Binary options europe gambling commission

UK Gambling Commission warn on binary options regulation. Published on May 26, 2015. UKGC Regulation Advice. The UK Gambling commission (UKGC) has issued advice to Binary options traders in the UK. They want to ensure consumers fully understand the products on offer, but most importantly, use only licensed and regulated brokers. The UKGC has been responsible for the licensing of binary option brokers in the UK since the 2005 gambling act. The UK government however, is considering moving responsibility to the Financial Conduct Authority (). regulation would offer UK consumers far greater protection and would seem a sensible step, given the growth of binary options trading. The UKGC had not previously shown any great enthusiasm to step into the binary options landscape, so this latest press release is to be welcomed. In it, they suggest consumers “ fully research the market ”. One of the key points made by the UKGC is that traders should be sure to use licensed and regulated brokers only – “ consumers who are unsure or have doubts over an operator, should not use their services. ” License and regulation confirmation should be displayed prominently on the website of any binary options broker. Protecting consumer funds. There is also another warning regarding the protection of consumer funds “ if consumers lose money while using unlicensed operators, then the regulatory body cannot recover this, or offer any compensation. ” This element of protection is often overlooked, and is sometimes assumed not to exist at all. The UKGC can however, help resolve disputes where the broker is licensed in the UK. Where consumers may have already fallen victim to unlicensed brokers, the UKGC recommend contacting Action Fraud .

Read the full UKGC statement on binary options here . The UKGC warning follows similar messages released by French regulators – The Autorite des Marches Financiers (AMF). In France, one operator in particular has been misusing the logo of the regulatory body and legal steps have been taken to deal with that firm. The AMF echoed many of the comments made by the UKGC, including the importance of using only regulated brokers. These statements illustrate the growth of binary options and the need for regulators to inform the public how to ensure they are using trusted brokers, and protect themselves from risk. regulation has improved some of the issues that blighted the sector prior to that, and regulation could go even further, and provide UK consumers with absolute confidence. UK Binary Options Regulation. Is Binary Options Gambling or Investing? Is there any difference? This post casts an eye over the possible stance of the and their attitude to UK binary options regulation.

UK binary options regulation will (next year?) become the responsibility of the UK Financial Conduct Authority (). As the status of binary options continues to exercise the minds of the good and great in the financial regulatory offices around the world, now the UK’s (reluctantly) joins this merry throng. Binary options, until now, have been considered gambling in the UK and as such have been regulated by the UK Gambling Commission: ‘until now’ because the UK has now decided that binary options are to be regulated by the UK’s Financial Conduct Authority (). Is this an implicit acceptance that binary options trading does not comprise of gambling and is a bona fide investment or is it the UK once again doffing its cap to Brussels and imposing legislation it does not like, support or agree with? When the UK’s largest spreadbetting company, IG Index, first introduced binary options they were marketed as ‘Binarybets’ indeed, they had a separate website binarybet (although that is now just a link to their composite IG Index site) and this was regulated by the precursor to the UK Gambling Commission. The IG page that the above binarybet link redirects to spurns the use of the term ‘binarybet’ now preferring to use ‘binary type’ or ‘binaries’, except when referring to their regulation when ‘binarybet’ is used. So, on the IG site is offered an insight into the confusion reigning over the status of binary options a binary option is termed ‘binary’, ‘binary type’ or in conjunction with regulation, a ‘binarybet’ but never a binary option, whereas a variable ‘tick-size’ future is referred to as a ‘spreadbet’ and is regulated by the ! Department for Culture, Media and Sport. The UK’s Department for Culture, Media and Sport (DCMS) on August 5 th sent the following letter to the UK Gambling Commission who have published it: DCMS Letter. The assertion that: “Binary options are a form of fixed odds bets on financial markets” followed by: “This would bring binary options within the remit of the Financial Conduct Authority (), in line with standard European practice” suggests possibly that this move is a move that the authorities are not entirely comfortable with.

