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It is our pleasure that you’ve decided to visit us today and therefore, we gladly welcome you!
On this site, we are committed to letting you know about the best binary option bonuses from ONLY legitimate brokers even before anyone else does. We NEGOTIATE the best bonuses with the brokers for your own sake! Just browse around the site to find the best bonus that meets your need.
What is a Binary Option Bonus?
A Bonus is a promotional incentive offered by legit brokers in order to persuade a trader to register a live money account with them. They are really FREE MONEY given to you by the broker in exchange for either signing up or funding your account.
In the past, bonuses weren’t existing in the Binary Options market but as competition got tougher between the various brokers, many of them started offering first Deposit bonuses as a means of attracting new clients. This is the reason why many brokers now offer one type of bonus or the other for every new client.
Nowadays, it is very difficult to convince a new trader to deposit huge sums of money of up to $2000 for trading with a Company you know nothing about. Brokers have found out that with a bonus, this is some what achievable.
Today, almost every brokerage company in the binary options industry offer one kind of bonus or the other either for new clients or returning customers.
Many traders find it difficult to believe that brokers really provide free money for trading. Some even think that those who offer bonuses are probably fake or scam. No! they are not fake. It is simply a marketing strategy because giving out these bonuses encourages traders to register and make a real money deposit in the long run.
Without this kind of marketing strategy or investment, the broker may miss the client because without the bonus, the customer might have never registered with the broker in the first place. This kind of client is very likely to become a loyal long term-customer and therefore, the broker would be able to realize any marketing cost for that client in the long-run.
In as much as we regard the bonus as a “free money”, you have to note that most bonuses are tied to a real money deposit. Why this seems strange on first view, it makes a lot of sense.
From the broker’s point of view, the aim of offering the bonus is to get new real money traders and not just sign ups.
If the new clients don’t make real money deposit, then traders would just sign up, claim the bonus, make some trades, cash out the whole money and move to other broker offering similar promotions. Assuming this were possible, then brokers would go bankrupt and cease to exist after some time. So, the whole idea of making a real money deposit after some time is very normal and does not have any negative implication in any way.
A bonus is just as it sounds and cannot be withdrawn immediately!
Just think for a moment – If everyone were allowed to withdraw a bonus offered by a binary options company immediately after registration. This is logic and very simple to guess – everyone whether a trader or not would register with the broker, claim the bonus and withdraw everything thereafter.
This is the reason why brokers put in place the so called “trading requirements”, most of the time including associated terms and conditions which must be made known to the client before hand.
These requirement usually demand that the client must perform a certain volume of asset trading before being able to withdraw the allocated bonus. For instance, if you were given a $200 bonus and the broker requires that you must perform 20x the amount of bonus before being able to withdraw – this means you must carry out trades worth 20 x 200 i.e. $4000 in order to withdraw the bonus as well as any profits or losses made during your period of trading.
Please note that this type of trading condition is put in place ONLY for bonus traders. Real money traders without bonuses will be able to enjoy freedom of trading and cashing out all or part of their funds anytime they wish without any strict conditions attached.
Also, you have to note that the trade volume is a normal thing and are in place to prevent people from abusing the bonus by withdrawing it and leaving without conducting any real trading activity for which the bonus was meant.
It is wise for you to take time and study the terms and conditions associated with any bonus offered by any binary options broker before applying to use the bonus.
Types of Binary Options Bonuses Offered by Brokers
- Deposit Bonus
- No Deposit Bonus
- Rebate Bonus
This is the most common type of bonus offered by most binary options brokers. Just from the name, you’ll be able to get the whole idea behind these kind of bonuses. Simply, when you deposit any sort of funds, you receive a bonus!
Usually a first deposit bonus is offered to clients registering with a broker for the first time and they are often the largest in the market enabling the trader to trade with much more money than what they have deposited.
Often times, brokers present traders with two types of first deposit bonus.
One is where you receive a fixed amount of money for a certain amount of payment you make. For instance, when you credit your account with $500 – $1000, you receive additional $300.
The second is the one that pays a certain percentage of the payment you make as a surcharge. It is common to see brokers presenting new traders with bonuses ranging from 5% to 50% of their initial deposit. In a case of 50% bonus, when you make payment of $1000, you receive an extra $500 thereby bringing your total account equity to $1500.
Nonetheless, first deposit bonus often has a limit. For example, the 50% bonus could be limited to a $1000 investment and any additional funds won’t be covered by the bonus. This means that if you decide to invest $5000, you will only get bonus for the first $1000.
One tactic used by many scam brokers is to lure new traders deposit with them by offering a very high percentage bonus on initial deposit. Figures could be as high as 500% – 2000%. Or they could make promises that look too good to be true and are simply unachievable.
There are many of them around the web and it is pretty easy to fall for them. In order to avoid these kind of brokers, always ensure you use the bonus offered by brokers we recommend on this site, Topbinaryoptionsbonus.com. This is because we do the hard job for you by carefully selecting the best bonuses offered by ONLY accredited and fully regulated brokers and then deliver them to you in a simple style.
The other type of deposit bonus is the one offered when an already existing client funds his/her account long after their first deposit. This type is usually rare among binary options brokers because they know that there’s a high possibility of a long term customer funding their accounts again and again for the purpose of trading.
No Deposit Bonus:
Like it’s name suggests, you are not required to make a deposit before you start trading.
Any broker offering this kind of bonus is willing to give you REAL FREE MONEY to kick start trading on their binary options platform.
The money given in this format is not “play money” or “virtual funds” or any sort of thing like that.
The money received in this aspect will act as real money as such you’ll be able to use it to buy real binary options contracts. Also, any profits generated in the process will be paid out as real money to the bonus owner.
However, no-deposit bonuses are usually very small and are usually somewhere between $5 – $100. It is often difficult to find a broker that offers above $100 unless it’s a fake one of course.
Though very rare, with that small amount of no-deposit bonus, some traders will be able to carry out successful binary options contracts that there will be no need to deposit again. In this case, the whole profit generated comes from the bonus and can be withdrawn at any time.
Some traders often look for no-deposit bonuses because it gives them the opportunity of testing the functionality and features of a particular broker before committing any real funds to them. Though this makes sense but it can also be achieved by using virtual funds or demo accounts offered by the same company.
There are few companies offering this kind of bonus because obviously, not all of them can afford to give out free money to every new client. If all brokers start to do this, then there will be no need to deposit and the whole idea behind binary options trading and the intermediary broker would just be a nightmare.
Rebates are special type of financial trading bonuses offered to traders as monetary compensation for lost binary options contracts.
It is through rebates that traders are able to recover all or part of the money lost.
Often times, brokers repay between 5% to 15% of the money lost by traders on failed binary options contracts.
Normally, if you stake a particular amount of money say $5 in a binary option trade, you will lose all or get a certain percentage profit back when you win. With rebates, some brokers are willing to pay you back a percentage, usually 5% to 15% of the lost trade.
The purpose of this is generally to enhance the relationship between the existing traders and the broker. It will make the traders stay longer and trade more even though they may be having bad experiences in their trading activities instead of quitting entirely.
While standard deposit bonuses are offered as incentives to attract new clients, the objective of the rebate bonus is to make existing traders stay longer and therefore become long-term traders.
Every type of bonus offered by regulated binary options broker is clearly categorized on Topbinaryoptionsbonus.com. So, just browse around the site to find a bonus you like most.
Your comments and questions are welcome.
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