Binary Option Scams

Trading Binary Options with an unregulated binary options broker is basically gambling.

Many binary option brokers are not regulated, and many brokers are based in tax havens or places like Gibraltar, British Virgin Islands, Seychelles and Cyprus. This causes many people to assume all binary options are scams. The truth is, not all brokers are scams.

Trading with a licensed & regulated broker is the smart thing to do! Read about regulated brokers here.

Many brokers look the same because they use the same trading platform, but are actually very different. Read the article: How To Compare Brokers.

For an updated list of the most popular brokers, see here.

American Traders will not find a CySEC regulated broker that accepts American traders.

The most popular brokers accepting American traders are: Boss CapitalCherry Trade, and GOptions.

Other brokers that accept USA traders are; BeeOptions, BinaryOptions360, Bloombex Options, Brokerage CapitalCedar FinanceCTOption, Empire OptionGTOptions, LBinary, Leader Option, Magnum Options, OptioNow, OptionsXO, TitanTradeRegal Options, YesOption and Zoom Trader.

The minimum deposit to open an account with most brokers is $250, with the exception of Bloombex Options whose minimum is only $100.

Empire Option which is regulated in Uruguay, accepts American traders.

Signal Providers – We have an extensive discussion of binary option signals here.

Most brokers offer some type of trading signals to their clients. There are a few brokers who actually have auto signals software. Click here to read about Signal Index from GOptions. Bloombex Options offers an auto trader called iFollow, see here.

Demo Accounts – Most brokers do not offer free demo accounts for traders to test their platform. Brokers would rather focus on existing customers than spend time with a non serious trader. GOptions will give traders that open a regular trading account an additional demo account once they have made a deposit, see here.

You can read more detailed reviews of broker on Scam Broker. There you will find reviews of legitimate and scam binary option brokers.

Email Your Questions To: [email protected]

Recently, The Cyprus Securities and Exchange Commission decided to include binary options in the list of financial instruments that fall within the remit of the Investment Services and Activities and Regulated Markets Law. You can find the complete list of investment firms here.

Here is a quote from one Binary Options brokers website.

Like many other instruments that take their value based on the value of an underlying asset, binary options have no centralized exchange on which they’re traded. Brokers sell contracts directly to buyers with no third party involvement, known in the financial world as over-the-counter trading. Since binary options are almost exclusively traded over the internet, this allows brokers to establish themselves in areas with favorable financial regulations. Many brokers, for example, are based in Cyprus which has a low tax rate. Other than local taxation policies, there is little regulation for trading binary options. Their over-the-counter platform and various broker locations work together against the implementation of any real regulations.

It is imperative that someone who is considering trading binary options does their research before giving a broker their money. By simply performing a search and reading reviews for a given broker, a trader can ensure that their money is held securely and responsibly.

This broker is telling you to not open an account with a binary options brokerage firm, unless you verify that they have a good reputation.

Two issues that constantly come up with Binary Option Brokers are:

  • Do they allow you to withdraw your profits?
  • Are their quotes correct?

For example, If you are placing a bet on the EUR/USD. What price are they quoting? Is it the same price you see on the CME Globex, on IdealPro, FXCM? Each broker makes up their own prices. When trading Binary Options on a stock. Is the broker using their own data? Are they taking quotes from the NYSE, NYMEX and Electronic exchanges or from their own internal system.

Here is what many brokers write in their disclaimer about market prices.

Option quotes displayed on the platform are indicative rates that the company is prepared to sell options at, and may not correspond to either live market quotations or quoted rates at the point of sale.

When reading reviews it is important to know who is writing the review. You are better off speaking with friends who actually have an account with that broker and have had experience trading real money with them before you decide to open an account.

On June 6th 2013 the US SEC put out an investor alert regarding binary option scams. Read entire alert on the SEC website here.

Our latest check on November 19th 2014, shows more than 250 different Binary Option Brokers. See the complete list below. We have not been able to verify that all of them are still operational but the ones with links are actively trading.

24Option Cherry Trade LBinary Sky Binary
365 Trading Currency House Leader Option Smart Dengi
777 Binary CTOption Magnum Options Smart Option
888 Binary Dragon Options Master Option SpotFN
24 Winner Dream Option Market Options Star Option
Admiral Markets Easy Getter MaxOptions StarfishFX
AFX Capital Easy Invest My Self Trade StockPair
AJ Browder Capital Easy Option NordBNK Swift Option
Alliance Options Easy Trade No1Options Target Options
Alfa Options EBinaires NRG Binary TD Options
Almishal Trading Empire Option NY Stock Options Thinks Binary
Alpari Enter Option One Two Trade Top Option
AnyOption Europe Binary Broker Options Market Trade 101
Apostenabolsa ETX Capital One Binary Titan Trade
Avrio ETX Binary Only Option Trade Quicker
Banc De Binary EU Binary Brokers Option 4 Trade Trade Room Bar
BD Swiss EZ Trader OptionArea TradeRush
Beast Options E-Z Option OptionBit Tradenet 777
BeeOptions Five Stars Options Opteck Trader Easy
Bet on Markets FMTrader Option Game Traders Room
BFM Markets FN 168 Option IBC Trader World
BFX Option FTD Options Option King Traders King
Binary Trade FXCC OptioNow Traders Leader
Binary Options 360 FXDD Option Place TraderXP
Binary Geo Tradex OptionRally Trading 24/7
Binary Bank Get Binary Option VIP Trend Option
Binary Markets GFM Trader OptionWeb Twin Option
Binary Plus Global Trader 365 Option World uBinary
Binary Plus One GMT Options Option XP Ultra Markets
Binary Pro GMYT Binary Option Yard United Options
Binary Tilt GOption OptionFX UPFX
Binary Uno Golden Binary OptionTime Vault Options
Binary Wall Street Golden Markets Options 2 Trade VIP Binary
Binary Winner Golden Matrix Options Click VIP Option JP
Binex Markets Greenzone options Options Express Vostro Finance
Binoa Go Options Options Now WeOption
Bloombex Grand Option OptionsXO Wealthcore
Bloombex Options Grow Binary Option Winner Winner Options
BNRY Options GTOptions Oracle Options Windsor
BO Capital GTF Binary Peterson & Kelley World Options
Bopcije Hot Options PowerOption XL Options
Boss Capital HY Binary Options Premium Options XP Markets
BTG Option iOption Put n Call YesOption
Brokerage Capital Interactive Option Qatar Zenith Options
Bridge Binary IBFX Redwood Options Zerich option
Capital Option IH Options Regal Options Zoch Trade
Capital Manhattan IKKO Trader RegulatedOptions Zoom Trader
Cedar Finance Insta Options Royal de Bank Zone Options
City Binary Insync Set Option

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