We all knew Kenya for its diverse wildlife and natural beauty. Kenyan citizens were not famous for their indulgence in the financial sector that much. But times have changed now from fixed-time trading to binary options trading is now home to all. If you are a Kenyan citizen looking to trade in Binary Option, this article can undoubtedly give an excellent start to your trading journey. In this article, we will tell you about the best three brokers in Kenya and their comparisons. We will also be discussing the regulations, advantages, and features of binary options trading.
So, let’s get started.
What Is Binary Options Trading, And How Does It Work?
Binary options trading is an instrument that allows you to trade through a simple YES or NO. It is called Binary because there can only be two results, either you win or lose. There is no option for a third outcome. Binary options trade can be made using financial security, cryptocurrencies or gold, etc.
By tracking an asset or security for several weeks, you can predict whether its market price will go up or come down after a certain amount of time; based on your calculations, you trade with an amount. If you think the market price will go up, you say “Yes” and buy a certain number of tokens of that security or asset.
But, if you think it will come down, you say “No” and sell a certain number of tokens of that particular asset or security. If your prediction comes out right, you end up getting a 60-80% profit on the amount that you traded with.
Note: You can trade between 0-100$ in Binary Options Trading.
So, if your prediction comes true and you have purchased a token worth $100, you will earn around 60-80$ on that, which will make it $160-$180 in total. However, if your prediction comes out wrong, you will lose all your money and be left with nothing, which is why it is called all-or-nothing trade.
List of The 3 Best Binary Options Brokers in Kenya
Yet another reliable and globally recognized broker, Olymp trade’s support system is designed for a layman’s understanding. You only have to deposit $1 to start trading. Besides, you get access to special video tutorials and webinars. The icing on the cake? You get to trade 70+ securities.
If you are a big fan of certificates and awards then, Binomo can be your best bet because it has many awards and certificates in its arsenal. But, most importantly, it is licensed by the Financial Commission under category A. Besides, Binomo is a trusted and certified broker. Moreover, it is available in 12 different languages, and you get 70+ assets to trade from.
The IQ option is approved by CySEC (a financial body regulated by the EU). So, for those of you, who want maximum features along with the broker’s credibility, the IQ option is for you. If you are an absolute beginner, IQ Option provides you a demo account with $10,000 of virtual money in it. You can learn trading by spending them. They do not charge any deposit fee, and withdrawals mean you will get the entire amount in your bank account without any convenience charge.
Financial Regulations in Kenya
Online trading in Kenya is still in its initial stage. The governing body of financial securities in Kenya aka. Capital Markets Authority or CMA is yet to impose any regulations on trading. CMA was developed in 1989, and its work is to regulate, supervise, license, and monitor financial markets in Kenya.
Here are some points that will help you recognize the role in a better way:
- Enhance the capital markets and develop new ones so that investors can get better options to trade from.
- Creating a safe and secure infrastructure for trading so that investors cannot be fooled.
- Developing rules and regulations for brokers so that they can operate with transparency under the Government’s supervision.
- Leveraging financial bodies like Fintech so that online trading infrastructure can be improved.
- Developing compensation fund schemes so that investors can be protected against losses.
So, as for now, there are no regulations on binary options trading in Kenya; however, CMA is working closely with international bodies and is developing a framework to govern online trading in the future.
Comparison between 3 Best Binary Option Trading Brokers in Kenya
Here is a comparison of the best binary options trading brokers in Kenya.
#1 Olymp Trade
- You can sign up through your Apple, Google, or Facebook account and start trading within minutes.
- The dashboard is easy to use and intuitive
- Simple deposit and withdrawal process.
- The site provides extensive bonuses ranging from 20-100%.
- Suppose you deposit $1000+ in your account. You will be eligible for a VIP account and, on every Binary trade loss, you will get up to 10% cashback.
- As a beginner, you can enter free trade tournaments to earn cash prices up to $500.
- For experienced traders, there are tournaments where the cash price can be 10,000+ for the winner.
- Binomo’s app is available on binary option trading Android and iOS devices.
#3 IQ Option
- If you are an absolute beginner, IQ Option provides you a demo account with $10,000 of virtual money in it. You can learn trading by spending them.
- They do not charge any deposit fee, and withdrawals mean you will get the entire amount in your bank account without any convenience charge.
- They offer a support system in multiple languages. The professionals are available for your help 24×7.
- You can start your investment journey just by trading with $1.
- The minimum deposit is not high either; you can start by depositing $10.
- They have a whole bunch of people whom they call the support community. These people are just like you, investors. You can chat and understand how others invest.
- They facilitate many trade indicators that can give you an idea of whether to trade on a particular asset or not.
- They also have an intelligent news feed where the latest news and data get updated regularly for your convenience.
#1 Olymp Trade
Using Olymp Trade’s mobile app, you can easily trade up to 100+ instruments. You can use it to become a successful trader and analyze the market in a better manner.
Binomo app is one of the safest mobile trading apps. The app’s user interface is easy to use. Besides, you don’t need to worry about mismanaging your fund as it is 100% safe.
#3 IQ Option
IQ Option offers a top-notch mobile trading platform. Its user interface is clean and intuitive and designed to meet the needs of new and experienced traders. You can easily trade up to 500+ assets on the platform.
Services for Kenyan Traders
Let’s discuss some of the services offered by these binary options brokers.
#1 Olymp Trade
Olymp Trade offers several ways to deposit money. These include Bitcoins, Neteller, Globe Pay, and WebMoney.
Binomo Broker is an excellent option for new traders. You can easily make a debit card to credit card to make a deposit.
