As you probably already know, the European Securities and Markets Authority (ESMA) has introduced new, stricter regulations to the market. You can read more about the upcoming changes in the following article. The new regulation is applicable to retail clients only. Professional clients will be not affected; they will still be in a position to trade binary options and access higher leverage when trading CFDs.
All existing IQ Option clients are automatically categorised as retail clients. A client who wishes to apply for categorisation as a professional client must fulfill certain criteria and also apply for this status. The procedure can be found on the IQ Option website (https://eu.iqoption.com/en/pro).
In order to be re-categorised as a professional client, you will have to fulfil at least two out of three requirements:
Trading volume. You have made at least 10 deals (each worth €150 or more) per quarter for the last 4 quarters.
Sizable portfolio. Your financial portfolio — including financial instruments and cash — exceeds €500,000.
Relevant experience. You have at least one year of relevant experience working in the financial field.
Elective Professional Clients will be afforded the same level of protection as Retail Clients, with one notable exception: their funds will not be covered under the Investor Compensation Fund. Professional Clients have the right to change their status back to Retail at any time.
You can find more information in our client categorisation policy and request for a re-categorisation directly from your account.
To the platformNOTE: This article is not an investment advice. Any references to historical price movements or levels is informational and based on external analysis and we do not warranty that any such movements or levels are likely to reoccur in the future.
In accordance with European Securities and Markets Authority’s (ESMA) requirements, binary and digital options trading is only available to clients categorized as professional clients.
GENERAL RISK WARNING
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.
77% of retail investor accounts lose money when trading CFDs with this provider.
You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
This ESMA is seriously funny.
I don´t know Much professional traders that even use Binary Options.
I have 500x leveraged position open. – What will happen to it? (If I don´t close it until 1 August?).
ESMA wanted to help / ruin the market, but seems brokers will thank her.
Seriously – Professional traders with 500,000€ do NOT really use binary options anyway, AND I doubt many of them are using 500 leverage anyway. Lol. Good job ESMA, brokers will thank you now. (out of EU).
and in EU too.
By the way, aren´t those the FCA requirements for pro traders really?
nvm, just closed it.
Hello, thank you for informing us!
FCA requirements for professional traders are stricter, than those stated by ESMA.
IQ Option is not regulated by FCA.
You can get more information following this link:
https://www.handbook.fca.org.uk/handbook/COBS/3/5.html
We strongly believe that ESMA intention was to secure financial markets in EU and make this field more transparent.
Trading Binary Options requires deep knowledge of the market, in order to make correct trading decision within a short period of time.
Let us know if you have other thoughts on this matter!
Only client from EU affected?
Hello, thank you for your question!
Yes, this regulation will only affect traders from European Union.
Traders outside of EU will be able to trade Binary and Digital Options.
I assure you that in case of any amendments we will inform you right away.
Thank you for your interest it IQ Option. Have the best day!
I’m trading in England,but we’re out of EU next year What happens with my iq account until we’re out and what after?Everything will be same again to trade options?Thanks
This is a good question. I see nobody answered it though.
Hello Sergejs, thank you for this question.
Until England is out of EU – ESMA regulation will be applied to traders from UK as well.
It means that starting from the 2nd July there will be no Binary Options.
Restrictions on CFD, Forex and Crypto will take affect on in August.
As for the second part of your questions – there is no exact information regarding what happens after UK leaves the EU.
As soon as we get an update – we will let you know.
Thank you for understanding!
Idiots as long traders can adjust leverage manually like on iq, to his own needs and strategy its a choice… not compulsory high leverage that need to be reduced … more easy now is become a licensed broker then a profesional trader , how stupid they are…
System is corrupted on every aspect including EU
I don’t think this is funny since I just “mastered” binary currency pairs. Now I can forget becoming a daytrader.
If i use a broker outside the eu but live in scotland can i use binary optioms on the platform out of eu?
Hello Matthew!
Thanks for contacting!
It is possible if you pass the test and make your account PRO.
Hey,
Are only the binary options going to be regulated? Or the digital options as well?
Thanks!
Hey there, Balaurian!
Digital Options will also be banned by new ESMA regulation in Europe.
However we are working on new products, so stay tuned!
As soon as we get an update – we will inform you!
what the fack is this im so pissed off with this new regulated bullshit i have practiced a long time with binary options and it was going very well my plan was to start in about a week or 2 maybe 3 and now i dont know if i get the pro status if i dont all is for nothing and requirement number two is redicilous so angry finally find something but hey theres not much we can do about this
Hello! We are really sorry that you feel this way!
Nevertheless I am happy to announce that we are preparing new amazing assets that will be launched soon!
Stay tuned! We hope that you will enjoy trading with IQ Option!
this is an absolute joke, being studying hard for binary and was looking forward to make some serious money but the end its always gets mess
Hello, Hassan!
I understand your feelings and I am very sorry for the inconvenience but we, as the reputable broker, should follow all the legal procedures introduced by ESMA.
You may try to trade on the other instruments on our platform. We are also preparing the new instrument which is going to be available soon!
We see all the changes as the step forward, so try to look at it from the different perspective and find the new opportunities to fulfill your goals!
Hope you are having a great day!
Bună Anna.Cel mai bun program este Digital și Binary pentru a lucra oamenii cu puțini bani .Multumesc pentru înformatii.Cu respect.
Quando fatte di nuovo opzioni binarie
Hello, Giavi!
Due to the new ESMA regulations, Binary Options are no longer sold to retail clients from the European Union. They will still be available for professional clients. You can refer to our client categorization policy (it’s available on the website) to learn more about the different categories and the recategorization procedure https://iqoption.com/it/pro
I got the professional status, and now IQ Options is taking it away from me by putting me back to Retail. If you make profit, IQ will put an end to it by banning you.
Hello, Ivan!
We are already discussing your case on Facebook.
Thank you for contacting us!
If you hold a UK passport but have a permanent residence in Thailand and lived there for the last 2 years what does this mean? Are you still under ESMA rules and have to be a professional trader to trade binary options or because I’m trading outside of the EU am I able to trade binary options and a normal client?
Hello Luke, thank you for your question!
In case you have a permanent residence in Thailand – you will need to open an account from there and state Thailand as your residence country.
You will need to upload verification documents to confirm that you live and Thailand and you are good to go 🙂
You will have access to Binary Options.
Please note that other accounts should be blocked in this case.
Best regards,
IQ Option Team
Why is it that you have to meet at least two of the three requirements, I have fulfilled the first 2 requirements … but the last requirement I can not accomplish, what do I have to do?
Hello, Eduard!
If you met 2 of the 3 criteria it should be ok.
Please call our free hotline to get an instant assistance https://iqoption.com/en/contacts
hi,i am adual citizen Sweden and Pakistan.My question is if i register myself as pakistan citizen while living in Sweden can i get binary option?
Hello!
Thank you for your question.
Binary options are forbidden on the territory of Europe. Unfortunately, you won’t be able to trade on them.
Hello! About Esma regulation that can no longer give the opportunity to work with binary options at all, can you give this possibility to those who demonstrate that they have taken the course and passed the MIFID 2 certification exam?