Binomo Review - Not Recommended Broker

Summary

Binomo is a non-regulated online broker, which is owned by Dolphin Corp LLC, a company registered under the laws of Saint Vincent and the Grenadines. It is a member of the ‘The Financial Commission’, a self-regulatory organization. Binomo offers online trading in various assets but, according to our research, is not regulated by any of the trusted government agencies.

We do not recommend trading with this broker.

We at BrokerChooser care about our users: we want to make sure you have a good understanding of how investing works, and we have reviewed over 100 brokers to help you decide which fits your needs best. We also want to help you to avoid bad experiences. In this article, we highlight a broker that we do not recommend based on the objective research of BrokerChooser’s analysts. Read below to find out which brokers we do recommend!

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Binomo has numerous issues why we don't recommend you use it for trading:

• The lack of regulation is the biggest red flag.
• Information about the company or companies behind Binomo is also scarce. It is not clear when the company was founded, and we couldn't find any key data such as financial statements.
• Investor protection only seems to be provided by the Financial Commission, which is a private entity, not a regulatory body, and also only for very specific conditions.
• Binomo is also not available in any of the major markets, such as the countries of the European Economic Area, the UK, Australia or the US.
• Bank card withdrawals are only available for cards issued in Ukraine or Kazakhstan, according to Binomo's website. Bank account withdrawals are only available for banks of India, Indonesia, Turkey, Brazil, Vietnam, South Africa, Mexico and Pakistan.

In its client agreement, Binomo states that if the dispute between the client and the company has not been resolved within one month of filing a complaint with the company, the client can turn to the Financial Commission or the court under Saint Vincent and the Grenadines law to resolve the dispute. However, that provides little guarantee for your money back.

We recommend you thoroughly check the broker you start trading with before you deposit any money. In any case, document everything, make screenshots, save emails and chats, so you have as much proof as possible in case you need to go to the authorities.

You can also try chargeback, which is a feature offered by banks and payments systems for client protection. ​​In case of a chargeback, the issuer bank or acquirer writes off the funds from the account of the seller of the service if the service was not provided. This mechanism helps protect clients against broker scams.

If you get scammed by a broker you have a few options you can try to get your money back:

• You can turn to your bank and file a chargeback request.
• You can take legal action and issue a Mareva (or freezing) injunction against the company.
• If the broker has a financial regulatory body, you can also report the scam to them.

There is a higher likelihood that a broker might be a scam if:

• it is not regulated at all
• it is regulated under a jurisdiction widely seen as an offshore haven (e.g. Vanuatu or St. Lucia)
• it is featured on a warning list of a top-tier regulator (e.g. the UK’s FCA, or the SEC in the US)

If you would like to know more about scams, how to avoid them, and how to get your money back, read our Forex trading scams page.