When trading online, such as with binary options, it is perfectly understandable that traders in South Africa want to know more about security and legality of this industry.
Because of rapid interest in binary options, many South African traders want to be sure they are trading on safe trading platform. To provide our readers with information is trading binary options legal in South Africa, we recommend to read further our guide.
Back in late 2008, when binary industry first appeared, it was clear how it has quickly became field of interest to many traders, residing in South Africa. Therefore, it is clear why traders want to know is trading binary options legal in South Africa.
Check below our guide article to find answer.
Is Trading Binary Options Legal in South Africa?
Yes, binary options are legal for traders in South Africa.
A variety of global brokers offer their trading services on South African market. However, there are no African binary brokers who do the same thing.
Our review regarding legality in South Africa showed how there are no financial authorities which are responsible for binary options. This does not mean how binary market is unprotected, since there are different regulatory bodies, such as CySec, FCA etc who work on global level.
Due to many brokers who accept South African traders and operate on this financial market, questions about security are always extremely important. Further in our article, we will provide more information about regulation and which brokers are trustworthy to trade with.
On binarytrading.co.za website, we promote reliable brokers who offer protected platforms for trading binary options. Such brokers are recognized as trusted brokers with clear terms and conditions and safe banking.
Binary Options Regulation in South Africa
Since trading binary options legal in South Africa, question regarding regulation remains. There are different Cyprus (CySec) or UK (FCA) regulatory agencies that are responsible for monitoring behaviour of binary options brokers who operate on South African and global market.
However, regarding South African market, traders can find out more about FSB (the Financial Services Board), an authority which monitors all financial transactions regarding investment, with the exception of banking activities.
FSB goal is to ensure safe trading environment for South Africans to have positive experience. They monitor financial markets and have an office for complaints, where South Africans can reach for assistance.
In binary options trading, the most important is to determine is a particular broker reliable or not. With regulated brokers, traders feel safe since they are aware of the fact that brokers are being monitored by the regulatory agency.
There are signs by which we can detect is a broker safe or not. Transparent business is something that all traders search for when planning to join binary industry.
If a broker isn’t regulated, it doesn’t mean they are by default a scam. There are plenty of brokers who are safe and trusted, but are not regulated. Regulation is something that a broker chooses if they want to obtain regulatory licence or not. Therefore, regulation in South Africa isn’t something by which it is possible to see right away if a broker is reliable or a scam.
Regulated Binary Brokers for South African Traders
As stated above in this guide, on South African market operate a variety of brokers who obtain CySec licence and are regulated binary brokers.
Binary brokers, such as Porter Finance and Tradorax etc. aren’t regulated. However, they are trustworthy and offer secure platforms for trading binary options. On the other hand, brokers, including 24option, Banc de Binary, IQ Option, AnyOption, StockPair etc are regulated by the CySec regulatory authority.
CySec stands for Cyprus Securities and Exchange Commission, located in Cyprus. This regulatory body is responsible for monitoring binary brokers and ensure they conduct transparent and safe business.
Available Trading Features with Secure Brokers
Are you new to binary options in South Africa? If so, we recommend our readers to check broker reviews and read guide articles on relevant topics in order to get better understanding on how binary options trading works.
Majority of traders wonder is trading binary options legal in South Africa and answer to that question is yes, it is completely legal to trade on financial market in South Africa.
Binary options are considered as a great way to maximize profit, regardless if trader is inexperienced or professional trader. A wide range of brokers offer multiple trading tools and features that can be of great assistance for new traders to practice and gain more trading knowledge.
Possibility to use demo account is valuable and offered by many safe brokers, such as Banc de Binary and 24option.
Since trading binary options is actually trading with fixed payout, it is based on predicting price movement of a certain asset (will the price rise or will it fall). With binary options, South African traders can decide if they want to invest in short term or long term options. It can range from 60 seconds up to 150 days, depending on which trading platform we are talking about.