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FBI says it’s investigating binary options fraud worldwide, invites victims to come forward

Agency has received numerous complaints about Israel-centered fraudulent industry, and its probe ‘is not limited to the USA,’ official says. ‘We see this as a global problem,’ adds spokeswoman

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Simona Weinglass is an investigative reporter at The Times of Israel.

The Federal Bureau of Investigation is actively and concertedly investigating binary options fraud, and will pursue justice anywhere on earth, an investigator from the agency’s Complex Financial Crimes Unit said.

“Our agents are going to look under every rock and stone,” FBI Supervisory Special Agent Milan Kosanovich said in a recent telephone interview, speaking after law enforcement officials from North America and Europe gathered last month for an emergency summit on binary options fraud in The Hague.

“We are not limited to the USA,” he added. “We have international partnerships with countries all over the world. I can’t get into specifics but we have worked long and hard as an entity to make sure we developed those relationships and get the information that our investigators need from our partners.”

A large percentage of all binary options fraud is carried out from call centers in Israel, although the industry’s shell companies and payment processing infrastructure are spread throughout the world, as are the largely fraudulent industry’s victims.

The FBI invited anyone who feels they have been a victim of binary options fraud, no matter where they live in the world, to come forward.

“The FBI welcomes complaints from any individuals who have been defrauded by binary options,” a spokeswoman for the agency told The Times of Israel. “We see this as a global problem and work with all of those who are willing to address the problem and eradicate this criminal threat.”

Asked if the FBI was merely investigating binary options brokerages or if it was also investigating companies that power the backend of the websites, such as Spotoption or Panda, Kosanovich replied: “I can’t talk about specific companies. What I can say is that when we do criminal investigations we don’t limit ourselves to this or that. We try to take as comprehensive a look as we can at the situation that we’re investigating. And we make appropriate decisions with the prosecutors as to where criminal activity lies.”

Kosanovich also said that if a need arose at some stage to extradite suspects from abroad to face a criminal trial, the United States would do so on a case-by-case basis.

FBI agent Kosanovich said binary options fraud had come to the FBI’s attention through several channels. The US Securities and Exchange Commission and the Commodity Future Trading Commission have received numerous complaints from defrauded victims of the industry. The FBI has personnel inside both the SEC and CFTC and has also received complaints itself.

“We have our traditional ways of gathering information on fraud threats, whether it be through victim complaints or some of the research capabilities that we have to analyze data that we have access to,” he said. “Once we took a look at [binary options] fraud, we decided it was something that deserved our attention.”

Many ex-employees of Israeli binary options firms who have spoken to The Times of Israel have said that a large percentage of the industry has a policy of not soliciting American clients for fear of the long arm of US law enforcement. Other companies, however, do solicit American customers despite it being against US law to do so.

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“The binary options industry is not technically illegal in the United States,” Kosanovich noted. “But you have to be a registered, regulated entity, of which, if memory serves me correctly, there are only two. And there are more than two binary options entities soliciting US clients.”

Kosanovich was presumably referring to the Nadex and Cantor Exchanges in Chicago, which are US-regulated. They differ from Israeli and other offshore binary options companies in that they merely bring buyers and sellers together, and do not employ a “bucket shop” structure whereby the customer’s loss is the company’s gain.

A source close to the Nadex exchange said in a November interview that he thinks it highly unlikely that any Israeli binary options companies, most of which are fraudulent and none of which has been approved for regulation by the Israeli Securities Authority, would pass muster and obtain regulation in the United States.

Beyond investigating the companies themselves, Kosanovich also said that the FBI was providing information to credit card companies so they can recognize binary options transactions and understand the nature of the industry.

“We think part of the solution is educating both issuing and acquiring banks as to what exactly this is. If they see their customers request a charge for this, they know exactly what is associated with this.”

Each credit card transaction involves at least four parties: the cardholder, the merchant, the issuing bank and the acquiring bank. Cardholders initiate a transaction when they seek to acquire a good or service from a retailer or merchant. When the merchant charges the cardholder’s credit card, the merchant’s acquiring bank will up-front the money to the merchant, then ask for reimbursement from the bank that issued the credit card. The issuing bank is later repaid by the cardholders themselves.

One recent victim of binary options fraud told The Times of Israel that when he showed executives at his issuing bank articles about the fraudulent nature of the industry, he was able to successfully get his money back through a chargeback.

