Are binary options legal in Italy?
Binary options are legal in Italy and are regulated by CONSOB (Commissione Nazionale per le Società e la Borsa). This organization is tasked with the supervision of all financial service providers in the country.
Any binary options broker that accepts the registration of Italian traders is obliged by the law to either apply for a CONSOB license or have their European Union licenses validated by CONSOB.
Brokers that accept Italians without the CONSOB approval essentially break the law and could potentially face criminal charges. Italian traders should avoid at all cost registering at these companies.
Brokers directly licensed by CONSOB
There are a few binary brokers that are directly licensed by CONSOB. Some of them are actual Italy based companies and others are European companies with an Italian presence.
European companies with CONSOB validated licenses
The European Union has a common online trading framework and legal system called MiFID. MiFID has the goal to standardize financial trading laws across the European Union.
What this means is that EU member states are obliged to implement online trading laws that are harmonized with each other, in the sense that a licensed trading company in one EU member state would have to follow exactly the same rules and regulations in any other member states.
What this means is that if a binary options broker is regulated in one EU member state, then by default it already complies with the online trading regulations of every member state. Brokers will however have their licenses evaluated and approved by every EU member state’s national regulatory authority first.
What this means is that if a binary options broker is regulated by the FCA in the United Kingdom, it’s by default eligible for a CONSOB license as well as part of the common EU MiFID legal framework.
So, what binary options brokers have licenses in Italy?
A legal Italian binary options broker is a broker that either has a direct CONSOB license or has another European Union member state license that was evaluated and approved by CONSOB.
Not all binary brokers that are licensed in a member state are automatically licensed in Italy. Such companies will still have to specifically apply at CONSOB to have their EU license validated in Italy by the Italian financial regulator.
Finding the Best Italian Binary Options Brokers
There are several steps that you should undertake in order to find the best binary options brokers in Italy. These are listed below:
1. They have a CONSOB license or CONSOB approved license
I have already explained how this works above. Only those brokers are legal in Italy that have a CONSOB approved license. Brokers that accept Italians without such a license are breaking the law.
You should avoid any broker that does not have a CONSOB license. Most of such brokers are scams and cannot be trusted.
2. They offer high payout rates and many assets
Payout rates will determine how much profit you can make per successful trade. The number of assets determines the number of profit making opportunities you can benefit from.
You should seek out brokers that have a payout rate above 80% as well as at least 100 different assets (such as gold, silver, EUR/USD, etc.).
3. They offer a pleasant trading environment
This is mainly related to the trading platform they have. A broker should have a modern looking and elegant trading platform that is easy to understand and use. Most of the new and licensed brokers use modern trading platforms.
4. They have a good history of payment processing
Most legal binary options brokers never have any problems with payment processing due to the fact that they have to follow a certain set of regulations and laws.
Nevertheless, you should check out independent review sites and forums to see what people have to say about a specific broker and its payment practices. If there are many negative comments then you should avoid the broker.
Generally, these should be the main things you should be evaluating when wanting to choose an Italian binary options broker. For a detailed description of how to choose the best brokers in general you can check out this page.
Best Italian Binary Options Brokers
Now that I told you what you should be looking at I’d like to talk about the binary options brokers I believe are at this moment the best suited for Italian traders.
Mind that ALL the brokers listed here and all over my website have a valid CONSOB license.
24Option – 24Option is one of the first binary options brokers in the business and is also one of the very first companies to have their license validated by CONSOB.
24Option offers very competitive payouts and has more than 100 unique assets. It’s also known as one of the companies with the fastest withdrawal times in the business.
10Trade – 10Trade is a new binary options broker but one of the very first things it did after opening was to undergo rigorous checks in various jurisdictions in order to acquire trading licenses, including in Italy.
The great thing about 10Trade is the fact that it only requires a minimum deposit of €200. It also offers a multitude of assets to choose from as well as long-term options.
AnyOption – AnyOption is one of the oldest binary options brokers and was also the first to acquire several international, including Italian, licenses. Its distinct characteristic is the fact that it’s operating on a 100% unique and in-house trading platform.
And these would be the best binary options brokers for Italy in my opinion. All the listed brokers here have proper Italian licensing and offer top-of-the-line services.
If you want to learn more about binary options trading and how to become a winner then I recommend you stick around and read some of my additional articles and strategy guides.