Which Binary Options Brokers are Accepting US Traders?
Why are we talking about which brokers accept US traders? This is because the way the binary options market operates and the way it is viewed by the regulators and other operators in the market creates a kind of dichotomy in the market.
By law, US companies and individuals are subject to a form of taxation that is unique, and are bound by the provisions of the Patriot Act. The taxation system in the US provides for taxation of all income made by US citizens nationally and internationally, and this covers all forms of investment including binary options. Foreign companies who provide investment services for US citizens are required by law to make disclosure to the IRS on any investments held by US citizens for purposes of enforcement of this law. This law, the Foreign Accounts Tax Compliance Act (FATCA) provides penalties for defaulting companies. As such, many binary options brokers would rather not do business with American citizens than face any complications arising from this provision. This means that more than 80% of brokers in the binary options market place are not US-friendly brokers.
For a broker to be considered US-friendly, it means that the broker in question must have taken steps to ensure compliance with FATCA by providing the necessary tax forms as part of account opening, and taken other steps to make them compliant with the Patriot Act and other provisions of the tax laws.
The following brokers accept US traders and are therefore classified as US-friendly binary options brokers.
24Option – Read Our 24Option.com Review
24Option is one of the solid binary options brokers out there and the good news is that they accept US traders, making them a good choice for binary options US-friendly brokers. 24Option is one broker that has gone the extra mile to improve the trading experience on their platform with their choice of funding and withdrawal options, the trading assets offered, choice of expiries and a fully loaded educational library for newbies.
TradeRush – Read Our TradeRush Review
TradeRush is the premier binary options broker out there today, known best for its innovativeness and customer service. TradeRush is the creator of 60 Second Options, and the broker never ceases to improve its advanced platform. TradeRush offers its clients professional financial analysts as well as an extensive trading academy. TradeRush is US-friendly, of course, in addition to being easily accessible for internationals.
EZTrader – Read Our EZTrader.com Review
EZTrader is another US-friendly binary options broker that has completely revamped its website and trading platform to appeal to a global market. EZTrader has provided among other things, a dedicated US toll-free number so that its American clients can reach out to it with ease.
Nadex is a US-based binary options exchange that allows traders to deal directly in the market. To open an account with Nadex, a trader needs to supply his Tax ID number or US social security number. This restricts usage of Nadex to just US residents and US citizens, and therefore makes this broker the topmost US-friendly binary options broker.
Stockpair – Read our StockPair.com Review
Stockpair is based in the United Kingdom, which has been a traditional ally of the US in international trade and politics. As such, Stockpair has provided the right conditions that allow US traders to open accounts and trade binary options on their platform. This makes Stockpair yet another US-friendly binary options broker.
XP Markets may not be a well-known broker, but this broker accepts Us traders, who can open accounts and start trading with as low as $200.
OptionsClick – Read our OptionsClick.com Review
Located in the British Virgin Islands, OptionsClick surprisingly allows US traders to open accounts with them. The BVI is a known tax haven, and companies in tax havens notoriously do not corporate so well with tax authorities. So by allowing US traders and complying with the necessary requirements for US citizens operating foreign accounts, OptionsClick deserves kudos for being a US-friendly binary options broker.
IkkoTrader – Read our IkkoTrader.com Review
IkkoTrader is a truly international platform that accepts US traders and traders from across the world. If you are from the French-speaking Louisiana area, you will love this platform as it has a very strong French lean.
GlobalOption does not only stop at accepting US traders on its platform. It goes the extra mile of classifying the traded assets into country categories. So if you are a US trader who is only interested in trading US stocks, US stock indices and other assets that are US-focused, you can get them by selecting the “US Options” tab. This ensures that as a US trader, you only trade what you are familiar with. At 95%, GlobalOption’s payout is one of the highest in the industry, so there is really no reason not to trade with this US-friendly binary options broker.
There are a few other US-friendly binary options brokers, but these are the best of the lot and you can easily choose from these ones.