Binary options have witnessed a strong resurgence in South Africa in recent years. The country is evolving as one of the rapidly growing binary trading hubs in the African continent. This is indeed a revolution for the African market economy.
However, making a profit with binary options trading in South Africa is not as easy as you think. It takes a lot of apprehensions and decisions to make the right choices. Over it, with so many binary brokers operating in the region, it becomes difficult for traders to distinguish between several options.
Well, if you are a South African trader looking for a seamless binary trading experience, IQ Option is an excellent choice. It is a recognized platform deemed fit to provide a perfect start to your trading career. In this article, we will take a detailed review of IQ Option broker and will understand its legality in South Africa.
Is IQ Option legal in South Africa?
What you will read in this Post
Trading binary options in South Africa is completely legal. Currently, there are no laws explicitly prohibiting online trading activities in the country. However, the trading industry here is unregulated, which implies that there is no protection for investors willing to trade here. So, it is all up to traders to make wise decisions based on their research and analysis.
Additionally, in the wake of the absence of regulations, no brokerage firm based in South Africa can offer options trading services here. But the good thing is that offshore brokers are allowed to offer their services in the country. Since their operations are performed outside the country, they can render their services to South African traders. Traders here can legally access their trading accounts as well as deposit and withdraw money on the web as per their convenience.
Thus, there is nothing that makes IQ Options unlawful in South Africa. Also, there is no breach of law on trading options with the broker in South African.
Regulation in South Africa
The Financial Services Board (FSB) is the primary agency responsible for regulating and monitoring activities in the financial industry in South Africa. Though FSB is not directly indulged in regulating the options trading market, it does ensure to protect South African investors from being duped into money laundering activities. The agency facilitates safety by monitoring the activities in the options industry.
They have launched the FAIS (Financial Advisory and Intermediary Services) division to supervise the working of financial service providers in South Africa. FAIS majorly deals with customer complaints and takes necessary actions needed to protect investors’ rights and interests. Additionally, FAIS has several sub-departments under it to oversee the different areas of binary options trading. Hence, binary options are not fully regulated, but it is legal to trade as a South African investor.
Furthermore, foreign brokers offering services in the country do not need to gain any license from FSB. As such, it is better to opt for regulated brokers licensed by a globally recognized agency like Cyprus Securities and Exchange Commission (CySEC).
Regulation of IQ Option
Although Africa-based brokers cannot offer their services to traders in the country, there are a good number of foreign alternatives. A lot of international brokers have access to the South African market, and the most reputed among them is the IQ Option.
Given its European origin, IQ Option is required to comply with the regulations as per European laws. The broker is registered under Cyprus jurisdiction and is licensed by Cyprus Securities and Exchange Commission (CySEC license: 247/14). Apart from this, the broker has also got itself regulated by the Financial Services Authority of St Vincent and the Grenadines (registration 24840 IBC 2018).
Additionally, it is also registered with Spain’s National Securities Market Commission (CNMV) and Financial Agents Register (Regafi) in France.
As a whole, IQ Option is a regulated and reliable binary options trading platform in South Africa.
Review of trading platform for traders in South Africa
Established in 2013, IQ Option has steadily gained traction among traders in South Africa. It is a custom-built platform renowned for offering flexibility to trade with a variety of financial assets and instruments. With a huge base of 20+ million active account holders spread over 30 countries, IQ Option claims to be one of the fastest-growing trading platforms. In South Africa, IQ Option is accessible as a proprietary platform.
The broker is credible and entirely compliant with regulatory norms to serve customers in their respective jurisdictions. The innovative layout and functional features of this platform are its main highlights. Here are several features of this platform.
IQ Option is distinguishable for its custom and intuitive trading interface. It allows you access to the best trading tools and indicators for a seamless experience. You can trade on it directly via charts. These charts also support great customizations as per time frame and other trade aspects. Besides, you have the provision for transitioning between charts and instruments to further assist in better decision-making.
