Is Pocket Option a legit broker?
There are a number of reasons why binary options trading is not legit in the European Union and the UK since 2018. This type of trading is considered not safe and the brokers offering you to trade binary options are usually not legit. There are many indications of the Pocket Option scam. Let’s see what is wrong with this brokerage.
Pocket Option Regulation and Security
Pocket Option is a binary options broker owned by PO Trade Ltd. The company has two entities, in Saint Vincent and the Grenadines and Saint Lucia, and has FMRRC regulation. Another confusing thing, the broker states that the website is operated by Gembell Limited, the company from the Marshall Islands.
However, FMRRC or International Financial Market Relations Regulation Center is an independent organization that does not belong to any country. Therefore, Pocket Option is regulated by them, but this organization itself does not have much authority. Moreover, there are accusations against FMRRC being a Chinese-based scam for money laundering.
When looking for a broker, make sure to find one regulated by tier-one regulators such as FCA or ASIC.
Pocket Option Warnings
The Italian regulatory body, CONSOB, warned their citizens against Pocket Option and several other binary options scams. As we mentioned previously, binary options trading is illegal in Europe and the UK since 2018. Therefore, this broker shouldn’t be providing financial services in the EU.
The broker has recently changed their owner and the details of their website. After claiming it’s regulated by the USA FINRA, it seems that FINRA found out and the broker needed to relocate and take off the website this misleading information.
In which countries does this broker work?
According to its website, the broker does not provide financial services to countries of the EEA zone, Israel, and the USA. However, based on the warning coming from CONSOB, we can say that the company does not strictly follow these rules. Also, according to all the Pocket Option reviews we were able to find, the broker is present in the UK, the USA, South Africa, Singapore, and more.
Conclusion about Pocket Option
Let’s start with the fact that up to two months ago, the broker was owned by Gambell Limited and located in the Marshall Islands. Now, Gambell Limited is listed as the owner of the domain, but the official company owner is PO Trade Ltd from Saint Vincent and the Grenadines with an entity in Saint Lucia. The company still has its FMRRC regulation by an independent organization. To be real, it does not give you much security.
The minimum deposit with this brokerage is $50 and all the trades are executed on the web trader. Everything else remained the same – the broker is offering bonuses, a favorite tool of scam companies. After you accept this bonus, you can never withdraw your funds.
Be aware of Pocket Option irregularities and report the scam!