It goes without saying that you have to trade penny stocks if you want to make large profits quickly. The penny shares market is set up differently and has very unique rules compared to those of standard stock exchanges. The reason for most of the differences is that most penny stocks trade in an over the counter market.
The OTC market is pretty flaky compared to the exchanges. You have fewer participants in the form of regulators and securities dealers. However in the exchanges the SEC plays a very signficant role. They SEC or the Securities and Exchange Commission keeps tabs on companies and makes sure they fulfill all the disclosure and other fiscal requirements. Their role cannot be emphasized enough in order to keep things clean and operational in the securities industry. If there are any penny stock schemes in the making then they are alerted and they take actions against the perpetrators.