Binary Options Brokers and Platforms – Review and Comparison

Binary options broker

	Broker		Rules	Minimum deposit	Payments	Bonus
	Binary.com			$5	90%		” Visit
	Ghost			$10 (ETH)	Up to 200% *		” Visit
	BDSwiss			$10	None		” Visit
	Ayrex			$5	85%	Up to 30%	” Visit
	Performance options			$5	93%	Pro account discount and 10% cashback	” Visit
	24Option			100 dollars			” Visit
	Nadex Exchange			$250	100%		” Visit
	High and low			$50 USD / $10 AUD	200%	Casback $50	” Visit
	Hirose			$20	90%	50% Deposit Bonus (Withdrawable)	” Visit
	Binomo			$10	90%		” Visit
	RaceOption			$250	90%	100% Deposit Bonus	” Visit

How to compare brokers and platforms

To trade binary options, you need to join the services of a binary options broker that accepts clients from Turkey. Here at binaryoptions.net we have provided a list with all the best comparison factors that will help you choose which trading broker to open an account with. We have also reviewed our most common or frequently asked questions and have noted that these are important factors when traders are comparing different brokers:

1. What is the minimum deposit? (These range from $5 or $10 to $250)
2. Are they regulated or licensed, and with what regulatory body?
3. Can I open a Demo Account?
4. Is there a signal service, and is it free?
5. Can I trade on my mobile and is there a mobile app?
6. Is there a Bonus for new trader accounts? Terms and
   What is the condition?
7. Who has the best binary trading platform? Do you need highly detailed charts with technical analysis indicators?
8. Which broker has the best asset list? Do they offer forex, cryptocurrencies, commodities, indices and stocks – and how many of them?
9. Which broker has the biggest expiry times (30 seconds, 60 seconds, end of day, long term, etc)?
10. What is the minimum transaction size or number?
11. What kind of options are available? (Touch, Ladder, Boundary, Pair, etc.)
12. Additional Tools – Like early closure or integration or Metatrader 4 (Mt4) plugin
13. Do they operate Robots or provide automated trading software?
14. How is customer support? Do they offer phone, email, and live chat support – and in which countries? Do they list direct contact details?
15. Who has the best payout or maximum profit? Test the market you will trade.

We cover as many comparison factors as possible in our list above, but we go much deeper into each review.

 

 

Regulated binary broker

Regulation and licensing are an important factor when evaluating the best brokers. Unregulated brokers are not always scams, or unreliable, but it does mean that a trader has to do more than ‘diligence’ before dealing with them. A regulated broker is the safest option.

December 2020 Regulated Binary Options Broker

Broker	Adjustment	Tools
Binary.com	GA GA	Pots
IQ Options	CySEC	BO, CFD, crypto, forex
BDSwiss	CySec	BO, crypto, forex
24Option	CySEC	BO, CFD, crypto, forex
Nadex Exchange	CFTC	BO, Forex
High Low	ASIC	Pots
Hirose	Labuan FSA	Pots

Regulators

Top regulators include:

• CySec – Cyprus Securities and Exchange Commission (Cyprus and EU)
• FCA – Financial Conduct Authority (UK)
• CFTC – Commodity Futures Trading Commission (US)
• FSB – Financial Services Board (South Africa)
• ASIC – Australian Securities and Investments Commission

There are also other regulatory bodies, and in some cases brokers will be regulated by more than one organization. This is becoming more common in Europe where binary options are coming under scrutiny. Reputable, top brands will have regulations of some sort.

Regulation is to protect merchants, to ensure their funds are held correctly and to provide them with a path to action in the event of a dispute. Therefore, it should be an important consideration when choosing a trading partner.

Bonus

Both signup bonuses and demo accounts are used to attract new customers. The bonus is usually a deposit match, a one-time payment or a risk free trade. Whatever the form of the bonus, there are terms and conditions that need to be read.

It is well worth taking the time to understand those terms before signing up or clicking accept the bonus offer. If the terms are not to your liking then the bonus loses any appeal and that broker may not be the best choice. Some bonus terms tied in your initial deposit too. Well worth reading T & C before agreeing to any bonus and it’s worth noting that many brokers will give you the option to ‘opt out’ of the bonus.