Asked if binary options was a particularly sophisticated form of fraud, as some have suggested, Kosanovich replied, “Here at the FBI we have a unit specifically dedicated to money laundering. We’ve seen everything under the sun. Some are very sophisticated and some are not. Those who like to ply their craft in the financial fraud world can be very creative.”

A spokeswoman for the FBI said that anyone out there with a complaint or tip about binary options fraud can contact their local FBI field office or the agency’s Internet crime complaint center, www.IC3.gov. Anyone with information should also notify the SEC and CFTC , the spokeswoman said, so that the complaints can be examined for possible civil regulatory issues as well.

The Times of Israel has been exposing Israel’s largely fraudulent binary options industry in a series of articles since last March, beginning with an article entitled “The Wolves of Tel Aviv,” and has estimated that the industry here numbers over 100 companies, most of which are fraudulent and employ a variety of ruses to steal their clients’ money. These firms lure their victims into making what they are duped into believing will be profitable short-term investments, but in the overwhelming majority of cases the clients wind up losing all or almost all of their money. Thousands of Israelis work in the field, which is estimated to have fleeced billions of dollars from victims all over the world in the past decade.

The Prime Minister’s Office in October condemned the industry’s “unscrupulous practices” and called for the entire industry to be outlawed worldwide. Responding to The Times of Israel’s reporting on the widely fraudulent industry, on January 2, the Knesset’s State Control Committee held a hearing on the government’s failure to shut down binary options fraud. The committee chair, MK Karin Elharar (Yesh Atid), demanded that the police begin enforcement activity against fraudulent binary options firms in the next month and that the Israel Securities Authority urgently advance legislation to shut down the entire industry. Israel Police ignored Elharar’s invitation to the meeting and did not attend. A follow-up hearing is scheduled for February 28.

Scams / Frauds

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The 8 common e-commerce scams to avoid.

Jan 03 2020 | Alice Wong, Small business – North Americas, PayPal

1. Shipping service scam.
The buyer asks you to use a specific shipping service. They may claim they can get a discount, or that they have a preferred vendor that is more reliable. In reality, they can easily contact the shipping company and reroute the order to another address.

How to avoid a shipping service scam: Use only your shipping account, review the order for other fraudulent red flags, and ship to the address on the Transaction Details page in your PayPal Business account.

2. Prepaid label scam.
The buyer asks you to use a pre-paid shipping label provided by them, but the shipping labels could’ve been purchased with a stolen credit card. Or, they may be attempting to send the package to another country, PO Box, or untraceable location.

How to avoid a prepaid label scam: Don’t accept shipping labels and only ship to the address on the Transaction Details page. This also helps ensure that you remain covered under the PayPal Seller Protection policy on eligible transactions.

3. Package rerouting scam.
The buyer provides an incorrect or fake shipping address and, when the package cannot be delivered, contacts the shipping company directly to reroute the package to a new location. Then, they file a complaint saying they never received the package and because it was rerouted, and the seller can’t prove the item was delivered.

How to avoid a package rerouting scam: Work with your shipping company to block buyers from rerouting, and also validate a buyer’s address before shipping.

4. Overpayment scam.
A customer attempts to overpay for an item or an order and asks you to wire them the difference. They may be using a stolen credit card or account to pay you, and if the legitimate account holder reports unauthorized activity, that money can be withdrawn from your account.

How to avoid an overpayment scam: Never wire money to someone you don’t know and if a customer overpays, consider canceling the order, as it’s likely to be fraudulent.

5. Employment scam.
This happens when someone contacts you to be their employee or partner. They ask you to sell products on eBay or a website, pay their supplier, and update your PayPal account address to their address. They can then conduct fraudulent transactions and you may be liable.

How to avoid an employment scam: Never list someone else’s address and never send money to someone you don’t know. You should also verify all of your suppliers.

6. Employee theft from a PayPal account.
In some cases, you might give your employees access to your PayPal Business account so they can do their job. Unfortunately, this opens you up to fraud risk. An employee might transfer money to their account, their friend’s accounts, or to an offshore account. When you ask where the money went, they may tell you it was for a customer refund, used to pay a supplier or used for payroll.

How to avoid an employee theft scam:

  • Always conduct background checks on potential employees and review current employees’ account activity on your PayPal Business account regularly.
  • If you need an employee to manage your finances, make sure no one person has control over your account. When it comes to your finances, you should have checks and balances in place.
  • Only give employees access to the information they need to do their job.
    • Use PayPal’s manage users functionality to set up employee privileges.
    • You can decide how much access to give each of your employees.

