Binary options trading has gained an unprecedented popularity in the past few years mainly because of the high returns this form of trading provides and the possibility to execute trades online anywhere in the world. In this guide, we will not focus on what is binary option trading and how to start trading, but insist upon the less known facts from this industry and the things you need to avoid and be aware of especially as a beginner like how to avoid scams and the meaning of a minimum deposit. It is important to note in the beginning that trading with binary options is only possible through an intermediary also called broker and that you have plenty of options and alternatives in terms of brokers to choose from once you decide to trade. When choosing a binary options broker, you should pay attention to a couple of things we will enlarge upon later in this article such as scams, hidden fees and bonuses, which are all interrelated. For instance, you can tell the reliability of a broker from the fact that they do not ask for a large minimum deposit. Boss Capital minimum deposit is only $200, a meager sum you can also use to trade and will give you peace of mind when trading with this broker, because they are not interested in making you invest large sums of money in them from the start.
What is a binary options scam and how to avoid it?
The binary options industry has been plagued by scams, which are people with malicious intent that call themselves brokers and trick people in trusting them with their money. It is difficult to tell the difference between a reliable broker and a scam, because they use the same type of platforms and offer the same type of services, with the only difference that the latter will not let you process your withdrawals, use your funds without approval and even steal your identity, which is a greave crime. Unfortunately, the authorities has no way of handling these scams, because transactions are completed via the Internet and the fraud can be anywhere in the world. If you wish to avoid binary options scams, you should check out blacklisted brokers from specialized websites. You will find numerous reviews and testimonials from traders that will help you distinguish frauds from reliable brokers.
What is an acceptable minimum deposit?
Another important thing you need to keep in mind when trading with binary options is that you will need to make a minimum deposit when opening an account on a trading platform. However, each broker has its own rules and fees, so you should read their policy and services carefully to ensure that you will not pay more than necessary. Generally, reliable brokers only ask for a $200 minimum deposit like Boss Capital and this is considered an acceptable sum. Depending on the type of account you have or if you plan to update from the standard account to the next level the minimum deposit can increase.