Every year, millions of traders opt for binary trading options. There are a lot many who either don’t know about this platform or have an improper understanding of binary options. To the uninitiated, binary options refers to a platform where traders do not purchase or sell assets, but predict if the price of these assets would rise or fall. They have to do this within a stipulated time. At the end of an expiry period, if the prediction is right, they get a fixed return on investment. And if the prediction is wrong, they’ll lose their money. VIPInvests explains how it all began:
– Binary options trading commenced in 2008 when traders were looking for low-risk profiles after the markets came crashing under the sub – prime mortgage crisis. It was around the same time that the US Securities and the Exchange Commission approved and legalized binary options.
– Over the years, the binary option trading platform has undergone massive changes, regarding revision to risks, odds and fixed payouts, etc. The trading platform, too, has reformed to allow brokers serve their clients better and help them make an informed choice.
– Traders now have the freedom choose where they’d like to trade and even choose the assets they’d like to trade on. They can specify the amount they’d like to risk in an option, i.e. they can opt for a lower payout percentage rather than choose of all of his option investment. They can do this to protect themselves from losses if the call/put isn’t profitable.
Want to learn more about binary options? Join the VIP Invests trading platform for more information…