What is the role of banc de binary
Banc de binary is a company that provides betting and financial services to the customers on assets. The company works through its website and the customer has to register himself before betting on the prices. It works on binary options and is also known as fixed return options. The betting of prices is done on assets which include commodities, stocks, foreign exchange, indices. The customers bet on the price of the stocks whether the price of the product would rise or fall within a specific time period. Here the company through which the betting is done always secures profits when the client loses. It should be noted that it’s an associate of spot option exchange and the prices are decided by them only. The prices of the options aren’t the market prices but are decided by the spot option exchange.
How is the betting done?
The company allows the customers to bet on the prices of the assets using a pricing platform which is provided by SPOTOPTION which is an Israel company, and customized by banc de binary. The job of the banc de binary is to register the customers and create accounts for them as a reseller of services of SPOTOPTION. The customers are given the privilege of betting in more than 200 global assets which include stocks, commodities, indices and FOREX. Customers can use several variations such as sixty seconds, long term options and trading of pairs.
Regulatory issues of the company
The company has been charged by United States of America on some regulatory issues. The betting in U.S has been frozen because banc de binary has been issued some notices and it has failed to give appropriate responses. Firstly, the company has been charged with several offences by SEC and CFTC.
Another issue was regarding the presence of an office. The company claimed that it has an office in New York, Trump tower but it was later found that it was only a virtual office with no physical presence and thus the financial security of the customers was in danger and thus the company was barred on August 2013.