7. Return policy abuse.
You sold something and the buyer files a complaint with PayPal stating the product was damaged, you sent the wrong order, or the product was broken. When this happens, PayPal will ask the buyer to send the product back to you. The buyer may be telling the truth — packages get damaged in shipment from time to time. But if you notice that an item the buyer said was broken is in perfect condition or the buyer used the item before sending it back, they might be trying to take advantage of you. Maybe they found it for less somewhere else or they’re trying to avoid your return policy.

How to avoid return abuse:

  • Always pack items securely to prevent damage.
  • Communicate with your customers. Inform them of any flaws up front and provide product pictures so customers know exactly what they’re buying. If you’re selling a technical product, send installation instructions so the buyer can use the product.
  • Provide a customer-friendly return policy so the buyer doesn’t feel like they need to make up a reason for returning the order.
  • If you sold something on eBay and feel your buyer is misusing the returns process, report it. If you sold something on your own website and feel the buyer is misusing the return process, you can appeal your claim by contacting your payments company.
  • Create a list of customers you don’t want to do business with again. The list should include information such as name, address, email and phone.
    • If you have your own website, the list could also include IP addresses, computer or device IDs and credit card information.
    • Monitor new orders against your negative list.
    • If you’re a smaller business, you can create a negative list using Excel or a Macro.
    • If you’re a larger business, you can use a third-party rules system or develop your own in-house solution.

8. Affiliate scams.
If you use affiliate marketers to help increase your sales, there are some additional things to be aware of. As a refresher, here’s how it works:

  • Affiliate marketers are paid based on their performance.
  • Each time the affiliate refers a customer to your website, and it results in a sale for your business, the affiliate gets a commission.
  • You may notice that one affiliate is generating higher sales than your other affiliates.

Fraudulent affiliates take advantage of your revenue-share program by placing orders using stolen credit cards, then:

  • Since you didn’t realize the orders were fraudulent, you paid the affiliate.
  • Months later you realize the affiliate was a fraudster because your customers filed complaints that their credit or debit cards were stolen.
  • As a result of this scam, you may incur losses like affiliate fees, cost of your product, shipping fees, transaction fees, chargeback fees, and your time.

How to avoid affiliate scams:

  • If you offer an affiliate program, make sure you know who your partners are.
  • If you’re partnering with a third party that refers affiliates, understand how the third party verifies and approves their affiliates.
  • Pay affiliates 60 or 90 days after the order date so that if there is a chargeback or customer complaint, you notice it before the affiliate has gotten away with that money.
  • Watch for spikes in sales on products that come with higher affiliate payouts.

You can also access additional information about fraud and online security by reviewing our FAQs at the bottom of this page.

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Frequently asked questions.

Offers that sound too good to be true, probably are
Most of us are careful if a stranger approaches on the street and offers a deal that’s just too good to be true. But we’re much less cautious online, putting us at risk.

Advance fee fraud
If you get an offer for free money, there’s probably a catch. Typically, fraudsters will ask you to send some smaller amount (for taxes, for legal documents, etc.) before they can send you the millions you’re promised, but which they never intend to send you.

How to avoid this scam: Don’t wire money to someone you don’t know.

Overpayment scam

  • A customer sends a PayPal payment that is more than the purchase price of the order, and then asks you to wire them the difference.
    • They may tell you that they accidentally overpaid you, the extra money is for the shipping costs, they’re giving you a bonus for your great service or the money is for the stress they’ve caused you.
    • They may even ask you to wire the shipping fees to their shipper.
  • This scammer may have paid with a stolen credit card, bank account number or checking account.
    • Just because a payment has been deposited into your account, doesn’t mean the money is yours to keep. If the legitimate account holder reports unauthorized activity, the money can be withdrawn from your account.
    • If that happens, you’ll lose the money you wired to the fraudster, the product you shipped, shipping costs and your payment.

How to avoid this scam:

  • Don’t wire money to someone you don’t know. A legitimate buyer won’t overpay you for an order.
  • If a customer overpays you and asks you to wire them the difference, consider canceling the order—it’s very likely to be fraudulent.
  • Don’t wire money to the bogus shipping company—it’s part of their scam to get your money.

Prize winnings
Messages asking you to pay a small handling fee to collect some fabulous prize are usually a scam. You send the handling fee and get nothing in return.

How to avoid this scam: Don’t send money to someone you don’t know. A legitimate prize won’t require you to pay in order to receive it.