Should the regulatory authorities, in particular the , drag their feet on the issue it remains to be seen how long binary options in the UK will be unregulated since ‘operators will not, for the time being, require a gambling operating licence to offer binary options’. A final comment on the above DCMS letter pertains to the statement ‘Operators who offer binary options alongside more traditional betting products will merely find this part of their activity regulated by the FCA’. Many sports bookmakers and casino operators will at present have zero exposure to financial products apart from binary options and subsequently will not already have ‘activity regulated by the FCA’. It remains to be seen whether these particular operators wish to jump through the more rigorous hoops that gaining binary options regulation from the UK recognition will require. If these operators do decide to attain approval then along with the new binary options providers attracted to the UK market there could be a considerable application backlog. Definition of Binary Options. The DCMS has defined a binary option as a fixed odds bet yet is overseeing the transfer of regulation from the Gambling Commission to the . Clearly a new definition of what exactly constitutes a binary option is urgently required since the reference to a fixed odds bet is now obsolete. There are a number of aspects of financial instruments in general that need to be considered in defining this ‘new’ investment, e. g. time frame, settlement price, margining, price format and presentation just for starters. If the time frame of the life of the option is just 60 seconds does this qualify it as an ‘investment’? If the time frame is deemed to short then why is High Frequency Trading with sub-second in-and-out deemed to be an ‘investment’ and permitted?

The NYSE’s ByRDs follow the mistaken and common acceptance that binary options have to settle at 0 or 1(00). Combinations of binary options mean that the settlement price does not have to settle at 0 or 1(00), e. g. a ratio of two binary calls could provide settlement prices of, say, 0, 40 & 100. Just as a conventional call spread (made up of two conventional call options) is still considered conventional options trading, binary options strategies (made up of a combination of binary options) are still binary options trading. Will the now permit the margined trading of binary options? Logic would suggest that since the UKGC used to be considered the correct regulatory environment owing to the fixed odds nature, i. e. the client could not lose more than was wagered, then this particular attribute could be ignored. Will a binary option be a binary option if it is offered in the percentage return format that has become so prevalent and popular? The mathematical formula of a binary option price is constrained by the lower and upper limits of 0 and 1 respectively. Will this pricing format be rigidly adhered to or will a factor of 100 be permitted, i. e. a range of 0 – 100? Alternatively bookmakers offer the odds in the sport fixed odds style, e. g. 64, 118…. will this constitute a binary option? Who is to say that one cannot trade financial markets, e. g. GBP v USD in the form of a game of bingo, a virtual horserace or a virtual game of roulette? Pioneering Binary Options Regulation. The has the opportunity to take CySec’s pioneering good work and provide binary options regulation in one of the foremost financial centres of the world.

The credibility the Japanese FSA’s binary options regulation has given to binary option trading in the Far East should not be underestimated. The UK’s is in a position to do the same in Europe providing it does not take too much self-interested advice from market participants who attempt to tailor the FCA’s product restrictions to facilitate their own products and eliminate the innovation brought to the marketplace by new product providers. This should and could be one of the easier products for the to regulate since assuming that providers will not offer short-term margining the retail public can only lose what has already been placed in their accounts. This also applies to the providers so unlike spreadbetting companies that require many millions of financial collateral to support the unknown losses they may incur, binary options providers are able to always know in real-time what their maximum downside risk is. Providers and users of these simple, retail-friendly and limited risk instruments must hope the does not drag its heels and miss the opportunity to give the binary options industry the credibility it so urgently seeks. Binary options. Gambling or financial instrument? Binary options are nowadays widely recognized as one of the most accessible ways of getting introduced to financial markets. The pace of penetration in the retail segment has been truly overwhelming during the last 5-7 years, yet even though this type of instruments has undergone a noticeable shift of perception in both investors and market participants minds, we still see no finalized common opinion formed on the essence of that instrument. Let's try explaining and answering to ourselves what binaries actually are and that are their strong points. Industry emergence. Following Fx on the way to regulation. The high popularity came at an initial reputational cost for the new asset class.

