The authorities in the United Kingdom have issued a statement regarding the brand 365 Binary options, warning about possible illegal activities on part of the broker. 365 Binary Option presumably offers participation in the forex market to interested clients in UK.
The company behind the brokerage – Oproserv Ltd – has been flagged by the Financial Conduct Authority due to legitimate concerns about the financial services that have been offered to traders. FCA highlights that every forex broker, engaged in trading in the United Kingdom, must hold a license, and warns traders that there are those that have ignored the process and choose to operate illegally.
In the statement we also read “We believe this firm has been providing financial services or products in the UK without our authorisation”, followed by, ” This firm is not authorised by us and is targeting people in the UK. Based upon information we hold, we believe it is carrying on regulated activities which require authorisation.”
FCA is among the most prestigious regulatory agencies in the world and such a warning by them should serve as an unambiguous red flag for interested traders. Trading with unregulated brokerage carries with it multiple risks. FCA underlines this danger by stating, “You should also be aware that if you give money to an unauthorised firm, you will not be covered by the Financial Ombudsman Service or Financial Services Compensation Scheme (FSCS) if things go wrong.”
Participation in such a compensation scheme may cover trader’s losses by up to £ 50 000 per person in the unlikely case the brokerage goes bankrupt. Interested traders should definitely check our list of recommended FCA-regulated forex brokers before deciding to invest money with a firm.