High profit – no risk investments
These types of investments are usually scams and include messages insisting that you “Act Now!” for a great deal.

How to avoid this scam: Discontinue communication with this person/company.

Fake charities
Scammers use disasters to trick kind-hearted people into donating to fake charities. This usually happens when there is a refugee crisis, a terrorist attack or a natural disaster (like an earthquake, flooding or famine).

How to avoid this scam:
Thoroughly check the background of any charity to make sure your donation goes to real victims. Use resources to check out charities, like the ones below:

If a charity does not have a website, be cautious.

To learn more about common scams and how to avoid them, search online for advance fee fraud. You can also read the FBI’s material on common types of scams. Most importantly: be as cautious online as you would be in the real world.

Shipping Scams
There are several ways fraudsters incorporate shipping into their schemes. Be sure you’re familiar with the following:

  • My shipping service scam
    • The buyer asks you to use their shipping account because they can get a discount, they have a preferred vendor they’ve worked with for years, or their shipping service is cheaper or more reliable. In another variation of the scam, the buyer may also ask you to wire the shipping fees to their preferred shipper.
    • If you use the buyer’s shipping account, they can easily contact the shipping company and reroute the order to another address.
      • The buyer can then open up a complaint asking for a refund because they didn’t receive their order.
      • You aren’t able to prove that the buyer received their order and you are out your product, the shipping costs and your money.
    • If they ask you to wire the money to a bogus shipping company, they can steal your money.
      • After you have wired the money you’ll find out that the order was made with a stolen card or bank account. You may be held liable for returning the funds to the legitimate customer whose account was stolen.

How to avoid this scam:

  • Only use your shipping account.
  • Never wire money to someone you don’t know – you can’t get it back easily.
  • If a customer asks you to use their shipping service, review their order for fraud carefully. They may have used a stolen card or bank account to fund the purchase.
  • Ship to the address on the Transaction Details page.

Pre-paid shipping label scam

  • You receive an order from a customer who asks you to use their pre-paid label to cover the shipping charges. (They may tell you that they can get their labels at a discounted price.)
  • By providing the label, the customer controls the destination of the package. They may send it to another country, a PO Box or some other untraceable location.
    • To be covered under PayPal’s Seller Protection policy, you are required to ship to the address on the Transaction Details page.
    • The shipping label may also have been purchased with a stolen credit card.

How to avoid this scam:

  • If the customer asks you to use their pre-paid label, review their order for fraud carefully. They may have used a stolen card to make the purchase.
  • Do not accept shipping labels from your customers.
  • Ship to the address on the Transaction Details page.

Package rerouting scam
The buyer reroutes the package so they can file a complaint that they never received it.

  • A buyer places an order and provides an incorrect or fake shipping address.
  • The shipping company tries to deliver the package but isn’t able to.
  • The buyer monitors the online tracking information and notices that the shipper couldn’t deliver the package.
  • The buyer contacts your shipping company and asks them to send the package to their correct address. The shipping company delivers the package to the new location.
  • Buyer then files a complaint for not receiving the item.
    • Because the shipment was rerouted, you can’t prove the item was delivered to the address on the Transaction Details page.
    • The buyer gets to keep the item and money.
    • Because the package wasn’t delivered to the address on the Transaction Details page, you aren’t covered by Seller Protection.
    • Unfortunately, you lost the product, shipping fees and the money.
    • To make it worse, you might also have to pay your shipper an additional rerouting fee.

How to avoid this scam:

  • Contact your shipping company and block buyers from rerouting packages.
  • Validate the buyer’s address before shipping.
  • Only ship to the address on the Transaction Details page.

Business / job opportunities
Fraudsters will post fake job opportunities on job-posting sites, dating sites, and via spam email.

Reshipping packages scam

  • One of the more popular work-from-home scams is reshipping electronics, clothing and other items out of the United States.
  • You receive items (electronics, jewelry, clothing, etc.) in the mail and are asked to ship them out of the country.
    • Packages may be addressed to someone else’s name (the stolen credit card victim).
    • Your “employer” provides you with a shipping label (also paid for with a stolen credit card).
    • Your “employer” ask you for personal information, such as Social Security Number and bank account details, so they can “direct deposit” your check.
    • Generally, you’ll never get paid and have just exposed yourself to fraud.
  • Most merchants will not ship items out of the country.
    • Fraudsters need you to act as an intermediary to help get the goods out of the country. It also helps them avoid getting caught.
    • They use your personal information to steal your identity or takeover your account.