One of the reasons for binaries rapidly gaining popularity was the lack of regulatory framework and industry standards, which ensured a strategic advantage over forex, derivatives other more complex markets in the eyes of emerging start-up brokers. The effort-efficiency of launching a binary brokerage attracted a vast number of undercapitalized market participants diluting the image of the service, leading to the incorrect perception of binary options being more like gambling and a scam rather than trading. The sites Binary option brokers appeal to the same type of people who play poker online. But they somehow have an aura of being more respectable because they represent themselves as offering a form of investing. Don't kid yourself. These are gambling sites, pure and simple. It's probably just a matter of time before regulators move in on them. Gordon Pape, "Don't Gamble on Binary Options" ( Forbes ), 27072010. The gambling parallel was, unfortunately, widely exploited in promotional campaigns run by market participants. Balancing on the edge of two confronting definitions (gambling vs. trading instrument) has raised numerous discussions within the trading and expert community, both sides having their supporters. Gradually this debate fostered a view, which I personally find most reasonable, that primarily questioned not the essence of binaries, but mostly the suitability of any asset class to a particular individual or method. Since one of the meanings of gamble is taking risky action in the hope of a desired result or staking something on a contingency, pretty much any financial instrument may be considered as an object of gambling if approached without proper prudence. Judging by this definition, a lot of what we do in daily life is gambling. Binary options are gambling much like other financial instruments, tangible or intangible.

"Are Binary Options a Form of Gambling?" ( FinanceMagnates ), 30072014. Indeed, opening an overleveraged Fx position with a micro-account, opening a leveraged CFD position without stop-loss on a stock the trader does not have a profound knowledge about, going into a derivative while not building a real hedge does not seem getting any further from gambling in the common perception of that concept. You may have grasped that the common trait of the last 3 examples is poor risk management. Let's be honest, any investment activity is gambling. Venture capitalists also gamble when they invest into start-ups, there is no guarantee that the company will survive let alone bloom. "Are Binary Options a Form of Gambling?" ( FinanceMagnates ), 30072014. Poor risk management usually originates either from the intended will to speculate with high risk or from the unsuitability of the instrument to the particular client, which in its turn comes from the lack of regulation in client assessment, informing and general education. And here again we return to the initial problem with binaries - the lack of regulation.

Fortunately, we already are seeing a retraction of this tendency towards a closer regulatory oversight, renowned financial market participants embracing the binary offer in their product range and traders exploiting the original strong qualities of binary contacts in their trading strategies. Cyprus was the first watchdog to officially start regulation of binary option brokers in 2012, while many of other EU jurisdictions kept viewing binaries as "game of chance" and directed requestors towards their local gambling regulatory bodies. Things started changing fast in 2015. The year started with a landmark decision by Rotterdam court ( Source ) on the OptieClub case, where the Netherlands financial regulatory body (AMF) was forced to issue the first licence to a binary options broker. The watchdog had rejected the request earlier despite falling into the financial markets product definition under MiFID regulations and directed the broker to the Dutch Gambling commission. Similar news are coming from the UK where Her Majesty's Treasury issued a consultation paper considering regulating binary options as financial products. The UK Government is consulting on proposals to treat binary options as a financial rather than a gambling product. This would mean binary options would be regulated by us, the , in line with practice across most of the EU, and no longer be regulated by the Gambling Commission. Both the Dutch court decision and UK initiative are indications on an impending paradigm shift that might open the gates for legitimisation of binary brokers seeking to get solid regulation in the EU market. Essentially, binary options industry is following the same path the Forex markets started 15 years ago: starting as a newly emerging speculative market dominated by non-regulated participants, low client confidence and ambiguous image retail, Fx turned into a well-established industry, overseen by financial authorities in virtually all developed countries it is now offered in the product range of numerous commercial banks.

