1) If they're FINRA regulated as a brokerage, then it should be enough.
2) Your point on uninformed flow is very very interesting here. I wonder if having a marketmaking group on the other side of a chinese firewall that has flow rights justifies this model by itself.
Retail flow is almost always unsophisticated. Decisions are made with a much smaller subset of the information available at any instant compared to active market makers, hedge funds, etc.
1) If they're FINRA regulated as a brokerage, then it should be enough.
2) Your point on uninformed flow is very very interesting here. I wonder if having a marketmaking group on the other side of a chinese firewall that has flow rights justifies this model by itself.