Despite the fact that jurisdictions such as Canada or the European Union are “banning” binary options for retail traders, they continue to issue warnings about digital options scam brokers. Such measures are likely to make things worse as people interested in such product are pushed towards offshore platforms. Recently, the Canadian ombudsman for banking services and investments has issued another warning, that sounds like an admission of a failed policy.
Trading binary options in Canada : the actual situation
Canadian authorities have banned the sale of short-term binary options in the country. But retail traders can still have access to this financial product via offshore platforms. Credit card companies are blocking binary options payments, but there are still many loopholes that allow to circumvent the ban.
As per the ombudsman words, “Purchasing binary options from outside Canada leaves consumers with few opportunities to recover their money if something goes wrong.”
Or “In 2017, the Canadian Securities Administrators (CSA) undertook several measures to prevent the sale of binary options to Canadians. These measures included working with credit card companies, tech companies and advertisers. However, because binary options are both a global and digital investment, a ban is challenging to enforce.” (source OBSI)
The Canadian ombudsman also reports that scammed investors who deposited with their credit card money on scammy platforms could not recover their money via the standard chargeback procedure, because the terms do not allow a reversal of transactions in such scenario.
How to trade safely binary options in Canada
Canadians willing to trade safely binary options can use Spectre, the first decentralized smart options platform that launched successfully in April 2018. With Spectre you trade from a decentralized or semi-decentralized wallet on the Ethereum blockchain. The trader and only the trader can have access to his funds, withdrawals are almost instant, without the need of getting any approval from the broker. Therefore, for the first time in the history of binary options, any retail trader in Canada can trade smart options without counterparty risk.
You can safely convert you Canadian dollars to ETH via Uphold, a regulated cryptocurrencies exchange in the United States, and fund seemlessly your decentralized Spectre wallet. No need to know anything about cryptos. This is a complete revolution that should restore trust and reputation of binary options. You can try the platform by registering here.