IQ Option is tailored to provide you with an on-the-go trading experience. Its mobile application is supported on both Android and iOS devices, allowing you to trade from anywhere and anytime. Moreover, you can log in to your IQ Option account using fingerprints or through Facebook or Google accounts.
Win extra money while trading binary options. If you want to add some fun to your options trading, you may need to enroll in IQ Option tournaments. These are frequently organized competitions with attractive prize money for the IQ Option community. So, apart from making a profit with your trades, you can do extra with these tournaments.
Some additional features
- Functions for trading market analysis and notifications.
- Real-time, custom price alerts.
- Strong trading community.
- Integrates mechanisms for risk management.
Pros and Cons of IQ Option for South African Traders
- State-of-the-art platform.
- Accorded the title of top trading application in the financial category.
- Low minimum deposit of $10.
- Offers margin trading.
- Supports trading in more than 100 financial markets.
- IQ Option levies a reasonable spread as compared to other brokers in South Africa.
- Allows options trading on weekends.
- Free practice account to allow traders to gain hands-on experience on all features before staking real money.
- Well-designed platform but lacks speed.
- Less variety of assets for trading.
- Inactivity fee of $/£/€10 on not accessing the account for three consecutive months.
- Limited jurisdiction.
- Complicated deposit and withdrawal process.
It is clearly visible that the IQ Option pros outweigh its cons. With extensive tools, features, and educational toolkit, undoubtedly, the platform stands out as the one-stop destination for South African traders.
How to use IQ Option South Africa?
To register as a trader on IQ Option in South Africa, you are required to follow certain necessary steps. As trading is time and money intensive, it requires you to furnish mandatory details regarding your identity to let you enjoy a hassle-free experience.
Given below is the procedure to open a trading account in South Africa.
- To get started with binary trading with IQ Options South Africa, firstly complete the registration form. You can locate it on the topside page.
- Enter email and password.
- Next, tick the checkbox asking you to agree with the IQ Option terms and conditions.
- However, ensure to read all terms and conditions carefully before completing the registration.
- Once done, move to the next checkbox asking you to confirm if you are 18+ or not.
- Next, hit the “Try Now” Button.
- After this, you’ll receive an email verification confirming your account has been activated.
- Now you are ready to begin trading binary options in South Africa.
So, it is clearly noticeable that registering and opening an account on the IQ Option platform is not a difficult task. This will also provide you free access to a practice demo account, thereby allowing you to test all platform features before staking the real money.
Guide to trade Binary Options in South Africa with IQ Option
To place a trade on IQ Option, follow the given steps:
- Pick the asset you want to trade.
- Stipulate chosen asset’s price movement. Here you can use fundamental and technical analysis strategies.
- Select the amount you want to trade with.
- If your analyses say that an asset’s price will increase, hit CALL. Alternatively, if you think it will decrease, hit PUT.
- Now, wait till your trade reaches the expiration time. On expiration, your trade will be automatically closed.
- You will make up to 91% gain for accurate prediction, whereas for inaccurate prediction, you will lose your investment amount.
IQ Option money deposit in South Africa
South African traders get easy access to funding deposits on the IQ Option platform. The broker offers instant deposit via several safe and secure payment methods.
To initiate deposit:
- Log into your IQ Option trading account.
- Go to the homepage.
- Navigate to the top right corner of the screen and tap on the “Deposit” button.
- This will open up a menu of deposit options, including different methods of payments like debit/credit card, bank wire transfer, and e-wallets (Neteller card South Africa, QIWI, WebMoney South Africa, Fasapay, and Boleto). In addition, traders in South Africa can also opt for any local bank of their choice to process the deposit.
Following are the banks supported by IQ Option:
- FNB (First National Bank)
- Standard Bank
- Select any of the banks.
- After this, click on the ‘Go to Payment’ option.
- This will direct you to the payment gateway. Fill in the necessary details and tap on “Log in.”
- Next, you will receive an OTP on your registered number.
- Once the OTP is verified, you will get a confirmation message regarding the successful deposit of funds.
- Alternatively, you can also make a deposit via the ‘Top Up Your Account’ button.
