Introduction to OptionBit
Founded in May 2010, OptionBit is one of the more established binary options brokers around that is based in Cyprus. Their user friendly trading platform powered by TradoLogic has proven to be a hit among their clients. Being web based, OptionBit’s trading platform provide a certain degree of mobility when trading from anywhere around the globe. Supported by a following of loyal clienteles, OptionBit has continued to expand its market share in the competitive binary options brokerage business.
The OptionBit’s Trading Platform
With nothing to download and configure, you can start using the trading platform as soon as you have opened a trading account and deposited some funds. The neat interface allows you to find all the necessary functionalities with just a few clicks of the mouse.
Whether you want to trade in Digital Options, Range Options or Touch Options, all it takes is just one click and you are ready to trade.
Classes of Options Offered
At OptionBit, traders have a choice of five different classes of binary options. They include:
- 60 Second Options
- Digital Options
- No Touch Options
- Range Options
- Touch Options
60 Second Options
As the name imply, they expire in a minute.
Most popular form of all binary options traded. Payout require traders to correct predict if the expiration price will be above or below the strike price.
Touch/No Touch Options
Payout is determined by whether the expiry prices touches or avoid touching a predetermined price at expiration.
Payout is made if the expiration price falls between a predetermined price range.
This feature allows traders to further “extend” the duration of their trade. It is particularly useful when you need that precious additional time to turn a profit. Bear in mind that It can cost up to a premium of 50% to extend your trade.
- Close Now
With the “Close Now” feature, you can close your position prior to its expiration time. This is a good tool to have especially when you want to lock your profit in before your trade expired.
The returns at OptionBit normally range from 75 to 85%. However some trades can give even more lucrative with a percentage return of 400%. Although some brokers have a refund policy, at the present, Optionbit doesn’t refund anything for out-of-the-money trades.
Deposit and Withdrawal
At OptionBit, customers have a choice of funding their trading accounts by:
- Major Credit Cards (VISA, MasterCard)
- Wire Transfer
Withdrawals are also done through the same methods the funds are deposited in.
Currently, OptionBit offers around 70 types of underlying assets to trade in. Traders can decide if they want to trade in Commodities, Currencies, Indices or Stock. The following list below show all the assets that are available for trading.
|CRUDE OIL||AMAZON||EUR/GBP||BEL 20|
|BMW||USD/CAD||FTSE 100 FUT|
|COCA COLA||USD/SEK||S&P FUT|
|DANONE||SPI 200 FUT|
|DEUTSCHE TELEKOM||TOPIX 500|
OptionBit’s website is multilingual supporting eight other major languages apart from English like:
To get in touch with Customer Support, traders can do this via:
- Contact Form
- Live Chat
- Multilingual website
- User Friendly Trading Platform
- Have additional features like Extend and Close now
- Wide range of assets to trade from
- No refund for out-of-the-money trades
One of the safest bet in choosing a binary broker is to select which is established like OptionBit. Having been around for a few years, they have proven their worth. Although they don’t have a refund policy, the other advantages that they have far outweigh this deficiency. Anyway who look forward toward losing in their trades?
Some generous promotions on offer from Optionbit:
The bonus plans are as follows:
Invesr $200 – receive 30% bonus
Invest $500 – receive 40% bonus
Invest $1,000 – receive 50% bonus
OptionBit also give educational allowances to traders, once you’ve made your deposit email OptionBit to claim this reward.
Accepts US Traders
Payouts: Up to 81%
Minimum Deposit: $200
Platform type: Digital/Touch/Range trading
Extend Now Feature- rollover expiration for trades in the money
Close Now Feature- Close positions early if currently out of the money
OptionBit Security and Safety
Ever since its debut to the financial world in 2008, the market for binary options has exploded by leaps and bounds. Not surprisingly, we have also seen a growth in the number of binary options brokers catering to this rapidly expanding market. Spread all over the world, it is only natural for traders to be cautious when i come to selecting a binary options broker. However, many would be investors tend to be especially wary of brokers like OptionBit who are based in lesser developed economies like Cyprus. This is because these economies are usually seen as safe haven for scammers. The fact is bad brokers can be found anywhere even in a highly regulated market like the U.S.
The Financial Regulatory Regime in Cyprus
One of the reasons why Cyprus is regarded as a safe haven for scammers is probably due to a lack of understanding on how the European Union (EU) works. Less developed European economies have long suffered from a negative portrayal with respect to the rule of law by the mass media. Having a company’s operation in a low taxation regime like Cyprus is akin to advertising to the world that you have something to hide and by implication indulging in illegal activities. Laws protecting consumer’s rights are seen as lacking or non-existent.