Binaries are now making the same journey towards regulation and transparency and seem to be doing it faster than Forex did in the past. At Dukascopy we have been feeling the shift of attitude to binary options especially strongly as our decision to enter the binary market 2 years ago was being taken amidst reported reservations regarding the suitability of this service to a well-established and reputable broker. On the contrary, we saw a clear competitive advantage in the fact that binary trading will be offered by a Swiss-regulated bank via proprietary platforms. We believed that this should contribute to the diversification of the market, reinforce traders' security and offer an alternative to standard solutions thus ultimately improving client confidence to the entire market segment. Binaries as simple, yet secure and useful financial instrument. Simplicity, straightforwardness and transparency are considered to be the key inherent traits of binaries. Absence of commissions, binary result (i. e. there exists only 2 outcomes), which implies possibility of capitalizing with maximum payout on minimal market movements contract amounts as low as 1 USD and available short timeframes, sometimes less than a minute. Despite the doubts of being proclaimed speculative, binary options should be advocated as possessing all the characteristics of a financial instrument that can be used to realize investment goals. Binaries have particular attraction for investors whose strategies involve trading on economic news. News trading is a sophisticated investment activity that at minimum implies the following: Knowing when news are out and in what countries Being capable to carry out technical and fundamental analysis to assess the news impact Picking a currency pairpairs that are expected to be impacted Forecasting the needed duration of an option (e. g. 5 minutes or an hour) to avoid the interim noise volatility before and after the news is out Correctly and carefully placing a pending order and describing it. Noise volatility (volatility spikes) is a real problem for news traders that can be successfully dealt with using binaries. Here is a real-life example that demonstrates the impact of volatility: Example 1 : ECB Minimum Bid Rate (act. 0.50%, exp.

0.50%, prev. 0.75%) Date and Time: 02052013 11:45 GMT. ECB has reduced the base interest rate by 0.25%, which elicited a downward pressure on the EURUSD. However, a trader who correctly interpreted the news might come across a noise volatility that could have resulted in interim losses on a spot position. Binary option would be more preferable in this situation. Example 2: ECB Minimum Bid Rate (act. 0.50%, exp. 0.50%, prev. 0.75%) Date and Time: 02052013 11:45 GMT. Unemployment claims came out significantly lower than expected. However, the investor who correctly predicted it and forecast downward movement of USDJPY would face an unpleasant surprise when the pair hiked by 50+ pips.

After the unexpected spike the pair abated as expected. An investor with short spot FX position could have been closed on margin cut or voluntarily closed the losing position. Binary option would again help the trader pass over the spike and gain on the correct forecast. Binaries also feature a set of important qualities related to tradingexecution risks management. First is the independence of market depth, which means technical absence of slippages. Second, predefined maximum profit and, most importantly, maximum loss make it impossible to lose more than the amount of the contract. The latter also implies impossibility of driving the account into negative equity even under market force majeure conditions like those observed during the CHF soar on January, 15th 2015 after the Swiss National Bank's surprise decision to abandon the EURCHF floor. With all of the above features binary options are making another major step in turning markets more accessible to a retail trader, comparable to forex instruments going into electronic trading on retail platforms 2 decades ago. Adding a unique touch to binaries in Dukascopy. Being a banking group with an considerable IT development expertise Dukascopy undertook the development of an in-house binary service and trading platforms (Web, iOS and Android), which ensured considerable flexibility and freedom compared to the common approach of going into a white-label with one of the major platform vendors, an approach that had become standard at that time. Seeing binaries as a new area for us, we went for a conservative start with offering the classic yet most widespread UpDown binaries on currency pairs. Our flexibility allowed us offering features that were and remain unique in the market even for that basic binary options type: fixed payouts with a default level of 90% , which still remains among the highest in the market, custom-set option durations of 1-60 minutes with 1 min discretion. To achieve total transparency of the price feed we are using the SWFX (Swiss Forex Marketplace) flux, i. e. the same quote source as Dukascopy's FxCFD trading platforms.

Another valuable feature highly appreciated by technical traders are the fully-functional charts with over 180 indicators and drawing objects available in the Web Binary platform. After the service was successfully launched for the clients of Dukascopy Group, binaries became available as a separate module in the Dukascopy White-Label partnership program. This year we extended the instruments range with Daily Stock Options giving access to a session trading of over 1500 stocks from all over the world and Pair binaries on stockindex combinations. Unlike the conventional approach of offering a short fixed set of pair combinations, our traders can build their own compositions. Many updates and new features are now in the pipeline. This includes further integration of our products, allowing automatic creation of new trading subaccounts and platform improvements. To harmonize the offerings available to FxCFD clients and binary traders we are now working on launching an equity bonus program for binary accounts. Finally, new binary instrument types, including the Touch binaries and their variations, are on the way. Again, as with UpDown options, we intend to continue re-thinking conventional instruments while striving to add a unique element to our service. All the above mentioned unique features of our binary options are fully available to the retail clients thanks to Dukascopy Europe. Binary options accounts with Dukascopy Europe are available for contract sizes from 1 USD and an initial deposit of 100 USD. I invite you to get your own experience of binary trading with us at dukascopy. eu. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of NASDAQ, Inc. Binary Options.

