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Is Binary Trading Legal in South Africa?

Is Binary Trading Legal in South Africa?

It is everyone’s desire to participate on financial market and profit from it.

With the appearance of binary options industry, now people interested in online investment have a possibility to access to financial market and achieve high payouts, without being an expert in this field.

Below, we will try to cover the most important segments from the topic is binary options trading legal in South Africa:

Binary industry is very popular worldwide, all the way from 2008. Thanks to its numerous advantages, it shouldn’t come as surprise why there is an increasing interest among people in South Africa to start their binary options trading journey.

Is binary options trading legal South Africa is on the top list of every trader’s interest. Read our article and know more about binary options trading legal issues.

Because of its simplicity and a variety of trading features and services, traders in South Africa find binary options trading as an excellent way to profit. Security is always extremely important in any online business and so it is in binary options world.

In this article we will take a closer look regarding legality and regulation of binary options in South Africa.

Is Binary Trading Legal?

Our readers should know that binary options are completely legal. Currently, there is no financial body that regulates brokers in this country and develop their policies. Because of lack of regulation, there are no binary brokers who offer trading services and instruments to traders residing in South Africa.

This way, numerous brokers offer their services and traders should be careful when selecting reliable binary broker. We can not say that lack of regulation automatically means that brokers are scam. In most cases, it is mostly completely opposite and such brokers are reliable one who offer secure trading platform.

However, many brokers have access to South African market and attract people to join their trading platform and begin trading binary options. Brokers who are listed on our site are recognized as reliable brokers with years of financial experience, since they are reviewed by us and traders find their platforms to be excellent and they manage to maximize profit.

Some of them are regulated, while others aren’t and they provide quality trading services and features and important to emphasize, conduct a transparent business which is extremely important in binary options world.

Are Binary Options Legal?

guide-paying-taxes-2Traders in South Africa should be familiar with FSB. It stands for Financial Services Board, that is responsible for oversight all issues related to investing and general financial questions, except banking activities.

FSB regulates Johannesburg stock exchange and it is independant.

Established in 1991, they are continuously working on expanding their services, such as lately added FAIS in 2004 (Financial Advisory and Intermediary Services) that contributes in preventing money laundering.

Their intention is to maintain a secure place for financial trading in the country. FSB supervises financial market and has a department that deals with customers complaints and protect investors rights.

Some might say that binary options trading legal South Africa is similar to gambling, however it is not true.

For success in binary options world, it takes a certain financial knowledge, patience and ability to maximize profit while using different trading instruments and strategies. Since traders binary options enables traders to achieve high payouts, this reason is alone enough for them to start this binary journey.

With time, they can improve trading skills and become more experienced. This is where selecting a trustworthy broker comes in the picture. Such a broker offers a safe platform and trading tools that are in accordance with traders’ wishes. It is most likely that in the future, regulation will be available in South Africa.

CySec Binary Options Brokers in South Africa

Although it is not possible for African brokerages to offer trading services to their traders, there are other alternatives. As mentioned above in the text, a variety of brokers have access to South African market and some of them are regulated, while other are not.

Term CySEC (Cyprus Securities and Exchange Commission) licence is used for brokerage companies who are licensed by this regulatory body which is in accordance with European laws. Such brokers have to comply with guidelines and offer South African traders a secure trading platform with transparent terms and conditions.

According to Finance Magnates, binary industry welcomed positive feedback regarding CySec more strict rules in relation with binary brokers and their way of doing business. Reliable brokers, such as IQ Option South Africa applaud changes in regulatory status that CySec implemented to increase the safety of traders’ funds.

Is Trading Legal in South Africa?

finThe reason why trading is so popular in South Africa is because people are aware how such type of investment enables them achieve high payouts in short span of time meanwhile being perfectly legal.

Thanks to its fixed payout and expiry times, traders can select preferred trade options that can lead to a successful binary options trading process in a legal fashion without risking not being paid.

For those traders who target long term investments, it takes better understanding of financial market and knowledge of trading instruments that will be used to maximize profit when trading binary options.

Since entire industry is based on accurately price movement prediction of an asset, traders who are new to binary options trading, should start investing in assets that are not so volatile to market changes. The best way to prevent money loss is to select trading platform that offers demo account.

Demo version of trading platform provides traders with more confidence since there is no risk involved and traders get chance to place trades in different assets, while using a variety of trading strategies and features.

The most important element to mention is that reliable brokers try to maintain security level on their trading platform to ensure traders in having a safe and profitable binary options experience. It is essential to continue working on protecting traders against any scam activities in binary options industry.

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