Big news is the binary options industry: Banc De Binary is about to shut down. The company decided to close the binary options broker.
Banc De Binary was one of the first binary options brokers, however they never had a positive image. Banc De Binary has been fined by Cysec in the past (the fine was €350.000) and they also faced several lawsuits.
The company also had to pay $11 million to the US for accepting US customers a few years ago. The founder of BancDeBinary had to pay $150,000 in addition to the fines mentioned previously.
FinanceMagnates says that an insider confirmed the news. The insider said:
“Its just not worth the tarnished reputation. I don’t see how we can continue operating under such scrutiny and public image.”
According to the same site, all arrangements have been made to stop accepting new traders.
signupWe tried registering an account on their website and all we get is this message: Selected country is blocked. We tried it with several countries from the list.
The same insider concluded:
“All client funds are being sent back to their original source. We’re just waiting for the official announcement from the board to begin the process. They are literally about to kill a five hundred million dollar company, but even worse – the icon of the binary option industry,”
We recommend you to withdraw all your funds as soon as possible. It would not be the first time when such a company disappears from one day to another without paying back the deposits.
UPDATE: This is the email all affiliates got today:
As you know, after much deliberation, BDB Group’s management has decided to cease its online activity effective as of January, 15th 2017. That means we are starting by shutting down our affiliation program immediately.
A company official has explained that all arrangements have been made to stop accepting new customers.
Mega-quake in the binary options industry: Finance Magnates has learned Banc De Binary, one of the biggest global providers, is shutting down its operations, winding down its business and leaving the binary options industry for good.
A high level official at the CySEC-regulated binary options provider has confirmed the news, explaining that the move was taken by the firm’s owners following the consistently negative press that the company faced over the past year.
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“It’s become the wild west in the past few months,” the company official told Finance Magnates. “Its just not worth the tarnished reputation. I don’t see how we can continue operating under such scrutiny and public image.”
The official explained that all arrangements have been made to stop accepting new customers. “All client funds are being sent back to their original source. We’re just waiting for the official announcement from the board to begin the process. They are literally about to kill a five hundred million dollar company, but even worse – the icon of the binary option industry,” he concluded.
Sponsorships and inquiries
Oren Laurent, Founder of Banc De Binary and Olly Dale, Commercial Director, Liverpool FC
Banc De Binary was founded 2009 by Oren Laurent and at its peak employed hundreds of employees. Its headquarters are located in Israel, with an office in Limassol Cyprus. The first signs of trouble could be seen last September after England premier league club Southampton revoked a sponsorship deal that it had signed with Banc De Binary only a few weeks earlier. The British football club didn’t elaborate on its reasons for backing off from the deal, but mounting pressure from local newspapers must have played at least some role.
Since its establishment, Banc De Binary has been a high profile binary options provider, even sponsoring Liverpool FC for one year. On the other hand, it was the center of few press inquiries, including a special report by Finance Magnates about the way UK tabloids were duped by a sophisticated affiliate program – Banc De Binary was one of the sites traders were being diverted to. Looking for iqoption platform review? watch online video.
The firm has been under the scrutiny of many regulators recently. Last February, the provider was forced to pay $11 million to US authorities after several years of investigations regarding the illegal targeting of US customers.
As part of the settlement Banc De Binary reached with the American Commodities Futures Trading Commission (CFTC), its founder had to pay $150,000. Just a month before, in January 2016, Banc De Binary faced another blow when CySEC fined it €350,000.
– The question is what the customers will believe in after the “Binary Icon’s” total crash.. In trading with regulated companies only? – What if it will not save you? The company will pay fines, and will keep work illegally till will not close down.. In reviews? – BDB was on top of affiliates reviews.. Maybe in that the Binary Industry is globally fake?
– Fxpro will soon follow given the inability to repay the $40 million owed to Deutsche Bank since the SNB event took place and the failed IPO attempt.
– over 18 months ago. But unfortunately many publications are often too scared to go after brokers, even with blatant evidence that they are ripping off clients. Advertising revenue vs reporting the truth; one of the many conflicts of interests in this industry.
– Sorry, mate! BinaryWatchdog.org is just another of the plethora of websites that rubbishes their competition in order to tout their own BO scam op affiliates. Have you managed to make anything like the kind of profits that their (doubtless fictitious) poster-boys and poster-girls claim to have made? Am I surprised that your answer is no? Would I be surprised if you told me that you have only managed so far to lose money with these scammers (or to build up fictitious pofits that you will never be able to withdraw)? This whole industry is very sad and it’s criminal:
– this is what happens when you work as if you are not regulated and not follow the law cause the cost of the fine is covered by the amount you steal! and the regulator is after the regulated companies instead of the unregulated ones. close the banks and clearing companies for the unregulated and the regulated companies will be able to compete with law abiding rivals. it is simple but for some reason the regulators are afraid to go after the real criminals. it happened before in the gaming industry why cant it happen in the finance industry? is CYSEC corrupt?
– Yes @insider, CYSEC is made of people (and just a bunch of them are relevant executives). Those people have the ultimate authority to dictate who gets analyzed and fined, when, why, etc. Now put the huge money the “brokers” are “making” next to some of these key-people in the regulatory body and there you have it! Nothing you haven’t seen before. Corruption by definition. If i know how to kill a monster that size, so does CYSEC. The only effective way to live around financial monsters is riding them.
– They probably have a new brand on stand by to start pushing to the clients. It a multi million dollar industry, do you really think those guys will let go ? I doubt it, sooner or later, you will a new company in the market target the same Affiliates and clients