IQ Option broker review – our opinion and recommendation.
A short history of IQ Option and bad reviews about binary options brokers and their scams
IQ Option is one of the most dynamically developing brokers. Although the company was founded in 2013, it is one of the world’s leading online trading platforms. Their innovative trading platform allows them to offer their clients many popular financial instruments such as stocks, forex, commodities, ETFs, crypto or options to trade.
Actually, the broker became famous for its “options” that are quite well developed on the platform in the form of various instruments like binary options. This was actually the first product available on the iqoption platform.
At present, binary options are reserved only for professional investors in the European Union because it is an investment instrument that is more like a casino than trading on the stock exchange. Maybe this is why it was so popular. A little too late financial supervision reacted to rogue brokers offering binary options. Even honest brokers got hurt and the stigma of ‘binary options’ is on them.
IQ Option is one of the few brokers who have invested in their own platform. The owners of IQ Option developed their investment platform and this is what made them stand out from other companies. Hundreds of such brokers offering binary options suddenly appeared. Unfortunately, they only differed in name and design. One of the popular and widely available investment platforms was reportedly sold by some Israeli company. Anyone who had a starting capital and ideas could become a broker. Such brokers were based on the popularity of binary options and they tempted clients with easy earnings. Their marketing was very aggressive and misleading.
Call centres were created, partners were given high commissions. The attracted clients, who had no idea about investing, were to decide within a minute whether the action would go up or down. Some of them supposedly manipulated the prices to the detriment of the client. There were beautiful names like BancDeBinary or automated robots that invested for the investor. The problem was that in the demo account these robots were set up to win virtual money and multiply the investment account. In fact, when opening a real account, it turned out that money quickly disappeared from the investment account because there were more bad investment decisions.
Marketing was also very bad and had ‘a lot of small print’. The binary trading platforms offered bonuses that had to be invested several dozen times to be able to withdraw them. There were also dishonest partners, affiliate marketers, who only counted on a high commission from $100 to even $600. The only condition to withdraw the commission was to direct the client to the site that would make the required minimum deposit. That’s why the internet was flooded with information about people who became rich investing in binary options overnight. It is hard to say here who was more guilty of such advertising scams – rogue brokers or greedy partners.
Unfortunately, many seemingly honest brokers did not withstand at some point the binary options bad press and reviews. At the top of that restrictions were added to this and only the biggest and fairest ones remained. I do not say everything was perfect in case of IQ Option. I know that the broker was once fined by CySEC for handling customers data (as far as I remember, that was the case). So the auditors found a breach. Most fast-growing companies risk that their compliance is not up to standard. At least not at the early stage but fines are a reminder for other existing and new brokers. For investors, it’s very important to always choose regulated brokers over unregulated. In case of a problem you can file a complaint. You trade or invest with your hard-earned money after all.
Scam or ideal broker you can trust?
IQ Option seems to be one of the few honest binary options brokers that has remained in the market, offering a very good investment platform which it is developing further. Again this is my subjective opinion. I use other brokers in my country due to taxes reports (I am writing about it later in this review). Now it is an amazing mix of very risky investment products and traditional financial products. Every investor will find something for himself. The aesthetics, stability and transparency of the platform are at the highest world level.