It’s official: Banc de Binary bites the dust
Following the closure of its operations, one of the largest binary options brands in the world has now renounced its CySec license
Today, the Cypriot financial markets regulatory authority issued a notice confirming the final exit of Banc de Binary from the dying binary options industry.
Banc de Binary was one of the largest brands in the world, and has since its inception, garnered a litany of complaints from customers about the model which involves a zero sum game in which deposits are used as revenues for the company.
A lawsuit by the CFTC in North America in 2013 was brought against the company, as it illegally targeted US customers, something that many binary options brands do despite its illegality, resulting in an $11 million settlement.
Earlier this week, it was reported that Banc de Binary had ceased its operations, and made an exit.
This week marks the end of the firm, and CySec has announced officially that it has renounced its CySec license, hence the firm is now officially pushing up daisies.
The announcement is as follows:
The Cyprus Securities and Exchange Commission (the ‘CySEC’) announces that, on 9th January 2017, the Cyprus Investment Firm Banc De Binary Ltd (the ‘Company’) renounced its authorization pursuant to section 24(1)(b) of the Investment Services and Activities and Regulated Markets Law of 2007 (the ‘Law’).
As stated in the renouncement letter of the Company, which provided investment services via the domain eu.bancdebinary.com, its authorization with Νumber 188/13 lapses as from 15th of January 2017.
It is noted that, in accordance with section 25(4) of the Law, Banc De Binary Ltd remains under the supervision of the CySEC until it settles its obligations arising from the investment services or/and activities that will lapse.
An anodyne exit from the business, however most certainly a signal that despite a back street lobbying group having been formed under the acronym EUBOA, which somehow is supposed to be an abbreviation for European Brokers Association, the pressure from international governments, the genuine electronic trading industry and mainstream media has become too much.
FinanceFeeds believes that the vast majority of these brands will follow suit, and then move on to a different, unrelated scheme.
When it gets too hot, the cook leaves the kitchen….