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The UK’s approach was in line with how it believed the Committee of European Securities Regulators (“CESR”) analysed the scope of MiFID. Therefore, under current UK legislation binary options are classified as bets and are supervised by the Gambling Commission rather than the Financial Conduct Authority (). However, different Member States have taken different approaches to this issue. Several European Member States include binary options within the scope of their transposition of MiFID financial instruments. The UK government now says this creates inconsistencies in approach as to whether firms offering binary options can or cannot passport across the EU. It also means that there is confusion for potential purchasers of binary options about their status and potential inconsistencies in consumer protection for what can be risky products. Additionally, recent publications by the European Commission on binary options indicate that the Commission believes that certain binary options are within the scope of MiFID. Still, the uncertainty in the EU about the status of binary options have not lead to any specific amendment to MiFID II. However, HR Treasury says that in the light of the growth of the binary options market and concerns about consumer protection, the British government considers it appropriate to consider their status under the existing directive and revisit the UK’s transposition of this element of MiFID. The UK government is now of the view that binary options, where they relate to specific underlyings, are appropriately viewed as MiFID financial instruments. It therefore proposes to bring activity in relation to these instruments within the regulatory perimeter, where they are derivatives in relation to which an investment firm or credit institution is providing or performing investment services and activities on a professional basis. Such persons providing specific binary options, under the draft amendments, would require authorisation under Financial Services and Markets Act (FSMA) and be regulated by the . Although there are supportive legal considerations in deeming certain binary options ”financial instruments” and specifying them as investments, there are also strong policy reasons for doing so, the goverment says. In particular, binary options present similar risks to derivatives and classifying them as financial instruments would ensure that providers would be subject to specific regulatory requirements in relation to organisational and capital requirements and that the range of investor protection rules in MiFID would also apply. It would also mean that the specified binary options are brought within the scope of the market abuse regime. The British government is seeking comments on its proposed draft legislation to bring certain binary options within the legal framework that covers contract for differences (CFDs) in the UK. The consequence of this drafting is that a binary option is a financial instrument in circumstances where similar derivative contracts would also be regarded as financial instruments, for example, where the option relates to currencies, stock indices, individual shares, commodity prices and economic statistics.

The draft amendment would therefore capture a wide range of binary options. The UK government is particularly seeking responses in relation to whether this draft legislation raises any problems in relation to scope of what would be captured. For example, a binary option in relation to climatic variables would appear to capture a range of binary options that might not ordinarily be considered to be financial. Gambling Commission Reaction. A spokesperson for the UK Gambling Commission (UKGC) commented on the development: “For most existing licensed gambling operators this will have little or no impact on their business. “Binary options account for less than 1% of the Gambling Commission-regulated online gambling market. Operators who offer binary options alongside more traditional betting products will merely find this part of their activity regulated by the .” However, the spokesperson clarified that binary options firms will not need to apply for a gambling license this year, “This is to avoid relevant operators having to make applications and pay fees that might later prove unnecessary. “The effect of this is that operators will not, for the time being, require a gambling operating licence to offer binary options, and no application to the Gambling Commission to do so will be necessary until further notice.” Exclusive: Israeli Regulations Lead to SpotOption Halting Binary Options Activity.

3 Comments on "UK to Change Binary Options' Legal Status from Gambling to Investing" Big plus for the B. O. industry. Each firm will have more work to do around regulation, but it is a validation of B. O. as an trading asset class. Big plus for the B. O. industry. Each firm will have more work to do around regulation, but it is a validation of B. O. as an trading asset class. I assume that the reclassification will mean that profit from binary option trading will attract investment tax. Is binary options a new form of gambling? Binary option has supposedly taken Forex and stock trading to a completely new level. With new and improved technologies, brokers are providing platforms that claim to make trading super fun, quick, and effective. If binary option is an actual trading instrument and is not gambling then it has successfully taken out all the boring elements from normal trading and have replaced it with a fast and interesting platform. Is binary option Gambling? There are two sides to this story. If you ask this question to a broker, then most of them say no i. e. they will claim that it is not gambling. On the other hand, there are several clear indications that suggest binary options is gambling.

