Binary options traders invest in future movements of assets such as markets, stocks, gold, etc. Binary traders try to guess whether the value of such assets will decrease or increase during a specific time frame. Expert guide on what is binary option scams?
If your prediction becomes reality, you will win and get a commission on your investment. You will lose all your money if the value remains as you guessed.
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Common binary options scams
There is an extensive range of scams used in binary options trading that you should be alert of, such as the following:
The “Get rich quick” scam
This scam involves firms that falsely advertise unrealities returns on investment.
These firms pressure investors into making significant investments and may even use high-pressure tactics to influence investors to make more money.
The “managed account” scam
The scam involves firms that provide to manage your account and make trades on your behalf.
These firms may promise high returns on investment and may even provide fake trading records to attract investors. These firms often take entire profits, leaving investors with significant losses.
The “free trading” scam
This scam involves firms that provide free education or training on binary options trading but then pressure investors who making significant investments or using their binary options trading platform.
These firms may also give false or wrong information to investors, which can lead to financial loss.
The “signal provider” scam
This scam contains firms that provide signals to traders to help them make the best trades. These firms may charge high fees for these signals but generally provide misleading or false information that can lead to financial loss.
The “broker” scam
This cam involves businesses that work as binary brokers, taking customers’ money but never executing traders. They may also produce losing trades and disappear with the money immediately.
So, avoid unsolicited offers or unlikely promises of high returns and invest only with reputable and regulated brokers.
Still legit?
Yes, binary options are legal and rising. But you will still have to jump through many hoops to make it in the industry as a starter. There are also lots of scams to take benefit of helpless new binary options traders who need to learn how the industry works. At the same time, we now have a more extensive selection of trustworthy brokers and signal providers than we had a few years ago. But if you face binary option scams, give Aldwych Securities LLC your details, and we will solve the matter.
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