Using an effective bonus is harder than it sounds. If considering receiving one of these offers, think about how, and how, it might affect your trading. A common problem is the turnover requirements in the terms, which often cause traders to ‘overtrade’. If the reward doesn’t suit you, decline.

 

 

Demo account

A binary options demo account is the best way to try out both binary options trading and a particular broker’s software and platform – without risking any money.

You can get demo accounts at many brokers, try them out, and only deposit real money into the account you find best. It can also be useful to have multiple accounts at multiple brokers. For example, payouts for two different assets may be best at different brokers. You can shop around and use whichever account has the best payout for that property.

Demo accounts offer the best way to try out the brand, risk-free. Likewise if we recommend a brand, you can try it first, before risking anything.

Low minimum deposit

If you are looking to get involved with binary options for the first time, low minimum deposit requirements may be of interest. For traders who just want to try binary options, a low minimum deposit broker might be the best. A small initial deposit keeps the risk low. Minimum deposit starts at just $5 and more and more brokers are offering low minimum deposit – the low low would be any minimum below $50.

Likewise, all brokers will have a minimum trading requirement or trade amount too. They can vary greatly between platforms. The minimum trade figure ranges from $1 to $25 – that’s a big difference if a trader plans to trade regularly. For some traders, this may have little impact on finding the best broker for them, but for others it will be very important. Practice accounts are a risk-free way to learn to trade.

Payouts

One factor that many traders use to find the best binary options trading account, is the payout percentage on offer. This is not always a simple comparison however. The payouts will vary based on the underlying asset traded and the option’s expiration time. Also, payouts will vary as the broker manages their own risk. So, if one broker was originally the best rate, things could roll back and mean another broker now has the top payout.

So the most investors can do is check the payouts for the asset and the expiry times they are likely to make and assess which brands offer the best terms most often. . Demo accounts are great for researching payouts on specific assets and trades.

Exchange-traded and over-the-counter brokers will have different payouts – and they won’t be easy to compare. All in all, exchange-traded options offer outstanding value. Nadex is an example of an exchange.

So, as you can see, finding the best broker and trading account is not always easy – but it’s worth noting that you can move freely between any broker. when do you want. So even if an account goes poor, it’s still easy to search and find a new trading company. Likewise, a trader can have multiple accounts and open trades at the broker with the best terms for that particular trade.

What is the best binary trading platform?

Naming the best trading platform is not easy, simply because trading platforms and proprietary (bespoke) software is often a question of personal preference. One user may prefer a simple layout, while another may need a lot of data on the screen all the time.

However, platforms have different levels of quality, both in terms of ease of use and features. More broadly, brands offer Contracts for Difference (CFDs) in addition to binary options, offering a more feature-rich trading platform or advanced software.

So people like Nadex and IQ, will provide a very professional trading platform. MetaTrader integration is usually offered at more professional brokers (Some use both mt4 and mt5 functionality). This difference in quality is proof of the maturity of binary options as a product, but binary brands will catch up very quickly.

How do brokers make money?

Binary options brokers make money through one of two business models:

1. As a partner, “pass the ring” through the payout percentage. Called ‘Over the counter’ (OTC)
2. Through an spread or commission on an exchange trading model

Those who have experience in other forms of trading, and are currently approaching over-the-counter (OT) brokersC) can be seen for the first time asking:  Where are the roses? SAY.

However, with OTC binaries, there are no commissions. In theory, the term ‘broker’ is incorrect. Binary companies do not arrange a deal or act as a middleman, or as a market maker; What they are, are partners for each of their clients’ locations. So there are no fees or commissions for trading. Instead, each customer is essentially betting against the house. Where brokers have both sides of a trade covered, they have a handsome margin. No matter where they are, the payment still gives them a level of protection. In certain cases, the broker will also hedge its own positions to minimize risk.

Those companies (such as Nadex) trade binary options through an exchange that acts like a “broker”. Unlike the OTC market where the platform is the counterparty, with exchange trading options the broker is the middleman – matching buyers with sellers and charging a commission. This fee is often hidden within the spread, rather than an explicit cost. There is very little risk involved with the broker, and therefore usually offers better returns per trade for the trader. Brokers can be actively compared using spreads – the tighter the spread (the difference between the bid and ask prices) the cheaper it is to trade.

