As reported previously by “financemagnates.com” last week, the global crackdown on the mostly unregulated binary options market now includes the “Visa” and “MasterCard” operators in the USA and Canada who have been sending out emails warning “numerous reports of fraud and scams” through unregistered and unregulated firms in Cyprus and Israel.
The global crackdown has rampped up even more, targeting companies that are withdrawing USA and Canadian investors money in binary options schemes, using “Visa” and “MasterCard” as a method of getting money from investors. The clampdown on corrupt and scam binary options brokers that use indecent practice and non compliance to international laws, has now began a new phase in USA and Canada and we will be seeing the same in Europe soon.
We all want money don’t we? “Just Follow the money” as many have said in the past. Or even stop the flow of money, in order to shield investors from unregulated brokers. What does this mean for regulated brokers who comply with all of the rules? Will the multi-billion dollar binary options industry come to a halt within a few years?
It is hard to know exactly how much of this industry is being run by unregulated brokers and how much of the trading volume is being traded on compliant regulated broker websites. Some say that the vast majority of trades are made on legitimate broker websites. Some say the opposite is actually true.
The Impact on Regulated Brokers?
What happens when investors looking to try their luck with binary options on a legitimate regulated website such a “NADEX” are refused their deposit by their credit card company? Why has no-one really answered the question once and for all “Is Binary Options Investing or Gambling?“.
The global crackdown leaves us all mostly with questions but also leaves us with the hope that fraudulent activities in the binary options markets are one step closer to coming to an end, as is the whole industry itself if regulators do not start to answer these questions in a more direct manner.