In Cyprus, financial services providers are regulated by the Cyprus Securities and Exchange Commission (CySEC) under the Cypriot’s Investment Services and Activities and Regulated Markets Law of 2007/09. This piece of legislation is perhaps currently the only piece of legislation in the whole of Europe that provided for a legal definition of binary options from a financial investment viewpoint. In other words, this mean binary options brokers are more tightly regulated in Europe than anyway else. The financial center of Europe, London City, even does not attempt to regulate the trading of binary options as they are classified as “bets” and hence regulated by the Gaming Commission. Furthermore, in the U.K, gambling debts are not enforceable in law.
One might argue that even if the above is the case, the Cypriot’s financial laws are lesser developed the U.K’s financial laws. Anyway else this might be true but not within the Eurozone. This is because the European Parliament with the aim of creating single financial services market within the Eurozone had directed that member countries must meet a minimum standard of fiduciary duties as recommended under the Markets in Financial Instruments Directive 2004/39/EC (MiFID). In short, U.K based brokers, French based brokers, or Cyprus based brokers all have to adhere to the same standard.
OptionBit’s Operational History
Another way to determine if a broker is reliable or not is by looking at their technical competency is in the deployment of services to their clients. Having being in operation for more than two (2) years, OptionBit have proven that it is more than competence in the deployment of its services. This is not a modus operandi of a scammer who is unlikely to invest time and capital to achieve a high level of competency.
Interview with OptionBit CEO Anthony Sharp
What is OptionBit all about as a company?
The idea behind the creation of OptionBit was to provide people who felt overwhelmed by traditional investment services a trading platform that did not require previous financial knowledge and experience to use properly, yet still provided tools that are powerful enough to meet the requirements of more advanced traders. The result is a trading platform that is easy to navigate and a user experience that is a second to none in online trading. At least in our opinion.
Why should people trade binary options as opposed to Forex?
Comparing binary options to Forex is like comparing apples to oranges. I believe that every trader needs to find a solution that is good for them and allows them to increase their chances of reaching their predefined goals. That being said, binary options does provide one significant advantage over Forex in that the trader is always aware of how much they can earn at any given time and how much is on the line in terms of risk. I’ve seen many Forex traders suffer terrible losses. With binary options, risk reward is always known in advance.
Is binary options trading closer to Forex or to gaming?
A little bit of both. Binary options offer a unique combination of financial services and gaming excitement. It’s hard to explain to those who have never traded binary options, but during our beta phase, I found myself jumping up and down and cheering when the option was about to elapse and I was winning, just like in a casino. However, I wasn’t cheering next to a roulette wheel, but in front of a computer screen, starring at the EUR/USD. I think binary options provide the best of both worlds.
What differentiates you from your competitors?
Our trading platform, without a doubt. I haven’t found a platform that provides such a large number of features, while still offering such a clear and easy to navigate interface. I also believe that our personal account manager are special and can certainly impact a trader bottom line. We pride ourselves on an educated and service oriented team of support staff.
Do you believe in offering bonuses and promotions?
Absolutely. We offer our traders a deposit bonus of up to 50%, along with monthly bonuses and promotions worth thousands of dollars. In February we are giving away a $5,000 vacation, an Apple package that includes a MacBook, and iPhone and The New iPad, and a gaming package that includes a PS3. Traders can expect something like this each and every month.
How would you reassure our readers that may be a little nervous about getting involved with binary options trading?
There are two key points that can put the minds of traders at ease. The first is the personal account manager. I cannot stress enough the importance of a dedicated and experienced individual who is standing by to provide any type of assistance and advice required. When someone is looking out for your best interest, your chances of success increase dramatically. The second point is that you always know in advance how much you can earn. There are no surprises when it comes to Binary Options. I can tell you now that we offer 81% profit on each successful trade. That is a guarantee.
What type of traders do you cater for?
We cater to all types of traders from all walks of life. However, our primary target market is people who want to become traders, but are frightened by the prospect of in depth financial analysis, graphs and spreadsheets. OptionBit offers an alternative and evens the playing field between new and more experience traders.
What advice would you give new traders?
Take advantage of your personal account manager. Not only is this service essential for most traders to succeed, but it’s free. Take advantage of it. The more interaction you have with your account manager, the higher your profit potential.
What do you personally trade?
I had a feeling this questions would come around. I keep a diverse portfolio, including commodities and stocks. I also have some real estate investments. I’m not so keen about currencies at the moment due to the uncertainty in the markets, but in the past I have profited nicely from trading the Euro and the Japanese Yen.
What do you see happening in the future of binary options trading?
I see this industry growing by leaps and bounds, not only for PC, but on other mediums and platforms as well, including social media and mobile devices. Binary options are a great alternative to Forex on so many levels that this market can only grow in the coming months and years.