OptionBit Review – Is Optionbit a scam or a fair broker?
First and foremost – we haven’t had any truly bad experiences with OptionBit. OptionBit is a binary options broker that is registered in Cyprus and is regulated by the Cyprus Securities and Exchange Commission, CySEC. It has provided trades in various varieties of this new kind of financial instrument since 2010. This trading history puts it among the longer-established brokers in the field, which is notable for the continual appearance of start-up entrants.
Binary options, also known as digital options, are instruments that allow enhanced returns on your investments. Stable profits give you the ability to earn money over the short and long term from the stock market. Read more about our experiences with binary options and OptionBit.
The OptionBit trading platform is built on TradoLogic’s modern technology and is one of the best aspects of the OptionBit service. I like the platform’s simplicity but I like the above-average returns even more! The Trader Insight Tool was recently added to the platform to improve the overall site design. These improvements also included an enhanced diagram function that integrates Netdania, which has been one of the real plus points of our experience with OptionBit.
Optionbit has been on the market for a relatively long time, having been in continuous operation since May 2010. OptionBit is a user-friendly, well organized “Premier Binary Options Trading Platform. Like the platforms of most binary options brokers, the platform itself is 100% web-based (in nine different languages!) and you don’t need any additional software whatsoever. OptionBit is based on TradoLogic and is protected by SSL (Secure Sockets Layer). As such, it is based on the industry’s most modern binary options trading systems and features many highly effective instruments such as range, touch and digital trades or other in-trade tools.
Overall it is fair to say that OptionBit is built on solid foundations and its future looks bright.
So what have been jarring aspects of our experience with OptionBit? Before the website got its “facelift,” a trader could only see one asset at once. Navigating between assets was a disaster, but since the latest updates, our experiences have been more positive and even fun. Some improvements were urgently required: you can now use multiple diagrams by clicking on the “Multi” button in the upper right hand corner of the diagram; the base price information (which was really confusing in the first version) can now be viewed at a glance and the problems with suggested exercise prices have been resolved.
The OptionBit demo account
Unfortunately another problem has popped up. The free OptionBit demo account is in fact not free at all. This mainly affects beginners as they use the demo account in order to learn how to trade. I was quite surprised to learn that it is only possible to open a demo account. That detracts from the otherwise positive OptionBit experience. If you use the web search, you will discover that many “independent” comparison sites report that a demo account is offered, and therefore I signed up. The problem was that my request was turned down, albeit quite politely.
However, I simply could not understand what their problem is. If you offer a free demo account, why should I make a payment in first? OK, so I contacted their support team and they informed me that, if they made their free demo account available to everybody, there would be problems in supporting “real” traders and answering their questions quickly enough. It made me curious so that I began to ask other binary options brokers about the availability of free demo accounts. With a few exceptions, most brokers gave me the same answer as OptionBit. In my opinion, a demo account should always be free, but I accepted their reasoning. It is of course up to you whether you agree. To give OptionBit credit where credit is due, the minimum deposit is only $100, which is lower than with many other binary options brokers.
NEW AND IMPORTANT: OptionBit now offers a free demo account, which allows users to practice trading in binary options right away. As such, no prior deposit is required!
Fair broker or scam?
As previously noted, another disadvantage for beginners is the absence of an “out of the money” refund function. An out-of-the-money refund, which is typically between one and fifteen per cent, gives you the chance to get at least part of your money back when you make the wrong call. I always recommend that beginners use a binary options broker that offers this functionality so that your first trade doesn’t turn into an unmitigated disaster. Before we updated our review, we said that OptionBit really needs more time and experience to become a leading broker. They are certainly on the way to becoming a leading broker and are attempting to catch up in areas where they have lagged behind.
Choosing a binary options broker is not at all straightforward. Much of the research is necessary just to provide each potential trader with a list of the pros and cons of the brokers and to allow meaningful conclusions to be drawn. OptionBit is still a young company but for all its disadvantages, it looks good overall. My conclusion is that OptionBit should take a firm decision as to the direction it wishes to head in, and work hard on getting there. I do not believe that brokers should aim to attract beginners and experienced traders at the same time; they should instead aim to specialize in one market or another. OptionBit is on the way to the top: its platform is easy to use and most importantly, they are working hard to improve. There is no evidence to suggest that this is a scam. OptionBit is doing a good job.
Complaints about OptionBit
One way to find out more information about a particular binary options broker is to do a search on the broker’s name together with a word such as complaint, fraud, scam, etc. Many comments are inaccurate and provided by competitors, or at least biased, but others are of course true. At optionbiterfahrung.com we always try to provide you with the latest updates on any problems. We searched for substantiated complaints about OptionBit and found some interesting information. Some traders complained, in a few different forums, about a problem with the expiration values of binary options. Most of them later commented that OptionBit had corrected the issue and their money had been refunded. Furthermore, there were only sporadic comments relating to payouts but nothing stood out, let alone appeared to be fraudulent.
OptionBit VIP and Bonus Program
When you make your initial deposit with OptionBit, a bonus is added to your payment to help you to get to know the platform and try out various strategies. Once you have made your investment or deposit, you should get in touch with OptionBit by e-mail or using the live chat button in order to receive your bonus voucher.
This is what the OptionBit Bonus looks like: if you invest €200, you receive a 30% voucher. If you invest €500 you get a 40% voucher, and if you invest €1,000, you receive a 50% voucher.
What is an OptionBit VIP? As soon as you have become a VIP, you receive preferential treatment when making an appointment with our market analysts. You receive access to a VIP telephone number that you can call during business hours. Your withdrawal will be processed within three to five business days. Special investment funding.
Withdrawals and extras
Withdrawals can be made once a month, free of charge. We have not experienced any problems or irregularities whatsoever.
NEW AND IMPORTANT:
OptionBit now offers a free demo account to allow you to practice trading binary options right away. There’s no longer any need for a prior deposit!
Summary of our experience with OptionBit
Despite a few small issues, OB is one of the best trading platforms for binary options. It provides traders and investors with the ability to trade in exotic options including stocks, currency swaps, commodities and indices. It reliably pays up on time and is therefore a trustworthy binary options broker.