Is 24Option a Scam?
These days with everyone on the net buzzing about binary options, it’s hard to tell what’s a scam and what’s not.
Firstly, trading binary options isn’t a scam in and of itself—it’s just one way you can invest your money.
Secondly, there are scam artists pretending to be binary options brokers on the web, but there are also a lot of real, legitimate brokers. 24Option is not a scam; the company is regulated and lists its license number directly on its website under Legal information in the Terms and Conditions.
There are few brokers that are actually regulated right now, even among the better brokers. Many are still working on getting regulated, so this is a major recommendation for the company.
So why does everyone say that binary options are a scam?
Because there have been plenty of scams in the binary options industry and because many traders blame anyone else for poorly chosen trades.
It comes down to the way that people trade them—perhaps even more than the fact that some brokers out there are less than reputable.
Binary options are traded by three kinds of people. There are people who are trading for entertainment reasons, and people who are trading to try and make money. There is a huge swath of people in between, however, who are ostensibly trading to try and make money, but doing so in an irresponsible and foolish way.
These people are gambling without meaning to or realizing that’s what they’re doing. When they lose money on binary options, they have a tendency to lay blame anywhere but on themselves. These are usually the types of people who come out and say “24Option is a scam.”
Avoiding Binary Option Scams
There are a couple of ways you can prevent yourself from losing money in the binary options market. The first way is to make sure you choose a legit broker who is regulated like 24Option and really won’t be responsible for costing you money. Make sure that you thoroughly understand the terms of service and all fees and commissions associated with investing with the company.
Secondly, educate yourself on binary options (more here)and learn how to test.
While you may see promises online like
“Make $100 into $100,000 overnight,” or “Make $20,000 in 60 seconds with binary options,”
These are not realistic promises. The reality is that if you’re going to ever trade professionally, it’s going to be slow going unless you already are sitting on a huge bankroll and have some knowledge of what you’re doing.
Come up with a method for trading binary options that you can reliably test on historical data for profitable trading. Once you’ve proved that you can trade reliably on historical data, try going to demo somewhere (this feature is sorely lacking with almost every binary options broker in existence right now, except 24option and a limited other few), and then trade live with a reputable company. Follow the method you develop with discipline. Don’t trade randomly, and don’t blame your failures to trade with discipline on your broker. You can’t gamble your way to success. You can only become a profitable professional binary options trader by applying due diligence and hard work.
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