have no access to the holdings in the name of the former’s clients. The investors can then either rematerialize their holdings or transfer them to a different account held with another depository participant.

Most often, the commodity trade is a hassle free process, if the traders from two destinations are trading from the trading platform of a particular service provider. Such a privilege is possible only at the platforms of the major service providers. The small players are limited in their operations in certain cities and towns within the country. Only the major players do have operations across the length and breadth of the country and even in other different continents.

For a new comer to the online commodity trade, it is better to try out with the major players with operations across different continents. It pays much because; only during cross continent operations will it be possible to generate more income due to the high cost of goods and services in the developed world.