There has been tremendous growth in online trading at a global level and India is not behind because of increased mobile uses in India. Since the introduction of binary trading, options trading has gained popularity quickly in India like in other countries, with more investors wanting to invest in binary Trading in India.
However, a majority is still unaware of the application of binary options and also confused about that is it legal in India or not, because of a lack of knowledge and regulations in India.
Keep on reading to know how to trade binary options in India through Best Binary Option Brokers in India.
What is Binary Trading in India?
Binary trading in India is a form of an ‘all-or-zero’ option in which the payout is composed of a fixed compensation upon expiry of option in money or zero upon expiry of option out of the money.
A binary option is a kind of yes or no probability and therefore, termed as binary options. The option holder does not have the choice to sell or buy the asset as binary trading is done automatically and the option holder has to wait for option expiry.
Binary options trading software like IQ Option & Olymp Trade requires high-risk management. However, the binary option holder knows about the quantum of risk involved in each trade and the loss is limited compared to a profit in respect of the amount risked in binary trade.
Is Binary Trading Legal in India?
Unlike many other countries, trading on binary options is illegal in India as per the guidelines issued by RBI & FEMA. As per the guidelines, issued by the Reserve Bank of India (RBI), binary trading or any form of online options trading of foreign exchange is not legal in India.
The financial sector in India is primarily regulated by the Reserve Bank of India (RBI) and Securities and Exchange Board of India (SEBI). Which do not favor investing in binary options through Binary trading sites like Olymp Trade & IQ Option.
But, here is a catch, Binary Options are not regulated in India and the offshore Binary Brokers can provide their service in India via its online portals due to lack of Regulations.
The Foreign Exchange and Management Act (FEMA) prohibits trade on binary Options & forex on non-rupee currency pairs through electronic or online trading portals. Any investor & trader who chooses to trade binary options in India does so at his own risk, with no law to regulate dealings of investing in binary options in India.
How to Trade Binary Options in India?
There are so many offshore binary brokers that are providing Options Trading through their Binary Trading Websites in India. Here if you are above 18 Years then you can register for free and start trading on Options.
Best Binary Trading Websites in India
If you want to trade on Binary options than here the is the best Binary Brokers:
After reading the above paragraphs you got an idea about Binary Options in India, its legal issues, how to trade options, and much more. If you want to trade binary options in India then you can use above mentioned Binary Brokers. But you should keep in mind that there is no-one is regulating these brokers in India if you land-up in some financial issues with these brokers.