How to avoid this scam:

  • If it’s too good to be true, it probably is. Know who you are dealing with and don’t reship packages.
  • If you didn’t realize you were involved in a scam until the packages started arriving, refuse delivery or return to sender. Report scams to the Internet Crime Complaint Center or contact your Postmaster.
  • Never give your private personal or financial information to anyone you don’t know.

Employment scam

  • Someone contacts you about a great new business opportunity. They need an employee or partner to sell cameras (or some other expensive product) for them.
  • Scammers trick innocent and trustworthy people into sending them money and merchandise.
    • The scammer may even say they found you through eBay’s Trading Assistant program. They will ask you to:
  • List some products for sale on eBay or on your website.
  • Use the money from the orders to pay their supplier. They’ll contact the supplier in advance to let them know you’ll be sending them money.
  • Update your PayPal account address to their address. They’ll usually give you an address that looks like a regular address but it’s a P.O. Box.
  • After you pay the supplier, you’ll start receiving complaints from your buyers stating that they didn’t receive their merchandise. Instead they received an empty box (from the scammer).
  • You contact the supplier. They inform you that your partner said you would be sending money for gold bouillons, so they shipped the gold bouillons (not cameras) to your PayPal account address. You remember that your partner asked you to change your PayPal account address to their address, so they could pickup the gold.
    • You paid the supplier for the cameras, so you file a complaint against the supplier. Unfortunately, you learn that you may be liable for the money since the supplier delivered the merchandise to your PayPal account address.

How to avoid this scam:

  • If it’s too good to be true, it probably is. Know who you are dealing with.
  • Don’t list someone else’s address on your PayPal account.
  • Verify your suppliers and don’t send money to someone you don’t know.
  • Only ship items to the address on the Transaction Details page.
  • Be on alert if you’re asked to ship a lot of packages overseas or to the same post office box.

If you think you’ve received a suspicious email or have been directed to a fake website, forward it to [email protected] and we’ll investigate it for you. After you send us the email, delete it from your inbox. If you clicked on any links or downloaded any attachments within the suspicious email or website, log into your account and view your transactions. It’s also a good idea to change your password.

To report SPAM SMS messages, forward them to ‘7726’ (which is the keys for SPAM on most phones). Check with your service provider to find if this service is supported or read more here: http://www.gsma.com/aboutus/.

To view all transactions and activity, log in to your PayPal account and check your recent activity. If you see any unauthorized transactions, go to the Resolution Center to report it.

Here’s a video on identifying suspicious mails:

Binary Options Fraud

A Word of Warning to the Investing Public

Stock options. It’s a pretty common investment term meaning, in general, that one party sells or offers to another party the opportunity to invest by buying a particular stock at an agreed upon price within a certain period of time. All perfectly legal and highly regulated—and if the investor takes advantage of the opportunity and the stock performs well, there’s money to be made. And if the stock doesn’t perform well, the investor knew the risk.

But here’s another similar-sounding financial term that the public should be wary of—binary options. While some binary options are listed on registered exchanges or traded on a designated contract market and are subject to oversight by U.S. regulators like the Commodity Futures Trading Commission (CFTC), much of the binary options market operates through websites that don’t comply with U.S. regulations. And many of those unregulated websites are being used by criminals outside the U.S. as vehicles to commit fraud.

Binary options fraud is a growing problem and one that the FBI currently has in its crosshairs. In 2020, our Internet Crime Complaint Center (IC3) received four complaints—with reported losses of just more than $20,000—from binary options fraud victims. Fast forward five years, and the IC3 received hundreds of complaints with millions of dollars in reported losses during 2020. And those numbers only reflect victims who reported being fleeced to the IC3—the true extent of the fraud, which has victims around the world, isn’t fully known. Some European countries have reported that binary options fraud complaints now constitute 25 percent of all the fraud complaints received.

What exactly is a binary option? It’s a type of options contract in which the payout depends entirely on the outcome of a yes/no proposition, typically related to whether the price of a particular asset—like a stock or a commodity—will rise above or fall below a specified amount. Unlike regular stock options, with binary options you’re not being given the opportunity to actually buy a stock or a commodity—you’re just betting on whether its price will be above or below a certain amount by a certain time of the day.

