Binary Options – Everything you needed to know but were afraid to ask.
Are Binary Options a scam?
Not at all. It is a financial tool widely used by hundreds of thousands of traders around the world. There have been a few rotten apples, but hasn’t there been in every industry?
Are Gains on Binary options taxable?
Binary options brokers are not required to issue tax forms. You can declare it as extra earnings if you are just earning a small amount depending on your individual countries tax laws. The profits you earn from options trading is taxed similarly as capital gains in stock trading and should be reported by you it in the relevant tax year.Is it Possible to Win in Binary Options?
Yes, but more than 95% of traders who experience losses have bad money management or lack of knowledge. So, beware, trade only amounts that you can lose and don’t go into Binary Options trading without some basic knowledge of how to trade.
What is the maximum amount that can be credited to its trading account? Can a broker demand the closure of an account if profits are too high?
If the binary options brokers trading accounts must have a minimum amount, there is no maximum limit. It is therefore possible to keep an account open with a large sum of money to credit. Furthermore, a broker cannot, in any case, apply for closing the account of a customer who makes big profits unless fraud is suspected.
If a broker were to cease operations, are there remedies for traders who deposited money Do they get a refund?
A broker is legally obliged to reimburse its customers in case of cessation of activity, it is advisable to choose a licensed broker with recognized regulatory bodies in your country to be able to appeal to the courts for disputes settlement.
Can the money deposited in a trading account be used by a broker for investments?
The binary options brokers actually make investments according to the latest client but use its own capital. Some brokers choose to trade in the same direction as their customers with greater investments while others apply the method of Hedging, that is to say, they take opposite positions to those of their clients. The money you deposit is typically protected on a separate deposit account, but as for banks, these funds can be used for
Are Withdrawals Easy?
Depending on the mode of withdrawal of funds, credit card, bank transfer or electronic wallet, the time may vary from 3 days to 10 days.
Can one trade at any hour, anytime?
Yes, whenever the markets are open, be they North American, European or Asian markets you can trade Binary Options. Some platforms even allow weekend trading.
How to earn money regularly?
To make money regularly trading Binary Options requires solid practice. You must learn to use technical analysis and fundamental analysis to develop trading strategies, as well as the concepts of money management to protect your capital. To succeed there must also be the regular and thorough reading of the economic and financial news which can be time consuming but you will reap the rewards eventually