The British Columbia Securities Commission (BCSC), one of Canada’s provincial financial regulatory bodies, has issued a warning against non-regulated binary options broker RBinary Ltd., doing business via www.rbinary.com.
The broker is not registered in British Columbia to provide trading or advising services in relation to financial activities, the regulator noted, adding that local residents should exercise caution when dealing with non-authorized firms.
RBinary offers a platform for trading and copy trading in binary options on forex pairs, contracts for difference (CFDs), stocks and commodities. It requires a minimum initial deposit of $250 and promises a return on investment of up to 270%.
It appears the broker is not regulated under any country’s jurisdiction. It provides an address in the Marshall Islands, but no additional information. Most of the web pages on its web site are not complete and key information (such as trading conditions) is not available.
In Canada, capital markets are supervised by provincial regulatory bodies. In British Columbia, binary options are treated as securities and providers of such products are required to register with the relevant authorities in order to operate in the province. Binary options are not forbidden, but there are no entities authorized to provide such services in the country.
Recently, Quebec become the first Canadian province to consider the formal prohibition of the sale of binary options to local citizens.
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.