On Friday November 8, employees of the binary options broker iOption were informed that the company was no longer able to pay the salaries for the previous month. In addition, the staff was informed that they could go home on Friday and only have to come back on Sunday. However, certain measures were then taken to deny employees access to their work. Basically, it is now assumed that iOption closes and an iOption shutdown takes place in the sense that the broker's trading platform is shut down.
Shock for customers and partners
For many customers It will certainly be a shock to the broker that from now on it will probably no longer be possible to trade on the platform. But not only the broker's customers are affected, the entire industry could be negatively affected by a loss of trust on the part of the customers. Since it can be assumed that iOption is insolvent, it is now very important for customers to stop making iOption deposits. With payments now made and presumably also with the remaining balances in the trading accounts, it is not certain whether these can be repaid to the customer, even if there are currently reports that deposits are being secured. Most experts assume that iOption will be closed and that it will no longer offer binary options trading in the future.
The first problems already occurred in early October when the broker had no longer paid some service providers. Among other things, this led to the payment service provider netpay supposedly freezing around $ 500,000. Mismanagement is given as the reason for the imbalance of the company, whereby it remains to be seen what is really behind the bad situation.
Only a week ago Binary options regulation at iOption
Despite the The prospective closure of the platform, the broker's website is still completely normal online and it is unfortunately not possible to see which problems are currently being encountered. However, problems become apparent when an attempt is made to contact support as there is no response. Despite this negative news, investors should not fundamentally lose confidence in binary options, instead this critical situation at iOption shows how important it is that strict binary options regulation takes place. Although iOption has been regulated in the meantime, the EU regulation by the CySEC has only been taking place for around a week. It is therefore a broker that has only been regulated for a very short time, which has certainly contributed to the fact that the current imbalance was not known beforehand. so that the brokers can be constantly monitored and monitored. In the future, traders should only opt for one broker that has been regulated for a long time. And there are more and more of these brokers, such as 24option or anyoption.
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