[ryanfreeborn]

The law requires brokerages to assess clients knowledge and fitness to trade more advanced instruments like spreads and naked options. This individual most likely lied to the brokerage about his trading experience, and that's why he was approved for Level 3+. There are many warnings issued when you start in futures and options, to make users aware of the risks of trading without sufficient experience and education. The cost of equal access to financial instruments (imo, a good thing) is that the balance between KYC, education, and risky behavior is hard to strike. This is an example of those costs coming due. I don't really think the marketers are to blame.