Swiss forex bank Dukascopy Bank said on Thursday it has expanded the expiration period for binary options of the up/down type to a maximum 24 hours from 60 minutes. The broker has also improved another key conditions for trading in binary options – it has doubled the maximum order size to $10,000 per option.
In addition, base payouts for daily stock options and pair binaries have been increased by 10 percentage points to a maximum 80%.
In addition to binary options, Dukascopy Bank offers trading in forex and contracts for difference (CFDs) on stocks, indices, and commodities.
Binary options are the closest thing to gambling in the online trading world. In this type of trading, investors guess whether the price of a certain instrument, would go upwards or downwards within a pre-determined time frame. Once the time is up, the option is deemed expired and the bet is settled. Depending on the outcome, a trader either collects a profit, or loses money.
This type of trading is available in most countries, but there are some legislations like the US where it is forbidden. In early 2016, Israel’s securities watchdog banned binary options activities, and in Canada there are no binary options brokers authorized by the relevant authorities to provide their services within the country.
Dukascopy Bank, set up in 2004, is based in Switzerland’s Geneva and operated globally through offices in Zurich, Riga, Kiev, Moscow, Kuala Lumpur and Hong Kong. It is licensed as a bank and as a securities dealer by Switzerland’s Financial Market Supervisory Authority (FINMA). The company owns 100% in brokerage Dukascopy Europe IBS , e-payments provider Dukascopy Payments, both based in Latvia, as well as Japanese broker Dukascopy Japan K.K., formerly Alpari Japan K.K.
Source: Dukascopy Bank