Italy’s National Commission for Companies and the Stock Exchange (CONSOB) issued on Monday a warning notice against automated binary options brokerage Binary Options Robot.
The entity offers via its website www.binary-option-robot.com financial services and products to Italian investors without having the required authorization.
“[…] Binary Option Robot is not authorized in Italy to use cold calling, i.e. to promote or set up by means of any method, via distance communication, investment services or activities […],” the regulatory body noted.
On its website, the broker provides a proprietary platform for trading in various binary options with a minimum initial deposit of $200. The platform is available for desktop, mobile and web devices. The service is aimed mainly at professional traders and is also available via white-label partners.
It claims “all brokers compatible with the software Binary Option Robot are regulated and possess a valid license for operating binary options online”. According to its website, Binary Options Robot’s software is used by a number of brokers, including anyoption, 24Option, FMTrader, OptionRally, etc., some of which are regulated, but others are on the warning lists of reputable regulatory bodies.
In Italy, as in any other EU member, financial intermediaries, including forex and binary options brokers, are not allowed to operate without the proper authorization from the local authorities or the relevant regulator of any other EU country. If a broker is licensed in any EU member state, the license allows it to provide services in the rest of the union.
When engaging with unauthorized and non-regulated brokers, traders are putting their investments at higher risk. We strongly advise you to only deal with regulated forex brokers, authorized by reputable regulatory bodies like CySEC, FCA, and CFTC/NFA, among others.