The Japanese binary options market is one of the largest and the most active in the world. It is also one of the most strongly regulated by local financial institutions. Kanto Local Finance Bureau regularly informs investors about potentially dangerous brokers and other companies that offer their services without proper licenses. Today, the regulator published information about three more firms associated with the binary options market.
Among the brands whose legality has been questioned were BizOption Management Office (BizOption), WorldOptionner Management Office (World Option) and LFG Investment Limited (OptionRally). The Japanese regulator claims that they broke the rules of the ‘Guidelines for Supervision of the Financial Instruments Business’.
7 Habits of a Highly Effective DeFi TraderGo to article >>
BizOption’s site is currently not functioning. World Option’s site is fully functional – in English and Japanese – but does not contain any information regarding the regulation or authorization necessary for operating on the local market.
OptionRally is the only one of the three companies that is regulated. However, the license has been issued by CySEC and concerns only the Cypriot financial market. What is more, the local watchdog says that it issued the first official warning about OptionRally’s services in Japan as early as September 2015.
All of the above mentioned firms presumably offered trading services or support to Japanese clients. Finally, Kanto Local Finance Bureau took a closer look at them. According to Japanese law, financial companies must have proper licenses to offer services related to binary options – regardless of whether or not they have authorizations in other parts of the world.