Are Binary Options Legal in Canada?
Yes, financial trading is at this moment legal in Canada. There are however no laws that explicitly regulate the financial trading market. This means that Canadian authorities at this moment do not care about binary options trading.
This naturally also means that financial service providers are free to offer their services to citizens of Canada. Traders are naturally also perfectly fine trading at brokers that operate in the country. There will be no legal consequences of trading options in Canada.
Canadian binary options regulations
Since there are no financial betting laws in Canada it also means that there are no regulations. But if there are no regulations then how can traders make sure that fraudulent brokers are not scamming them?
It’s actually very simple. There might not be any binary options regulations in Canada but there are in multiple other countries. What Canadian binary traders should do is register at companies that are licensed in other countries.
Most of the countries that regulate online investing are reputable jurisdictions such as the United States and various countries in the European Union. These countries would never license brokers that offer fraudulent services.
Trade at brokers licensed in the US
Great choices for Canadian binary options traders are brokers that are licensed in the United States. The US was the first country that regulated binary investing but its regulations are extremely protectionist. At this moment only a limited number of brokers are licensed in the US.
This is not because most companies are not legit. The US has a long history of protectionist policies when it comes to gaming, financial betting and other types of internet activities. US authorities simply don’t want to license foreign brokers regardless how good they are in order to offer a competitive advantage to US brokers.
Due to the lack of competition on the market, US brokers regularly perform a bit worse than companies that are licensed in Europe for example. So, if you want to trade financial assets from Canada then perhaps you should choose a European broker instead of an American broker.
Trade at brokers licensed in Europe
Many European countries such as the UK for example have actually much better and much stricter regulations when it comes to online investingthan the US. However, European countries are not as protectionist as the US.
For this reason, the overwhelming majority of the legitimate online trading service providers are located in Europe. The majority of these brokers also accept the registration of Canadian traders who will be treated the same as traders from Europe.
So, in our opinion, you should always choose to register at a Canadian binary options broker that is licensed in Europe. These are in our opinion the safest financial service providers that offer the best kind of services and tools for Canadian traders.
Is it really safe to trade at foreign brokers?
It is definitely safe to trade on financial assets at offshore companies if those brokers are licensed in a reputable country. Like said, at this moment the US as well as various European countries have the most advanced and strictest regulations when it comes to online trading.
However, there are also Canadian binary options brokers that do not have any license at all. You should never trade at such operators no matter what. Since the Canadian market is not regulated, unlicensed brokers are also able to offer their services. Avoid these at all costs.
Future of the business
At this moment it can’t be said for sure if Canada will decide to regulate financial betting or not. Considering that the US as well as multiple European countries did it it’s not unlikely that Canada won’t follow suit as well sometimes in the future.
But until that happens traders are OK if they trade at Canadian binary options brokers licensed in other countries. But s said, traders should be vigilant and avoid trading at brokers that are not licensed at all.
Legal Canadian Binary Options Brokers
There are no real legal Canadian binary options brokers because there are no financial trading laws in the country. However, traders can still consider websites legal if they are licensed in other reputable countries.
All the brokers that are listed on the top of this page have a valid license issued in various European countries such as the UK. Check these brokers out of you want to make sure that you only trade at a legitimate service provider that will never scam you.
We obviously also made sure to list only those websites that offer above the average services. The Canadian brokers listed above all have a very large asset selection that allows traders to create multiple advantageous winning strategies.
Naturally, the listed brokers also offer very high payout rates that will ensure that people will be able to generate substantial profits in winning contracts. These brokers also have various special features and tools allowing traders to trade under the best conditions.
If you have chosen the best Canadian binary options brokers then you may also be interested in learning how to win. Our advanced strategy articles will teach you how to efficiently trade on financial assets with the goal of being able to generate profits on a continual basis.