Banc De Binary ceased its operations but BinaryScamSniffer continues to analyze the activity of binary options brokers and glad to inform you about the results.
Also known as “BDB”, Banc De Binary is one of the pioneering binary options brokers that was established shortly after the aftermath of the global financial crisis in 2008. The company was said to be founded by a group of veterans in the financial trading industry that wanted to offer the average person a simpler and more affordable way to trade the financial markets. Operating out of Cyprus, with their broker’s headquarters is situated at #4, Profiti Ilia Street Kanika International Business Centre@Office 401 Germasogeia CY-4046 Limassol, BDB today has more than 250,000 traders from 80 different countries under its wings.
Platform Overview & Features
Like most binary brokers in the industry, BDB uses a white labelled platform supplied by the leading binary platform provider SpotOption. We can understand why BDB decided to go for the white labelled SpotOption platform since it happens to be the most popular binary trading among the binary trading community. This is no accident as the platform is fast and simple to operate. The only complaint that we have about BDB’s platform is why they haven’t yet upgraded to the 2nd generation SpotOption platform. Perhaps, BDB see there no need since their traders are comfortable and used to the older platform.
One of the things which SpotOption is well known for is their risk management tools. So with BDB, you have access to tools like “Roll Forward”, and “Double Up” and “Close Now”.
Nevertheless, despite BDB sticking to the older version of the SpotOption platform, it is still quite an enjoyable trading experience trading at BDB since you have the peace of mind trading with a long established and reputable broker. The other reason is the fact that they have a very wide array of underlying assets for traders to choose from so trading here is never dull. In addition, they also make it easy for you to get started since their minimum initial deposit requirement is just $250 with a minimum trade amount of just $1, the lowest in the industry. And there is no maximum deposit.
There are 3 main account types: bronze ($250 minimum deposit), silver ($2,500 minimum deposit), gold ($5,000 minimum deposit).
BDB made the news in 2013 when it had a complaint filed against it and was eventually charged by the US Commodity Futures Trading Commission (CFTC) for violating the off-exchange options trading ban, even though it claimed to be based on Wall Street. Traders in the US were warned off of the company and BDB was kicked out of the US.
This perhaps has pushed the company into taking matters of regulation and security even more seriously. BDB was one the very first handful of brokers who submitted themselves to be regulated by the Cyprus Security Exchange Commission (CySEC) when Cyprus became the first country in the world to legally recognize binary options as a legitimate financial instruments. The parent company Banc De Binary Ltd under its CIF license #188/13, is authorized to operate anywhere within the Eurozone. Under the European Union (EU) MiFID, they can “passport” their services to EU countries by notifying the relevant domestic financial regulatory authorities and registering their services with these authorities.
BDB is also known to be fiercely protective of their client’s personal information and have strict security protocols in place to protect their clients’ interests. As such, new traders might initially be put off by all the requirements that they need to fulfil when withdrawing their funds such as submitting identity documents. Nevertheless, they should understand that this is a one time thing only and once their credentials are properly established, they will have no difficulty accessing their funds.
Complaints – 8/ 10
We scoured the internet and found that there were some minor complaints about BDB’s services relating to withdrawal of funds. On the other hand, we found that most of these complaints were also eventually resolved. In the service industry it is normal for one to find some complaints against a service provider. In BDB’s case it is no different and furthermore most of the complaints that we came across was because the complainant couldn’t satisfy the requirements of BDB’s security protocol initially. And once they have resolved that issue, there were no more complaints. For their efforts in resolving the complaints we give BDB a score of 8.
Bonuses – 6 /10
In accordance with the industry practice, BDB also offer deposit bonus to traders who sign up and deposit with them. The amount of bonus which a trader will receive depends on the amount deposited. This can be from 25% to a maximum of 100%. Take note there is a caveat on the withdrawal of funds once you have accepted the bonus, which is the need to achieve a trading volume of 20x the bonus amount plus amount of the funds deposited (Funds Deposited + Bonus x 20). So be forewarned! Always read the fine print first. While most brokers require that you trade up to 30 times the bonus amount, they don’t use the amount that you deposited as part of the figure in calculating the trading volume. So because of this, we give a score of 6 to BDB in this department.
Customer Care – 8 / 10
As for the support services, they are available through live chat or the telephone. For their clients’ benefit, BDB has provided almost 60 localized telephone numbers for traders to call should they require assistance. Another plus point about BDB’s customer service is the fact that the service is available in several other major languages (French, German, Italian, Russian, Spanish, Arabic, Portugese). Their support staff are very responsive as we tried contacting one of them on live chat and found ourselves attended to within a short span of time. A curious thing we noticed about BDB support is the fact that there is no support provided on email. While it might not matter, it is nice to have the ability to get in touch with the support team if ever it is not feasible to contact them through other means. Because of this, we gave BDB a score of 8 instead of a 10.
Price Manipulation – 10/10
The price feeds at BDB are real time and are provided by Thomson Reuters which are used in the determination of the expiry prices. From our experience, the expiry calculation matches those of the price feeds with only a spread difference of around 2 pips. This shows that BDB is not manipulating the expiry prices in their favour.
Security – 10/10.
To protect their data integrity, BDB uses EV SSL with 256 bit encryption. We also found that there are additional multiple layers of security such as “World Check”, “PCI Service” and a partnership with MaxMind in place to protect the transactions between BDB and their clients. In other words, the security is as tight as it can be.
Withdrawals & Deposits 7/10
Banc De Binary supports deposits mainly through credit card and wire transfer. We find it odd that they don’t support deposit through web wallets since they are a leading broker. In addition, they have a minimum withdrawal amount of $50. On the other hand, they don’t charge any service fee for withdrawals. As for the time taken to process a withdrawal request, it is within the week and another one to two weeks for the transfer to be effected. Take note that BDB has warned that it could take as long as 60 days for your money to appear in your bank account if you use Skrill for your withdrawal transfer.
With a rating score of 50/60, BDB rate as one of the above average binary brokers. This broker has it all and we have no problem in recommending this broker to all of you out there. The broker is awarded with our Trusted Broker badge.