7Option – Are They Safe?
Stop! It’s a Scam! Your money is not safe if you are trading with this unregulated, off-shore broker.
7Option - DO NOT TRADE WITH THIS PROVIDER
2.6/10
$100
Minimum Depositupdated 2023
The details for opening trading accounts are not indicated on the broker’s website. In order to register with this broker, you only need to go to their sign-up page where you’ll be asked to enter your name, email address, phone number, and password. You’ll also be asked to accept their Terms and Conditions and confirm that you’re over 18 years of age. After this, the trading platform will be made available for you and you can start trading using their demo account.
Try these regulated brokers if you want to start trading cryptocurrencies
82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money
Plus500 is a FTSE 250 listed brokerage providing online trading services in CFDs, across 2,000+ securities and multiple asset classes.
Website URL: https://7option.com
Founded: 2022
Regulations: None
Languages: English, Russian, Uzbeki
Deposit Methods: Unknown
Minimum Deposit: $5
Free Demo Account: No
Number of Assets: N/A
Types of Assets: Binary Options
Trading Accounts and Conditions
7Option does not mention anything related to the trading accounts they offer or even their trading conditions. What we did find out is that 7Option is a binary options broker. We do not know the leverages offered by this broker and we also do not know if there are any fees or commissions being charged.
7Option – Advantages
There is nothing advantageous about trading with 7Option; they are a scam.
7Option – Disadvantages
Here, we have listed all the reasons why we strongly believe that 7Options is not a broker to be trusted and that they are actually a scam operation:
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Issues with Regulation Status
The name of the company that runs 7Option seems to be Sovana Holding PC, an entity that is supposedly based in the Seychelles. The corporate details, however, are incomplete. We do not have any phone number, email address or registration and/license number.
The problem is compounded by contradictory information the broker provides in their Client Agreement. Here, 7Option claims to be based in St. Vincent and the Grenadines and also claims that they have an office in the UK.
These claims are all lies, and here is how we know. To operate out of the UK, a broker has to be regulated by regulator of that country – the Financial Conduct Authority. Finding out if a broker is authorized by the FCA is easy; you simply need to check their online register for that information. We checked the FCA’s register, only to find that there is no company by the name of Sovana Holding PC and no broker by the name of 7Option listed with them.
We also checked the Seychelles’ Financial Services Authority’s website for the same information and got the same result. We then checked the SVG Financial Services Authority’s database and still came up empty.
We need to point out an interesting and key fact here: being registered in SVG means nothing, since the FSA in that country has clearly – and publicly – stated that they do not regulate forex brokers. Therefore, even if 7Options had been registered with the SVG FSA, it would have not made a difference, since the broker would still be unregulated.
All in all, we do not really have any proof of this entity’s actual existence. Therefore, we can safely say that we are dealing with an anonymous and unregulated broker – which translates to scammer.
82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money
Plus500 is a FTSE 250 listed brokerage providing online trading services in CFDs, across 2,000+ securities and multiple asset classes.
The company was created as a combined effort of financial professionals and experts in web-commerce with the goal of perfecting the online experience for retail traders.
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Binary Options Broker
Another reason why we know that 7Option is a scammer is because the only trading option they offer is binary options.
Binary options is a simplistic form of trading, where you need to guess whether the price of an asset is going to go up to down. These financial options come with only two payoff options – a fixed amount is you have guessed correctly, or nothing at all. In short, it’s basically a gamble!
This form of trading has been banned in the UK and many other jurisdictions due to the high degree of risk associated with it.
Therefore, considering the fact that this broker is targeting customers in the UK (by claiming to have offices in that jurisdiction), we can tell you right away that this broker is lying and is therefore out to scam customers.
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Rudimentary Trading Software
The trading software and the trading conditions are the two products/services that any broker offers their clients. So, brokers try to offer their clients the best possible trading software in the market. This means either the MetaTrader 5 or MetaTrader 4 trading software. These two platforms are designed to be used by both novices as well as professional traders; they have a user-friendly design for basic trading and tons of tools for advanced trading.
Scammers, on the other hand, tend of offer sloppy or rudimentary trading software, or no software at all! With 7Option, we see a very rudimentary trading platform that is web-based and does nothing more than buy and sell.
We also need to warn our traders that just because a broker has a working trading platform, it doesn’t mean that they are legitimate. Many scammers can rig their software to make it appear that the money you have invested is actually being used for trading, when this actually isn’t the case.
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Issues with Trading Conditions
Another sign that 7Options is a scammer is the complete lack of trading conditions. We do not know what asset classes they offer for trading. We do not know their spreads, leverages, commissions, fees and so on.
There is an absolute blank on all of this information.
The only snippet of information that this broker provides us that there is an 82% payout ratio, and that the minimum investment amount is $5 for a single deal. This is quite normal in binary options trading.
However, we also need to point out further contradictions in information here. The broker states the minimum payment amount is $5. However, in the Customer Agreement, the broker states that it is $10.
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Issues with Payments
On their website, 7Option shows us the logos of some popular payment providers – Skrill, Perfect Money, and MasterCard. However, when we checked the payment portal, there is no payment option provided at all. There doesn’t seem to be a way to deposit money in your account.
This means that you would need to send a message to the broker that you are unable to make a deposit, and they would then direct you to make payments in ways that ensure that there is no way for you to refund your money. A typical scam tactic.
Conclusion
7Options is a scam broker with a sloppy website that has little to no information on it. This broker is not safe and neither should they be trusted.
7Option
Pros
- None
Cons
- None Issues with Regulation Status
- Binary Options Broker
- Rudimentary Trading Software
- Issues with Trading Conditions
- Issues with Payments
Do not trade with unregulated brokers that will steal your funds - try these regulated brokers:
82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money
Plus500 is a FTSE 250 listed brokerage providing online trading services in CFDs, across 2,000+ securities and multiple asset classes.
The company was created as a combined effort of financial professionals and experts in web-commerce with the goal of perfecting the online experience for retail traders.
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