Just for the record, it is my personal opinion too i. e. binary trading is 100% gambling. Majority of brokers will tell you that options is not gambling, and they will defend their position by giving different reasons. An account manager once told me during a phone conversation that their website is connected to some network by which their site get real-time trading data from the markets, and when a customer wins a trade, a third party pays the profit. “His company wants its customers to win as many trades as possible on each trade customers execute, our company receives a small commission by a third party,” he added . He further explained that when a trade ends in a draw then they don’t get any commission they receive commission only when a trader either wins or loses a trade. Binary option brokers lie! The account manager continued the story and said that they want traders to win and make money so that the company can continuously get commissions. “If a customer loses all his money and stops trading, we stop getting commissions,” he said. If what the account manager said is true then all of this could make sense. Traders win trades and make profit while the broker gets commissions it seems to be a workable system that actually does exists in ECN Forex Trading. Another thing they brag about is being a licensed entity.

Most brokers reside in Cyprus and they get their trading license from Cyprus Securities and Exchange Commission . They ask traders to trust them blindly because they are regularized by . Binary brokers are trying really hard to give the impression that what they do is same as Forex Trading and I must say they are doing a great job, however there are several unanswered questions like, who exactly is this third party? Moreover, if majority of traders make money then how is it surviving? How does it make money for itself? Broker want to make, not lose money. Companies do business to make money for themselves they don’t do it to make other people rich. If you search on Google, you will find tons of withdrawal related complaints against majority of brokers. Traders who are able to make profit are not getting their money from brokers they make up numerous excuses for not paying. Why do they have such a hard time paying profits to the traders? You will find countless complaints against famous brokers who spend thousands of dollars every day on advertisements. They will make up all kinds of lies to hide the truth. Nevertheless, there is hope.

There are few honest companies in this otherwise awful business, one of which is MarketsWorld. This broker is famous for paying profits without any issues. Unlike other dishonest ones, they operate under the law. MarketsWorld or MW is the only financial betting site that operates in Isle of Man, UK. Gambling Supervision Commission GSC regulates this company. Gambling Commissions do not regulate currency-trading companies, so if binary option is not Gambling then why does GSC regulate MW? In online casinos, if you play and win, the casino owner pays you the money from his pocket. You win and the casino loses. Binary trading operates in the same way the real name of this business is “Financial Betting.” Binary options trading is completely false label for this business. A live chat representative of MW gave the following statement: “However since all trades you buy are against the company, we view it as a conflict of interest to offer trading advice directly.” Here is a screenshot of the live chat discussion: It is up to you to decide whether this is gambling or not. Additionally, you should know that making profits in this business is only possible if you can come up with a good trading method otherwise, you will lose all your investment. Brokers advertise this as an opportunity that you can use to get rich quick these are all lies. Without a solid working method, you cannot make profits. Following is an example showing how financial betting, aka binary options trading, work: Step 2: Select An Expiry Time.

Date: 2016-12-10 14:10:41. Said: If you analyze it carefully, you will know Binary Option is a scam. 1) how binary option brokers make money? 2) they make money from your every losing trade. But they put it beautifully that they only earn commission if you make money. 3) life is full of challenging, it is very difficult to tap on traders who knows how to trade, 4) thus they turn to big big very big market of those who does not know how to trade. 5) they offer “hold hands” method so that inexperienced traders are willing to pump in money. 6) to make it even more attractive, brokers even offer 100% bonus top up for every dollar you pump in. 7) Account Manager will call you and follow his signal to trade, 8) hey remember, who pays his salary? Broker, not you!! 8) he will make sure you lose every cents so that all your investments are “transferred” to broker’s account rightfully n cleanly. 9) broker makes money is good job for Account Manager, thus they can’t be bothered how you feel. They don’t call you any more! 10) in order to squeeze further from every drop of your blood, recovery Account manager will call you, sympathy your case and say that your previous Account Manager has been sacked! Because they made the company lose an important customer like yourself.. 11) Recovery manager will “promise” recovering your investments in 3 to 6 months.