Furthermore, IQ Options also has a specific deposit limit which is $10. Though there is not any applicable transaction charge or deposit commission levied on South African traders.
IQ Option money withdrawal in South Africa
South African traders can request for withdrawal of funds from their IQ Option account any time they want. Also, it has no minimum or maximum limit imposed. You can withdraw your money as many times as you want. However, your withdrawal method will depend on your deposit method. Suppose, if you chose a debit/credit card for deposit, then for withdrawal, you will have to use the same method.
To initiate a withdrawal
- Open the IQ Option app or website and navigate to the “Withdrawal” button.
- Input the details as requested and wait for the request to be accepted. The time consumed in withdrawal will depend on your preferred payment method. Bank wallets may take 2-3 working days.
IQ Option account types available in South Africa
IQ Option offers three types of trading accounts to South African traders – a demo account, a standard trading account, and a VIP account. Let’s discuss each of these accounts in detail.
#1 Demo account
This is one of the notable benefits traders get with the IQ Option platform. The demo account is really very handy for beginners. It allows you to gain real-time trading experience employing virtual funds. This account is open for unlimited access and comes with trading tools and instruments similar to those available with real money accounts.
- Comes with an initial deposit of $ 10 000.
- Offers 400+ assets to trade.
- Top-up facility permitting you to restore your virtual account balance to the initial value.
#2 Standard account
This is a live account requiring real money, minimum financing of $ 10, and a trade size of $1. This account comes with the following benefits and features:
- Access to multiple trading instruments.
- Maximum leverage – 1:500.
- More than 65 different tradable asset classes.
- Participation in weekly trading competitions.
- 24/7 live chat support.
#3 VIP account
VIP account requires a minimum deposit of 1900 USD and comes with additional perks and benefits, which include:
- Dedicated personal manager to assist and advise when required.
- 3% additional returns.
- Higher profitability rate.
- Free participation in trading promotions.
- Personalized tutoring.
- Additional educational material.
- Faster withdrawals.
Support for South African traders
The IQ Option customer support team in South Africa is very resourceful and prompt in solving customer queries. It claims to settle a query within 24 minutes and has an average response time of 46 seconds. Traders in South Africa can reach out to IQ customer support via email, live chat, call, or a toll-free line. They can also contact the company’s CEO and CAO via mail. Want more? You can also reach out to the IQ Option support team via Skype. Thus, IQ Option leaves no effort and stands out for its quality customer support services.
The round-the-clock, multilingual support is available for all traders, regardless of their account subscription. Moreover, for personalized support, you can switch to a VIP account.
- Toll-free number 91 000 800 040 13 61.
- Email at email@example.com.
Enlist top trading instruments available on the IQ Option platform in South Africa
In addition to binary options, IQ Option supports trading in the following financial instruments:
- Forex CFDs
- Cryptocurrency CFDs
- Stock CFDs
- FX options
- Classic options
How Safe Is IQ Option for Binary traders in South Africa?
IQ Option maintains a separate account for storing client funds and integrates with the SSL encryption protocol. This helps secure all information exchanged between the traders and IQ servers by encrypting them per the AES 256 Bit encryption standards.
How to update the contact number on IQ Option?
It is not possible to update your contact number registered with the IQ Option account. However, you can delete your old number. For further support, you can send a request to firstname.lastname@example.org, highlighting the last 3 digits of your phone in your application.
Are there any commissions applicable on processing transactions with an IQ Option trading account?
IQ Option does not levy any commissions on transactions executed through its trading account. However, such commissions may be imposed by your payment aggregator or payment system.
To sum up, IQ Option is an exceptional binary trading platform for South African traders. Encapsulating higher standard functionalities, trading options, and superior transparency, the platform is distinguished for its unique experience. The broker accords its traders an enormous value and instills them with confidence that their funds and information will be kept secure and safe.
So, sign up on the IQ Option platform to gain hands-on experience on advanced trading features. Register yourself and become part of a huge trading community in South Africa. IQ Option is definitely an ideal choice for traders yearning to make massive profits with options trading.