BaFin is proceeding with a ban of binary options. This is the Federal financial Supervisory authority shall notify, in a Letter dated 1. July with. Thus, the futures transactions for private customers in Germany will remain forbidden.
By Phillip Horch
At the 1. July 2019BTC$10.361,00 -7.16%part Facebook Twitter LinkedIn xing mail
Binary or digital options are futures, which are bets on the price, the price or the value of an underlying asset will be completed. Since it is a highly risky investment business, the BaFin already on 29. November 2018 a ban on same from.
As we reported, relates to the prohibition of the marketing, distribution and selling binary options to retail investors. Exceptions are, however, derivatives, which run a minimum of 90 days and their providers to make in addition to using the pre-agreed commissions, no profit or loss. In addition, it must exist for a binary Option is a prospectus under the securities act.
This prohibition extended to the BaFin on 1. July. In the official report the financial services authority it is said:
The marketing, distribution and selling binary options to retail customers in Germany continue to be prohibited. This is set by the Federal financial Supervisory authority (BaFin) with a commonly available.
As the authority to notify further, it responds to the expiry of the measure, the European securities and markets authority ESMA. Reasons for its decision so that binary options be complex and non-transparent. This applies particularly to the calculation of their value and of the underlying asset.
in addition, binary options are traded in contrast to other financial instruments in a market in which the prices of supply and demand. Rather, the provider sets the price itself, what prevents the buyer can (check).
General decree of BaFin on the 2nd of July
The authority is responsive, ultimately, to the fact that a measure of ESMA is due to expire. This prohibition of the binary options for retail investors throughout the European Union. The same prohibition is, however, now to 1. July run. The General decree of BaFin is, however, from the 2. July. You can see on the official website of the authority here.
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