Brokers using a spread model also often offer leverage or ‘margin’ trading through their software. This increases trade size for traders – and profits for the platform.

Should you use multiple brokers?

There are some very good arguments for having more than one binary trading account:

• Brokerage suitable for certain professions . Different brokers will suit different trading styles, or trading types. So a broker can be great for short term trades and has great payouts for forex pairs. But the same brand may be a little underwhelming when it comes to margin deals or payout metrics. If a competitor has a full range of long expirys with large payouts and lots of boundary trading options – it is advisable to have an account with both platforms and place trades with the broker that offers the trade best for every deal.
• Demo account . Multiple demo accounts make perfect sense – you want to try out as many brokers and exchanges as possible before deciding where to trade.
• Reduce risk . Accounts at many brokers protect you from any problems with a particular company. From serious issues like insolvency, to smaller issues, like website downtime, software issues or market closures – multiple accounts reduce the risk of impact by any difficulties the broker may face.
• Many offers . Each sign-up can mean a new bonus, so it might be worth taking up more than one account to get all the offers. Ever, read the terms – and also note that sometimes, bigger deposits can mean bigger bonuses – so splitting them might not be the best option.</ li>
• Bonus goes viral . Some brokers may look for winning traders on their books, in order to limit their trades, possibly limiting trade size – or worse. While the threat is minimal, multiple accounts means spreading the winnings evenly. Most brokers will look for winners on other platforms, based on total profit rather than strike rate, so hiding volume on broker accounts can help you stay below their radar.

Exchange vs. OTC (over the counter) Brokers

Exchange broker

A broker that offers an exchange is closer to a traditional “broker” than an OTC broker. An exchange does the job of the ‘middleman’. They will combine a seller of a property, with a buyer of the same property, and charge a commission for trading with each other. It is the market that determines the price – if there are more sellers than buyers, the price will drift down until demand increases. If there are more buyers than those willing to sell, the option price will increase.

A broker that runs an exchange doesn’t care who wins and who loses. They take no risk for the trade (unless the traders trade on credit). Brokers will make their commission on the trade regardless of the outcome.

Since this risk is reduced for the broker, the profit for a winning trader is usually larger. Commissions are usually small compared to the size of the trade, which means they don’t affect the payout too much. Other benefits include realThe fact is that a stop loss can be applied and the trade can be closed at any time (for profit or to reduce loss).

Complications with exchange, come from the structure. An exchange-traded binary option will trade on the network somewhere between 0 and 100. Where 0 is the number used when an event did not happen and 100 where it did. If the current price is 30, a ‘buyer’ would risk 30 times the size of his trade, to potentially win 70. Thus a ‘seller’ would risk 70 to win. 30. Although not a complicated equation, but it’s a bit more complicated straight forward counter options.

OTC (over the counter) brokers

The most common type is an over-the-counter (OTC) broker, but this type of company is not really a “broker”. They are partners of one side of the trade. So, when a trader opens a position, the broker wins or loses money, based on whether the trade wins or loses. Only when the broker has another trader doing the exact opposite trade, they guarantee a profit.

Because of this increased risk, brokers will offer a lower payout to mitigate some of the risk they are taking. Therefore, it is less likely than an exchange-traded broker. Some companies will also build in ‘hedging’ mechanisms to further reduce risk. In some cases, one side of the transaction may not be available if the liability is too large.

The simplicity of binary options is retained with OTC brokers. They have also gone out of their way to compete with exchanges by offering ‘withdrawal’ values for options, allowing traders to close positions early and set stop-losses. As those features become popular, the gap between OTC and exchange will get smaller. For now, traders are better off trading on an exchange – but can be advised to learn the difference through a demo account.

Did you have a problem with your broker? File a complaint

All the factors mentioned above will ultimately affect how a trader plays the market, and therefore, their profits. The ideal situation is to get a binary broker that offers:

• Several financial assets spread across several markets
• Offers a reasonable bonus with a good payout of almost 90%
• Offers flexible expiration dates without boxing traders on very long deadlines.

Trading using the broker’s platform will only be interesting and profitable, if you are using a reputable operator. You also need to choose a trade that best suits your trading style – only you know what that is. Read the binary broker reviews above carefully before making that important trading decision, but remember that you are not tied to any broker, and can choose and select.