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Tebbit Announcement on Risk Controls for Abnormal Trading Behavior

Abnormal Trading Behaviors Defined by the Exchange

  1. Excessive market trading behavior: Opening positions ≥ 50 in a single trading day, clearly exceeding reasonable needs.
  2. Self-trading: Completing trades with oneself via the same account or related accounts.
  3. Combined positions of related accounts exceeding limits: Aggregate positions of accounts under the same actual control exceed the exchange’s position limit.
  4. Price manipulation via related accounts (matched/wash trades): Using related accounts to artificially move prices (e.g., wash trading) for illicit gains.
  5. Credential-theft trading: Trading with stolen accounts/passwords or through linked accounts to conduct illegal trades and move funds.
  6. Order brushing with own/related accounts: Submitting repeated orders across multiple accounts to fabricate volume.
  7. Prohibited quant/arbitrage trading: Using illegal algorithms or methods to evade rules or conduct improper cross-market arbitrage.
  8. A/B position trading: Opening long in one account and short in another to create abnormal records.
  9. High-frequency or programmatic HFT violations: Using technical means to execute 大量, ultra-short-interval trades that disrupt the market.
  10. Abnormal convergent trading: Multiple related accounts aligning in direction/price/time, undermining market fairness.
  11. Operating another’s account: Trading on behalf of others without authorization.
  12. Ultra-short-term trading: Frequent open/close with holding time ≤ 3 minutes, disturbing normal order.
  13. Price manipulation or other malicious market acts: Using deceptive means to manipulate prices and damage fairness.
  14. Exploiting vulnerabilities/unreasonable means: Profiting from technical bugs or rule gaps to harm users or Tebbit.
  15. Activities deemed harmful by Tebbit: Any conduct Tebbit considers detrimental to market order or operations.
  16. Multi-device/account fee-farming or hedging: Abusing multiple devices/accounts to farm fee rebates or create fake hedges.

Handling of Abnormal Trading

  1. Terminate account & access, confiscate illicit gains: Immediate freezing and seizure of illegal proceeds.
  2. Invalidate ultra-short-term trades; roll back data: Orders identified as ultra-short-term are canceled and rolled back.
  3. Close violating positions at market price: Force close all positions involved to prevent further improper profit.

Types & Handling: Matched/Wash Trades, Order Brushing, A/B, HFT Violations

Types/Features of Matched (“Wash”) Trades

  1. Credential-theft trades: Using stolen accounts/passwords to transfer funds between accounts.
  2. Related-account wash trades: Prearranged trades between related accounts at fixed price/size to move funds.
  3. Agent using wash trades to transfer funds: Between the principal’s account and the agent’s own account.
  4. Criteria for related accounts: Registration time, IP, deposit/withdrawal addresses, and other linkage indicators.

Types/Features of Order Brushing, A/B, HFT Violations

  1. Multi-account order brushing: In the same period, multiple related accounts trade same instrument/similar size/price.
  2. A/B position trading: Long and short opened simultaneously in one or multiple related accounts to fabricate records.
  3. Rapid open/close trading: Large numbers of open/close actions in short time, forming abnormal patterns.

Penalties for Violations

  1. Minor violations: Rectification order, confiscation of illegal gains, warning, or temporary suspension.
  2. Serious violations: Forced liquidation, account freeze, public censure, or designation as “market-banned.”
  3. Suspected criminal activity: Referral to law-enforcement and litigation.

Tebbit Special Provisions

Tebbit strictly prohibits any unfair trading, including but not limited to:

  1. Participating in price manipulation or malicious market behavior.
  2. Exploiting vulnerabilities or improper means that harm users or the platform.
  3. Engaging in market-harmful activities.
  4. Multi-device/account order brushing or hedging to game fees.

If such behaviors occur, Tebbit may freeze accounts, force-close positions, and refer cases to authorities.