Israel bans binary trading

The Israeli legislature has passed a bill that foresees a ban on binary option trading within the country.

New ways of trading are developing all around the world as cryptocurrency is slowly taking over and other (not so popular) options are thriving as well. One of those, trading on binary options, has suffered a major setback in Israel as the Knesset, the country’s legislature, has decided to ban said operations within the country.

The bill passed on Monday foresees the prohibition for trading on binary options, no matter where they come from and received a crushing support from 51 lawmakers. The soon-to-be law was introduced by MK Rachel Azaria and cleared the Reforms Committee to reach the Knesset back in August.

Not only was the bill supported by lawmakers but also received the approval from several regulators and law enforcement agencies. Furthermore, the Israel Securities Authority and the Israel Police argued that the country’s reputation was being harmed by the industry.

The binary options industry is estimated to be worth millions of dollars but has been dismissed by the legislature anyway.