For example: You expect the price of an individual stock will be above $80 at 3:30 p.m. today. So you buy a binary option that allows you to place this bet at a cost of $60. If, at 3:30 p.m., the stock price is $80.01, your payout is $100, for a profit of $40. If the price of the stock at 3:30 is $79.99, you lose your $60. Of course, you can buy multiple binary options, which can significantly increase your winnings as well as your losses.

So where does the fraud come into it? The perpetrators behind many of the binary options websites, primarily criminals located overseas, are only interested in one thing—taking your money. Complaints about their activities generally fall into one of three categories:

The perpetrators behind many of the binary options websites, primarily criminals located overseas, are only interested in one thing—taking your money.

  • Refusal to credit customer accounts or reimburse funds to customers. This is usually done by cancelling customers’ withdrawal requests, ignoring customer phone calls and e-mails, and sometimes even freezing accounts and accusing the customers themselves of fraud.
  • Identity theft. Representatives of binary options websites may falsely claim that the government requires photocopies of your credit card, passport, driver’s license, utility bills, or other personal data. This information could potentially be used to steal your identity.
  • Manipulation of trading software. Some of these Internet trading platforms may be reconfiguring the algorithms they use in order to purposely generate losing trades, often by distorting prices and payouts. For example, if a customer has a winning trade, the expiration time is extended until the trade becomes a loss.

Fraudulent binary options website operators go to great lengths to recruit investors. They advertise their platforms—often on social networking sites, various trading websites, message boards, and spam e-mail—with big promises of easy money, low risk, and superior customer service. Potential investors are also cold-called from boiler room operations, where high-pressure salespeople use banks of phones to make as many calls as possible to offer “once-in-a-lifetime” opportunities.

What’s being done to combat binary options fraud? The FBI currently has a number of ongoing binary options fraud cases, working with partners like the CFTC and the Securities and Exchange Commission (SEC). And this past January, the Bureau organized the 2020 Binary Options Fraud Summit held at Europol in The Hague, bringing together law enforcement and regulators from throughout North America and Europe to discuss the growing binary options fraud problem.

Special Agent Milan Kosanovich, who works out of our Criminal Investigative Division’s Complex Financial Crimes Unit, was one of the FBI’s representatives at this gathering. “The summit,” he said, “gave all of us the chance to sit down and talk about what we’ve discovered through our respective binary options fraud investigations, where the challenges are, and how we can all work together.”

One of the biggest challenges law enforcement faces, according to Kosanovich, is the fact that the scammers are sophisticated and have operations spanning multiple countries. “So the key to addressing this type of fraud,” he continued, “is national and international coordination between regulatory agencies, law enforcement, and the financial industry.”

Another important factor, said Kosanovich, is investor awareness and education. “Investors need to be aware of the significant potential for fraud on binary options websites, and they need to make sure they do their due diligence before ever placing that first trade or bet.”

What Can You Do to Avoid Being Victimized

  • Make sure that the binary options trading platform you’re interested in has registered its offer and sale of its products with the SEC. (Registration provides investors with key information about the terms of the products being offered). To do this, you can use the Security Exchange Commission’s (SEC) EDGAR Company Filing website.
  • Check to see if the trading platform itself is registered as an exchange at the SEC’s Exchanges website.
  • Ensure that the trading platform is a designated contract market by checking the Commodity Futures Trading Commission’s (CTFC) Designated Contract Markets website. Thousands of entities promote binary options trading in the U.S., but only two are currently authorized to do so by the CFTC.
  • Check out the registration status and background of any firm or financial professional you are considering dealing with. You can do this through the Financial Industry Regulatory Agency’s BrokerCheck website and the National Futures Association Background Affiliation Status Information Center.
  • Take a look at the CFTC’s RED List, which contains the names of unregistered foreign entities that CFTC has reason to believe are soliciting and accepting funds from U.S. residents at a retail level for, among other things, binary options.
  • Finally, don’t invest in something you don’t understand. If you can’t explain the investment opportunity in a few words and in an understandable way, you may need to reconsider the potential investment.

Source: Investor.gov (SEC’s Office of Investor Education and Advocacy/CFTC’s Office of Consumer Outreach)

Resources

Five Chinese Military Hackers Charged with Cyber Espionage Against U.S.

Marking the first time criminal charges have been filed against known state actors for hacking, five men were indicted for offenses directed at the U.S. nuclear power, metals, and solar products industries.

FBI Director Addresses Cyber Security Gathering

James Comey discussed the current cyber threat landscape, the FBI’s efforts to stay ahead of the threat, and the importance of strong private sector partnerships at the Boston Conference on Cyber Security.

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