#3 IQ Option
For a real account, you will need to deposit $10. Moreover, if you wish to trade via the VIP account, you must deposit $ 3000. You can easily make these deposits via debit/credit cards and bank transfers.
Kenya does not impose any sanctions on sending or receiving money from any third-party app, making your money withdrawal simple too. None of them charge even a penny for withdrawing your money. Moreover, you get multiple payment methods to choose from.
#1 Olymp Trade
Luckily, withdrawals are free on Olymp Trade. There are no limits to withdraw money from your account, but you will need to withdraw a minimum of $10. Besides, withdrawal requests are processed in less than a day.
You will have to use the same process to withdraw as you used for the deposit. It will take a few minutes to 3 days to cash out your trade earnings.
#3 IQ Option
All you will need is a bank card to withdraw money, and it will take a maximum of 3 business days to get it in your account.
#1 Olymp Trade
You can easily access customer support via live chat, email, or filling out a contact form. You can choose from a variety of language options.
The best way to access customer support with Binomo broker is via live chat.
#3 IQ Option
You can choose to talk to customer support representatives via live chat, email, or phone.
After having learned so much about Binary Options Trading, you must be wondering about its benefits.
And, well, rightly so you must know about them since you are about to invest your hard-earned money in that.
So, let’s look at them:
Benefits of Binary Option Trading
- High rewards
However, there is a high risk in Binary Options Trading, and the rewards are staggering too. When you compare it with FOREX or Fixed Time trading, Binary Option gives you a return of 60-80% on your total amount, while FOREX only provides a return of 10%.
If you want to increase your money manifold, there is no better option than Binary Options trading. This is a relatively new concept in Kenya but is gaining momentum rapidly because of its high reward nature.
So, if you have some spare money, try spending it in the Binary Option.
- Fixed Risk
Although the risk is high in Binary options trading, it can never exceed your deposit amount.
Unlike Forex trade, where things are uncertain, everything can be clearly defined in Binary options trading.
As a wise trader, you are always aware of how much you can lose. So, you can never be in a shock-and-awe when it comes to binary option trading.
You can choose how much you want to risk based on your capacity, which is an excellent benefit of binary option trading.
Moreover, some brokers also reward their traders after losing. They provide 5-15% cashback on the amount you lose, which is also a big plus.
- Zero Complications
Well, there is nothing hidden from the end trader in BINARY OPTION TRADING. You already know there can only be two outcomes, and things may fall either way.
Even a beginner can try his luck in BINARY OPTION TRADING as brokers provide demo accounts that can allow an amateur trader to get a glimpse of real-time trading.
Website interfaces of such brokers are also user-friendly, so it is easy for novices to understand what the app or website is all about.
One can create their account with ease with their Facebook or Google account.
- Quick Process
You do not have to wait for months for the result. Binary options are fast. They are traded in a 15–30-minute window and sometimes an hour.
The quick process allows the users to trade multiple times in a day and enhance their profits.
It is best for people looking to make quick profits and end their day on a high.
Some trades are even valid for 60 seconds only. Here a trader has to choose among the two options, and the results will be out in the next 60 seconds.
- Plethora of Assets
You can trade with almost every asset in Binary Options Trading. You can either choose gold, silver, or shares to start your trade.
You can assess the market and choose the asset that is bound to increase in the next hour.
Some traders find themselves experts in a few assets only; this trade allows them to invest in those assets only and increase the probability of their winnings.
Some companies may do well during a particular time, while others might find themselves dipping. As a wise trader, you can predict using trade indicators and invest accordingly.
- Binary Option Trading Has Something for Everyone
Binary option trading is just not confined to experienced campaigners. Instead, even a layman can start trading through them.
Binary Option is not like the “one size fits all” thing. Brokers have different binary options for novices where the level of risk is a bit less along with low levels of profit.
However, if you do not want to invest in the first go, demo accounts are always a good option.
You can trade through virtual money, and neither the profit nor the loss will be yours but, you will learn much-needed things about trading.
- You Can Close Your Trade Before the Stipulated Time
Unlike Forex trading, where you cannot back off once invested, Binary Option allows you to step back in between the trade time.
For example: if your trade time was 15 minutes and, entering the 12th minute, you feel the price will now come down, you can close a trade right away and keep the profit.
There is no charge for the closure, and the asset’s value will be considered the final value upon closure.
So, with Binary options trading, you have the liberty to choose the trading time.
- You Can Trade Multiple Times a Day
There is no limit to your trading. You can trade many times because the entire trading process gets over within an hour.
As a trader, you can trade for the entire day and double up your investments. But, of course, some people do it as their full-time job too.
Since this instrument is transparent and you know what you can win and lose, people do not hesitate to take their chances.
However, extensive knowledge of securities is required to turn to it full-time, so it is risky for inexperienced traders to venture into it.
With the advent of digitization, Kenyans are now coping up with the world in the financial sector. With their economy reviving from the aftermath of the COVID-19 pandemic, Kenyan citizens are digging in deep to try out different things that can help them make some extra bucks.
Financial markets can be tricky due to the risk factor, but rewards are equally encouraging. Investing in instruments like Binary Options Trading with the assistance of world-class brokers like Pocket Option, IQ Option, Olymp Trade, Binomo, and Expert Option can significantly boost Kenya’s financial sector.
With extensive rewards, cash backs, demos, and support assistance, these brokers motivate Kenyan citizens to come out and explore the financial markets. The healthy competition amongst them is also a big plus for the Kenyan financial sector.