They will entice you to pump in more money to trade conservatively. 12) after you pumped in your money, they will slice you stupidly for the second time…. 13) because you are more conservative this time, you will win & lose your trade, more lose trade of course! your investment will drain off slower until you realize that you are real stupid in this world !! 14) this tactics is the best scam on earth, you are being sliced twice and still do not know who they are!! 15) brokers and Account Managers now listen…I am not sure if you believe in retribution, karma and hell. Those money that you scammed successfully are peoples’ hard earn money. Believe or not, I know many has committed suicide because of your scam! They will haunt you down. You will not have good death!! You will never enjoy rest in peace. Date: 2016-10-26 14:32:44. Said: I invested in a Cyprus company called Opteck… and they lost all my money in two hours… Opteck said they matched dollar for dollar.

I invested 126,357 US dollars and Opteck made an even 300,000 US dollars. And all gone with out a guilty conscience. DO NOT INVEST WITH OPTECK CYPRUS. Date: 2017-03-02 14:55:56. Said: Useful Resources! Date: 2017-07-31 08:36:20. Said: In my comment I want to touch a few subjects. First of all, I am also a victim of binary options do not mistake for a second - it a well oiled machine operation from the middle east and has millions of victims and devastated lives behind them. I had worked with a company named 23 Trade, I trusted them and let the broker know that I’m a single mother that is in strangulation to raise her children and needs money, my bad. I was manipulated to invest 12K in 4 months time. All gone to the garbage and the explanation I got is that “this is trading. Sometimes you win sometimes you loose.” My luck is that my brother worked in IT, and know his way throw computers. Once I explained to him what had happened, we started to search online to get more information and about the industry, we consulted a few law firms and decided that we are not going to let them to get away with it. After consultations with a few companies we did choose one (MBL) and we started to work to get my money back.

I must say I was so broke that my brother actually gave me money for the process - it was devastating . In the end of this story, in a few mounts time I managed to get the funds back. Now I got to have a happy ending, but a lot of people are actually loosing they’re lives in the industry. Bottom line of what I wanted to say - ALL BINARY ARE FRAUD. period. No good companies. If you are, a victim like myself, do know that you can solve this situation. Go, read online, consult with lawyers. Just DONT let them get away. If i can - so can you too get your money back… 11 Comments on "Binary Options Trading is Gambling… or is it?" Throw your money down the toilet instead of wasting time in binary “TRADING”…. After losing lot of money, I finally was able to make some profits.

I lost $10,000 then invested 5,000 again. With some claim trading, I made 500 dollars and requested BANC-DE-BINARY to send me this profit. Before this request, different a** ho*** were contacting me and were always telling me that I need to invest more and more money. When I requested a withdrawal all calls stopped and they did not respond to my emails. It has been 2 months now and they have not sent me the profits. I also tried to get my $5,000 back but because no one is replying to my requests, I am trapped in a dead-end. Live chat will sometime simply disconnect after knowing what the issue is. Sometimes, they tell me wait. BANCDEBINARY IS SCAM. I live in Pakistan, I tried to deposit money with my broker, but my credit card company called and told me that they are going to reverse the transaction. They also warned me to never use my card for business purposes. Can someone suggest a work-around?

