Since binary trading is a tricky game, many new traders experience more losses than they anticipate. Maybe that is why a few countries do not allow binary trading. However, it is safe to trade in binary options if you have a reliable trading partner who can guide you.
IQ Option is one such brand that can provide a platform with features that will help you win trades. However, even the IQ Option is banned by certain countries. Therefore, let us view the list of IQ Option countries where it is banned and where available. Then, we can find out the reason behind such banning.
IQ Option banned countries:
If you are a novice wishing to enter the binary trading business with IQ Option, you must ensure that you do not belong to any of the following countries. Availing of IQ Option in these countries can lead to legal consequences. IQ Option is not accepting traders from the following countries:
See the list of unavailable countries here:
- Afghanistan
- Albania
- American Samoa
- Australia
- Belarus
- Belgium
- Canada
- the Czech Republic
- Comoros
- Crimea
- Cuba
- Democratic Republic of the Congo
- Donetsk and Luhansk People’s Republics
- Eritrea
- Ethiopia
- Guam
- Haiti
- Iran
- Israel
- Japan
- Latvia
- Libya
- Mali
- Myanmar
- North Korea
- Palestine
- Portugal
- Republic of Abkhazia
- Republic of South Ossetia
- Russia
- Spain
- South Sudan
- Sudan
- Switzerland
- Syria
- Transnistria
- Ukraine
- the United Kingdom
- the USA
- Vatican
- the U.S. Virgin Islands
Binary Options are not available in Europe and is not legal. Traders from there can not trade with the non-EEA legal entity.
(Risk warning: You capital can be at risk)
Important note: IQ Option is unavailable in some countries. Therefore, you can find an alternative in our comparison.
IQ Option available countries:
Despite the banning of binary options and its service providers like the IQ Option, some countries do not ignore the benefits.
IQ Option is available in the following countries without any legal consequences.
- South Korea
- Taiwan
- Thailand
- Vietnam
- South Africa
- Brazil
- Mexico
- New Zealand
- Peru
- Colombia
- Venezuela
- Saudi Arabia
- Chile
- Albania
- Algeria
- Andorra
- Angola
- Anguilla
- Antarctica
- Antigua and Barbuda
- Argentina
- Algeria
- Andorra
- Anguilla
- Cayman Islands
- Chad
- Chile
- Dominica
- East Timor
- Georgia
- Fiji
- Greenland
- Morocco
- Nepal
- Panama
- Qatar
- Sri Langa
- and many more
Therefore, if you are a resident of any of the countries mentioned above, you can enjoy the services from IQ Option. The broker is available in most countries in South America, Africa, and Asia.
(Risk warning: You capital can be at risk)
Why do countries ban IQ Option?
The financial regulations of different countries vary drastically. An economic activity legal in one country may be illegal in another. Similarly, it happens with binary trading and the platforms offering binary options trading as well. We can say that IQ Option is one such trading brand that certain countries do not allow due to their financial norms.
One of the main reasons countries bans it is because they consider it similar to gambling. Another goal was to prevent unlicensed brokers from soliciting clients. That is because the binary options market often has fraudulent brokers and outlets.
Such outlets con the clients by offering them a sure-shot win in their trades, and once they invest in them, all of their wealth is gone in one shot. Various countries updated their norms and banned binary options to prevent such activities and discourage the gambling nature of binary options. As a result, even a trustworthy broker like IQ Option has a ban from providing binary services in those countries.
For example, the authority named Commodity Futures Trading Commission regulates binary options in the USA. It regulates binary trading as a gambling form due to its similarity; as a result, IQ Option also has a ban there.
Moreover, the CTFC also prohibits outside brokers from getting a license. So, US traders cannot use their services anyhow.
Similarly, due to the risk of significant money losses, it is banned in various other countries and unions. Binary options are similar to fixed odd-bets, where the probability of an event happening determines the outcome. That resulted in the ban by the UK in April 2019. The European Union followed the ban for the same. However, it was a temporary ban put in by the European Securities and Markets Authority.
