Breaking: 24option Parent Company Fined by CySEC €156,000
CySEC announces another fine, this time for the parent company of binary options brokerage 24option, Rodeler Ltd.

The Cyprus Securities and Exchange Commission (CySEC) has announced a second fine today, once again relating to the binary options industry. The parent company of 24option, GrandOption, 24FX and QuickOption has been fined by the Cypriot financial regulator €156,000. The announcement comes merely minutes after CySEC settled with Banc De Binary for €350,000.
Join the iFX EXPO Asia and discover your gateway to the Asian Markets
The fines comes on the back of multiple violations starting with €10,000 for non-compliance with Section 28(1) of the Cyprus Investment Firms law, which relates to failure of the company to keep adequate and organized records for assessing the suitability of its clients and advertising material. In addition the company has failed to keep adequate records of client complaints and the measures taken to resolve those.
“No Reasonable Measures”
Another €20,000 of the fine are for non-compliance because the company did not take reasonable measures to avoid any unjustified aggravation of the operational risk in the outsourcing of activities or business operations to third parties.
Misleading advertising and failure to adhere to the interests of clients when providing bonus promotions cost the company another €60,000.
Suggested articles
EuropeFX Partners with Acuity for AI-Powered News Sentiment AnalysisGo to article >>
CySEC has added €15,000 more to the fine for the company failing to inform its potential clients about the nature of inherent risks associated with trading binary options, while another €40,000 were added for the failure of the Rodeler Ltd to assess the eligibility of its clients to engage in investment activities.
The final count on which the parent company of 24option has been fined by CySEC is the lack of ability of the company’s systems and procedures to adequately identify clients. On this note, the regulator added another €10,000 for non-compliance, with another €1,000 added for lack of compliance controls.
CySEC states in its announcement that in issuing the fine, it has taken into consideration that the company has adopted a set of corrective measures and actions. Rodeler Ltd has installed a new customer system, which, amongst other things, records the results of the evaluation of suitability and implemented effective and transparent procedures regarding the examination of complaints and it keeps an electronic record of complaints.
Symmetrical Bonus Structure
The firm has also upgraded its operation manual in order to include more detailed and clear procedures as these are followed in practice, and started reviewing all of its advertising material for compliance with the law.
The company has also adopted a symmetrical bonus structure and it has amended the terms and conditions for granting bonuses and updated the content of its websites to include the necessary risk warnings on the banners that it has been posting.
The brands of Rodeler Ltd have also fully upgraded their procedures for opening client accounts in order to comply with CySEC’s recommendations.
As a result of pressure from the EU, CYSEC may finally be trying to clean things up. Good news for clients. But still a long way to go.
And when will the same regulatory standards be applied to the multitude of smaller Cysec authorised brokers? When this happens, we could see a lot of consolidation in Cyprus and / or firms leaving, because they won’t be able to cope with increased regulatory requirements. Should be interesting in next 24 months.
I wouldn’t have expected this from 24option. It has always been a respected player in industry and i never had a problem on my trading account with them. It also ranked first on many specialized website like this one http://binaryoptions-broker.co.uk/24option-review-test-opinion/
Do you think i have to worry about anything?
Charles, I also see them ranked here:
http://www.watchbinaryoptions.com/24option/ and here http://www.eopcje.pl/24option/
and I don’t see any complaints there. I hope that these shortcomings will be fixed soon. Licensed brokers should offer a better quality!
Hr. Steinweg hat mir 100 K herausgelockt und gesagt, daß ich kein Risiko habe, er wird für mich traden ,also anrufen und Einsteig, Einsatz und Zeit sagen. Ich habe keine Ahnung von der Börse. Ich hätte kein Risiko !!!! Ich wollte nie einen Bonus. er meinte das müsse ich nehmen. 2 mal habe ich meine Auszahlung angefordert. er hat mich immer wieder überredet. Die Damen vom Chat haben mir gesagt, das seinen nur Verkäufer. Also keine Trader . Sie sind verlogen und betrügen alte ahnungslose Menschen. Hr. Aigner ist überhaupt ein Lügner und Gauner, auch Hr. Wendler, der mich anruft… Read more »
Still trying to find out if is a scam or not.
24 option gets many good reviews but also real bad ones
I am getting the impression that all the brokers are littering the web and forums to make their competition look real bad. Don’t know what to believe
I’m from and new to Forex and opened an account with 24options(in Cyprus) with $400. They provided me an account manager who stalked me continuously to invest more and take 100% risk with 1:200 leverage. He didn’t let me close the trade on margin call. They made me loose USD100,000 within days of opening account with them. Account manager pretended to be an expert in forex. But experts don’t advise to take 100% risk. Now they want me to (1) get 40K loan and open 40 lots with 100% risk (2) if not sell my house and invest in there… Read more »
Hi, complain to their parent company Rodelor limited. let me tell you I did this, same problem happened with me. they gave my money back in full the first time. the 2nd time I was stupid to carry on trading with them. made 2nd complaint, then they gave half my money back. then they said I am no longer allowed to trade with 24 options haha.try it and let us know what happens. rodelor limited take complaints seriously. this is the site to make complaint https://www.rodeler.com/complaints