A UK-based exchange for trading in commodities has taken on a life of its own, trading on its own platform like a ponzi.
MBA Exchange, which offers to buy and sell US gold, silver and precious metals, has been trading on the London Stock Exchange since the middle of last year.
However, the firm has since been suspended.
Its suspended exchange, which had more than 1,400 active trading accounts, closed down yesterday.
The exchange, run by investment bank Lazard, had over 700 accounts trading in precious metals.
Gold and silver have been a huge hit in recent months, as the US and China have stepped up their purchases and the European Central Bank has increased interest rates.
Shares of the exchange plunged more than 4 per cent on the news.
It’s not the first time Lazard has gone public with a trading position.
In January, the bank reported a loss of more than $300m on its US investment banking business.
A spokesman for Lazard declined to comment. Bloomberg