I decided I had to share this with you guys. In the trading world there is an instrument called binary options (not to be confused with options), you either predict a stock goes up or down based on your choice you either win or lose money. But the time span is usually very short for a technical analysis of the stock, so it's gambling.
I just found out that many countries banned Binary Options and people even got jailed and fined because they did scam people, tamper with the strike prices. Now I found a very interesting article about a guy who worked for a binary option broker, and here is what he has to say:
Now, there are a lot of complaints about sports bookies and casino applying exactly the same tactics. And I believe the guy made a great point, they'll never ask you for KYC when you deposit only when you withdraw. Still seeing a lot of people getting their accounts frozen for any BS reason only because they want to cash out, legit players are being asked for a freaking ID thousands of times because "it's a bad copy". Seriously, whats next? A sample of my DNA? IMHO there should be strict rules for these online bookies, this article really made me think about the corruption of these online bookies.
Here is the link to the full article:
I just found out that many countries banned Binary Options and people even got jailed and fined because they did scam people, tamper with the strike prices. Now I found a very interesting article about a guy who worked for a binary option broker, and here is what he has to say:
Guralnek says he was also increasingly disquieted by what happened when the clients tried to quit. That’s when they would be asked for a lot of paperwork.“We would say, ‘You want to withdraw? OK. We need to verify your identity before we can release the funds. You need to send us a photocopy of your utility bill, your driver’s license, your passport, your credit card’” — requirements, needless to say, that had not been mentioned when the client put money in.
While the customer was gathering and submitting this paperwork, a “retention” agent would call them and go through their trades, purportedly figuring out what went wrong and convincing them to continue trading. “We could delay that withdrawal for a long time.”
If a customer was persistent, says Guralnek, very often the company would stop taking their calls, or send them an email saying ‘we suspect you of fraud’ and freeze all their funds. Because the customer didn’t know the real name or location of their salesperson, “they had nowhere to turn to get their money back,” explains Guralnek.
While the customer was gathering and submitting this paperwork, a “retention” agent would call them and go through their trades, purportedly figuring out what went wrong and convincing them to continue trading. “We could delay that withdrawal for a long time.”
If a customer was persistent, says Guralnek, very often the company would stop taking their calls, or send them an email saying ‘we suspect you of fraud’ and freeze all their funds. Because the customer didn’t know the real name or location of their salesperson, “they had nowhere to turn to get their money back,” explains Guralnek.
Here is the link to the full article:
