Wednesday, December 11th, 2013 by Michael Freeman
On Monday 9th, December, 2013 ZoomTrader.com (ZoomPartners) received a 15,000 Euro fine for operating as an unregulated binary options broker. The company failed to hold a CIF license which is a requirement based on Article 4 of the Investment Services and Activities and Regulated Markets Law which is a law that CySEC is starting to enforce in 2013 with a maximum fine of up to 350,000 Euro for brokers who continue to operate without the CIF license.
CySEC, the Cypriot regulatory body that oversees binary options, is now imposing tougher sanctions and fines against brokers who fail to meet the regulations and licensing requirements. ZoomTrader.com has been operating from October 2012 and never made any attempts to acquire proper licensing and in fact on many websites, the company appears to be getting lots of negative feedback from the trading community. Other brokers have recently received warnings against a possible fine but have yet to receive it such as NRGBinary, Sycamore Options and PlanetOption.
It’s evident that many binary options websites prefer to operate illegally instead of going through the proper channels in order to become a legitimate online trading website so ZoomTrader.com is definitely not the only site operating in this way. For a complete list of scam brokers, visit the blacklist. Stay away from these brokers and make sure to Google search the website before making any commitments, as a minimal requirement the broker should always be CySEC regulated.
Based on a Google search it appears that ZoomTrader continues to receive endless complaints from traders and has been listed as a scam broker, including my own list of scams, for quite sometime. I recommend avoiding this broker at all cost and if you are interested in a fully EU regulated broker you should look into Anyoption, Topoption or OptionFair which all have an outstanding positive track record, positive reviews and proper licensing & regulations. Be advised that many brokers offering the Spotoption platform are not necessarily regulated, so on the surface it might seem like you’re dealing with a legitimate broker, however the scam sites are able to replicate the same look of an honest binary options site. Both Anyoption and OptionFair operate independently from the Spotoption platform and are great choices.
If you are interested in a reliable broker make sure to visit the Top 10 binary options brokers list! For more information on unregulated brokers visit my black-list and make sure to comment below if you have any questions comments or experience trading with Zoomtrader.com.