How can I deposit funds with if I live in Pakistan? Please help! Hi, this is a trading scam period. Sir I am a Muslim and I want to trade, but some people say it is gambling, so what should I do? This certainly is betting, stay away from it. Not only your religion denounces it, but also avoid it as it is gambling, 99% of the time, you will lose all your money at the end of the day. Binary Options Trading Litigation Team. Giambrone issues a stark warning to investors in binary options: the (lack of) regulation of binary option trading. Binary options are a form of financial contract which pay a fixed sum if the option is exercised or expires in the money, or nothing at all if the option is exercised or expires out of the money. Binary Options brokers operate online trading websites through which customers can buy or sell binary ("call" or "put") options, predicting whether the price of a certain commodity will go up or down in a specific time period. Usually, binary options allow consumers to speculate on the short term movement in price of a stock, commodity, currency, index, or just about anything that is capable of being measured in financial terms. In the light of the growth of the binary options market, Giambrone continues to be concerned about the current unsatisfactory position and lack of consumer protection which only serves to open the door of opportunity to the unscrupulous broker, so we are continuing to lobby the UK and EU regulators because the current situation has becomeun tenable our firm represents more than 3,000 binary options investors, from all over the world, complaining of losses in excess of $300m, although the real size of the binary options market is judged to be upwards of $30 billion globally. In the UK, the does not currently regulate binary options and investors do not enjoy the protections offered by the UK&rsquos financial services regulatory framework when purchasing binary options. Under current UK legislation binary options are classified as bets and are supervised by the Gambling Commission rather than the even if the European Commission believes that certain binary options are within the scope of MiFID, so should be regulated by the instead. However, binary options investors should be aware that in the small print of the UK Gambling Commission it is noted that it only regulates a broker if it has remote gambling equipment located in Great Britain. If this is not the case and the remote gambling equipment is located outside Great Britain, any binary options broker will not be regulated either by the Gambling Commission or by the .

&ldquoObviously, it is impossible for an investor to determine at the outset whether a broker has such equipment so the regulatory environment continues to be opaque and unsatisfactory&rdquo says Joanna Bailey , Associate at Giambrone&rsquos Forex Trading Litigation team &ldquoand because of the peculiar type of investment, neither the nor the UK Gambling Commission appear to be regulating such brokers, which have been allowed to flourish over the years in a totally unregulated environment&rdquo. The legal position is different in other EU countries, where different Member States have taken different approaches to the regulatory issue and have considered binary options to be a financial, rather than a gambling product. Several EU Member States, including Cyprus, have included binary options within the scope of their transposition of MiFID financial instrument. Clients are often faced with the difficult legal situation of being faced with a binary options brokerage which is legally established and authorised in a EU country, as well as Norway, Lichtenstein, and Iceland (the European Economic Area or &ldquoEEA&rdquo), that is also entitled to do business throughout the EU by way of the result of the freedom of establishment and &ldquopassporting&rdquo rules set out within the EU financial services directives (see, for example, the Markets in Financial Instruments Directive (MiFID) and the Capital Requirements Directive (CRD) for investment firms and credit and financial institutions respectively). &ldquoAny broker offering binary options trading which operate as financial services firms in other EU country is able to do business in the UK&rdquo, says Gabriele Giambrone , Forex, Binary Options and Financial Services Litigation team at Giambrone, the international law firm. &ldquoThe current regulatory regime creates confusion for potential purchasers of binary options about the status and regulation of many online brokers, most of which appear to be trading from virtual offices in London with no physical presence of any member of staff&rdquo. Giambrone has been campaigning for immediate regulation of the binary options market across the European Union to end these inconsistencies in consumer protection and to put an immediate end to such high scale speculation in online trading of such very risky products&rdquo. It is therefore not uncommon that many EU-regulated binary options brokers appear to be registered in the &rsquos Register of financial services firms, although it is not clearly specified that the UK does not regulate them nor it is explained that investor would not be able to enjoy the protection offered by the UK&rsquos financial services regulatory framework when purchasing binary options via such registered broker. There are currently no legal requirements for the binary option firms to set out such disclaimer on their website and therefore most investors proceed with purchasing binary options investments in the incorrect assumption that they are dealing with a UK regulated firm, which is not the case. regulation, in any event, does not prove to be sufficient protection for consumers.

The restrictive powers of mean that they cannot order the broker companies to re-pay funds to investors. Instead, tend to issue administrative fines only. Giambrone will continue to fight vigorously for the protection of customers and to ensure the wrongdoers are held accountable. If you are a victim or have lost funds with this binary options broker, please contact our Client Relations Team to arrange a discussion with a lawyer in the Binary Options Litigation team. Our international lawyers are able to provide assistance in English, French, Spanish, German, Arabic and Chinese . Our Cookie Policy. On - you agreed to accept cookies from this website - thank you. On - you disabled cookies on this website - some functions will not operate as intended. We use a range of cookies to improve your experience of our site. To comply with the e-Privacy Directive we need to seek your consent to set these cookies.

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