Is IQ Option legal or not?
The legalities of different countries differ drastically. An economic activity legal in one country may be illegal in another. Similarly, we can see that happening with binary trading and the platforms offering binary options trading as well. We can say that the legal status of the IQ Option is also dependent on the changing norms of various countries.
One of the main reasons the countries provide an illegal status to IQ Option is because they consider it similar to gambling.
Countries have tried to discourage its use due to the addictive nature of binary options trading with IQ Option and the potential to lose funds.
By making it illegal, the countries aimed to prevent the unlicensed brokers from canvassing the customers. Also, since the binary options market often has fraudulent brokers and outlets, this method works in a few countries. That is why IQ Option remains illegal in those countries.
The fraudulent outlets con the customers by offering them a sure-shot win in their trades. But once they invest in them, all of their wealth is gone altogether. So, various countries have modified their financial norms accordingly.
Countries, where IQ Option does not meet these norms’ requirements claim it is illegal. However, that does not mean all the countries have barred IQ Option from providing the services. Moreover, acquiring an illegal status in a select few countries does not make IQ Option unethical or harmful to the customers. It depends on the usage of the customer and the regional policies where the customer resides.
For example, it holds the illegal status in the USA. The CFT is the authority that regulates binary options in the USA. It regulates binary trading as a gambling form due to certain similarities; therefore, IQ Option as a binary broker also becomes illegal.
It also prohibits outside brokers from getting a license. So, the US traders using such services will be committing an offense.
Similarly, various other countries and unions have conferred IQ Option with the illegal status. That is mainly due to the risk of significant capital losses. Since IQ binary options are similar to fixed odd-bets and their outcome depends on the probability of an event, the UK also made it illegal in April 2019 to enter into such trades.
Further, the European Union followed the same temporarily.
What is IQ Option?
It is one of those fast-growing online trading brands that offers services through its unique platform.
It offers attractive features that can be useful in winning trades. A new trader can begin to experience their features through an IQ Option demo account. Further, it also offers a VIP account with additional exclusive features such as personal account managers, expert training materials, etc.
Various news agencies have also featured IQ Option in the last couple of years. It is an award-winning binary trading platform with many accolades. The recent award of excellence in 2017 was also bagged by IQ Option.
It has a huge user database as well. More than 86000000 users are already registered with it. Moreover, 1800000 investors actively trade with them, generating a monthly volume of more than $380,000,000.
(Risk warning: You capital can be at risk)
Why is it important in binary trading?
Binary trading is among the fastest-growing sensations currently. Within the past two decades, it has significantly replaced the old methods. Now, we can trade in multiple assets with just a click on our device with online binary options.
It is perhaps the fastest way to earn profits and increase wealth. All that a trader needs to do is predict the outcome correctly as yes or no. That means whether the price of an asset will increase or not; or whether it will decrease or not.
Correct predictions can give up to 75% of profits, whereas a wrong prediction will make you lose the whole investment in one go. As lucrative as it sounds, it is a risky game that needs a well-structured strategy and trading plan. A binary options broker like IQ Option can help you with that.
(Risk warning: You capital can be at risk)
Conclusion: IQ Option is allowed in 97% of countries
IQ Option’s ‘legal or not’ status depends on the country a customer belongs to. We can see from our discussion that various countries have their own parameters to determine the legal status. However, many countries permit availing of IQ Option as a legal broker.
So, if you do not belong to any of those countries where IQ Option is illegal, you can safely enjoy the features of this broker and win trades.
IQ Option is an amazing platform for any binary trader. However, one must ensure that the country of residence allows a trading brand like IQ Option.
Since many countries have banned binary options per se, it is the trader’s responsibility to confirm the legality in their respective country before beginning to trade.
(Risk warning: You capital can be at risk)