Update of the red list of binary options brokers (CFTC)

cftc red list binary options brokers

Binary options trading is an investment activity that has increasing appeal and that has no limit. Around the world, binary options brokers are emerging regularly and as you can imagine, some are not authorized and sometimes conduct illegal practices. Therefore, (and fortunately for traders and investors) financial regulators like the CFTC warn the public against unauthorized companies that totally ignore the laws and attempt nonetheless to solicit investors illegally. The risk to these investors is to have their money stolen, since these unauthorized companies (which are thus totally non-transparent) allow themselves to do whatever they want with the money of their customers (who have no power).

The American financial regulator CFTC

Have you ever heard of the CFTC? This financial regulator has recently imposed a fine of $ 11 million on the Banc de Binary broker. But if you do not know who it is, we are simply referring to the financial markets regulator in the United States. The “Commodity Futures Trading Commission” has the same role as the AMF financial regulator in France, the BaFin in Germany, the CySEC in Cyprus, the CNMV in Spain, the CONSOB in Italy or the FCA in the United Kingdom. It is an authority that regulates the activity of the financial markets and the companies that offer services related to financial investment, within its own territory.

As we have seen in the example of the Banc de Binary, the CFTC plays a repressive role. Thus, it does not hesitate to reprimand the companies for their fraudulent behavior and to issue warnings against them, and on the other hand it does not hesitate to reward the most serious companies, by giving them one of its licenses. The news published by the CFTC is interesting to follow when we are investors or when we speculate in the financial markets through binary options, and especially if we are based in the United States since we are referring to the competent authority in the US along with the NFA.

The red list of the CFTC

Just like the blacklist of banned binary options brokers that is regularly updated by the AMF French regulator of financial markets, the US regulator (CFTC) also published its red list of Forex and binary options brokers, which currently comprises 41 names as indicated here-below.

Binary options brokers
Banc de Options
Barclays Broker
Binary Book
Binary Das
Binary Int'l
BTG Option
Diamond Managed Forex
Forex Broker Inc.
Forex CBR
Forex Investment Services
FX Choice.com
Golden Tangent Holdings
Ivory Options
Land FX
NRG Binary
Paam-Maam Forex Fund Management
Profit Forex Corp
Titan Trade
UK Options

On its website, the US financial regulator (CFTC) reminds that these brokers are not allowed to offer trading to local investors on its territory since they do not have any license to solicit potential investors. Because these brokers do not comply with the financial regulations of the United States, we can also emphasize that some of them have been the subject of complaints, fines and other warnings from international financial regulators. Hence, it is best to avoid them.

Opting for a regulated binary options broker

The binary options brokers that do not have the necessary authorizations to enable them to offer trading to binary options traders through their websites must simply be ignored because they represent a significant risk of financial loss to investors, especially when they appear on the lists of banned brokers such as the one of the CFTC financial regulator.

Instead, choosing a regulated binary options broker to practice trading is highly recommended; this is one of the most expected choices that a trader can make since at the outset he puts the odds on his side to succeed in trading and avoid the binary options scams that plague this industry. By choosing a regulated binary options broker, a trader will for example benefit from the system of segregated accounts in binary options and thus keep his money safe.

There are many binary options brokers that have the necessary licenses and that are recognized worldwide as serious brokers. 24Option is an example of a serious binary options broker that has a dozen licenses from European financial regulators including that of the CySEC (the European standard for financial regulation). Thus, it is the kind of broker that we must opt for if we want to have a positive and smooth experience in the binary options industry.

The BonusBinaryOptions.net advantages

When you decide to choose a serious and regulated binary options broker shown on any page of our website, you can enjoy some unique advantages that usually do not exist elsewhere. For example, if you decide to open a 24Option account, please be aware that you can enjoy a negotiated bonus on deposit. In fact, while the 24Option binary options broker normally gives the right to a bonus on deposit of around 20%, we have negotiated exclusively for our readers a 100% bonus of the deposited sum of money. In other words, if you want to deposit $ 500 in your trading account, you will be credited $ 1,000; it’s that simple! Please also note that the negotiated bonus on deposit is not the only advantage that you can enjoy because when you open a new account with a partner broker; in fact you will automatically be eligible for the BonusBinaryOptions.net guarantee.

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