It is made of the following threes structures:. This means that binary options as a product is highly regulated by the Central Bank and the relevant regulators in both the UAE and Dubai. To acquire authorization to operate in the DIFC, Dubai binary brokers must fulfill the following regulatory requirements:.
Binary Options Brokers
The DFSA provides a regulatory template for the offering of contracts in derivative instruments such as binary options. Binary options are considered a risky financial product to trade. Most binary options traders in UAE trade with offshore brokers. The requirements for obtaining a license to offer binary options as a financial product in the UAE are so stringent that many brokers simply look for other places where entry requirements are more lenient.
This void has been noticed by many offshore brokers, who are now targeting the local trading population with aggressive pay-per-click marketing. A recent survey of 30 popular financial trading hubs across the world revealed that UAE was the 10 th most expensive pay-per-click ad destination and also ranked number 1 among Arabic-speaking nations on the most expensive ads click rates list.
This shows the high competition among companies for the trading dollars of Emiratis. Many offshore trading platforms feature a large pool of trading assets of Middle Eastern origin, especially when it comes to crude oil, stocks and stock indices. This leaves Emirati traders with the option of trading just the familiar Middle Eastern assets or the major currency pairs.
The type of trading platforms that will be available to UAE binary options traders are a function of what offshore brokers are used. There will be a predominance of turnkey platforms designed by companies such as SpotOption and Tech Financials.
Therefore, these will not be available for Emirati binary options traders who open accounts with brokers that are CySEC-licensed. As such, traders in the UAE have access to the following payment channels:. What are the legal considerations attached to binary options brokerage and trading within the UAE? On the trading end, there are some restrictions which not only limit the participation of Emirati traders in financial markets, but also make it hard for companies to take up the DFSA license.
With such stringent measures in place for authorized firms to comply with, many binary options brokers simply do not bother to setup shop. Those that do prefer to work with introducing brokers. Here are the frequently asked questions that most users may have about what the binary options industry in UAE looks like.
It is safe to trade binary options in the UAE if this activity is done with regulated brokers. The list of such brokers is displayed in the next section. In the last couple of years the financial market all over the world managed to experience greater volatility than expected. On this topic we would like to pay attention to the online binary trading options, and more accurately at the fact that you can gain huge profits from it, especially if you redirect your attention to UAE.
On the contrary — the Dubai market is actually pretty good when it comes to binary options. It was recently founded — in the year of and there are approximately 57 companies listed there. The financial market in UAE gave to all investors an opportunity that they do not want to miss.
This is why we are recommending to all our clients to start their online binary trading career as soon as possible. However, if you are craving to know what type of broker you should use, you should keep on reading, because at the end of this article, we will list the most reliable ones you can use in UAE. It is important to find the best possible binary trading platform.
While there are many binary options brokers whom a Dubai based binary options trader can sign up with, we highly recommend that traders only trade with the best binary options brokers Dubai has to offer. Below is our list of recommended binary options brokers. In order for Dubai to succeed as the regional financial hub, it has to ensure that it is capable of providing investors with a safe and secured environment to invest in. For this main reason, the Dubai financial market is strictly regulated to prevent criminal activities such as money laundering and financial fraud.
Hence, only financial services providers which have met the strict regulatory requirements imposed by the emirate of Dubai are permitted to operate in the Dubai IFC. To acquire authorization to operate in the DIFC, Dubai binary brokers must fulfill the following regulatory requirements:.
It should be noted that the emirate of Dubai is one of seven emirates in the UAE. Its financial markets are regulated at 2 distinct levels by different regulatory agencies. Investments and Banking comes under the jurisdiction of the Central Bank while the ESCA handle the supervision of specific sectors of the securities and investment industry.
Being the main financial hub of the Middle East and as a host country to millions of migrant workers, Dubai has a well established money transfer infrastructure.