Are you looking for a trustworthy binary options broker? Learn about Magnum Options’ policies and banking. Is Magnum Options legit?
Is Magnum Options legit?
The internet can be a cruel place. Finding legit providers for any kind of service is always difficult, especially if you do are not yet familiar with this kind of service and if this service involves money. This applies to binary options, too.
To help you evaluate whether Magnum Options is a legit binary options broker, we have tested the all-important points of this broker. Here is our verdict:
When investing into regular assets, your broker offers you two prices for one asset at the same time: A bid and an ask price. If you want to buy and asset, you have to pay the higher bid price, and if you want to sell an asset, you will get the lower ask price. This is how regular brokers make money.
With binary options, however, things are different. Since you do not trade the asset itself, but a binary option that is based on the asset, there is no point in using two different prices. Whether you invest long or short, your price should always be the same.
Some brokers try to use new brokers’ lack of knowledge against them and still use two different prices for the same asset, thereby reducing the brokers’ chances of winning their options. This is unfair and a sure sign of an untrustworthy broker.
With Magnum Options, however, things are different. Magnum Options uses one price only, and is extremely cautious to provide accurate, up to the second pricing. In the fast paced world of binary options, even a few seconds delay could mean that you lose a try you would deserve to win. With Magnum Options, this will not happen.
Banking is where good brokers separate themselves from the rest. Providing secure banking methods and solid checking systems takes manpower and good systems, which both are expensive. Untrustworthy brokers therefore try to save money by cutting costs in these areas, thereby creating great security risks and endangering your money.
Luckily, Magnum Options did a better job. Magnum Options employs the best (and most expensive) encryption method there is on the web – the SSL method. You may know SSL from your online banking service – it is the best security protocol in the world and the standard any trustworthy site uses.
Magnum Options also employs a validation process for every new withdrawal method that is registered for an account. While causing personnel costs to rise, this method makes sure that nobody steals money from your account.
As you can see, Magnum Options goes through great length to keep your money safe and offer you a fair service, which is why they are definitely a legit binary options broker.