- April 28, 2017
- Posted by: Michael
- Category: Untrusted brokers/systems
TorOption was subjected to our honest inspection. In this review, we will reveal whether is TorOption a binary broker you can trust or a scam you should avoid.
Every binary broker needs to have certain licenses so it could legally operate on the financial market. When searching for TorOption licenses we didn’t find any. But what we found is an alert from Canadian provincial regulator, the Manitoba Securities Commission (MSC), that TorOption illegally conducts their services in Canada as unregistered binary options broker. (source: financemagnates.com).
|Minimum trade:||25 USD|
|Minimum deposit||350 USD|
|Types of options||Classic high/low, 60 seconds, One touch, Ladder|
|Trading assets||Currency pairs, stocks, commodities, indexes|
First impression of TorOption
TorOption is a fairly new broker, which started its operation in 2015. Their website gives very modern and innovative impression. However, currently the broker does not have any licenses and therefore TorOption is not overseen by any regulatory authority. That means your deposits are not insured as when you trade with brokers that have CySEC license. So the broker can do practically whatever it wants. And in real practice most such brokers do, just take a look at Binatex, it is very similar case. I think it is very risky to trade with such brokers, especially when there are no benefits from it. On the binary market, there are far superior brokers with better offers that these licenses do have.
TorOption trading platform
TorOption uses famous trading platform – SpotOption. As you may know, SpotOption is easy to use platform in which is very easy to orientate. Selecting of assets is nicely solved into individual sections: currencies, commodities, indices, stocks. TorOption has only a web-based platform, a mobile platform is not featured. Payouts are not as high as at IQ Option or 24option, but they are still quite decent, they usually range from 70 to 80%. Apart from classic binary options, TorOption also allows CFD trading. Maximum leverage here is 1:500, stop loss or take profit can be set up as you need.
Minimum trading requirements
Trading requirements at TorOption are quite high. The minimum deposit is 350 USD and minimum trade is set to 25 USD. Withdrawals with this “mini” account take 10 days. If you want your withdrawals to be faster, you need to deposit more money. On standard account, which starts from 10000$ it takes about 7 business days. Which is still quite a lot in comparison to a competition where it usually takes from 24 hours to 3 days. If you want to withdraw your money from the broker, you need to have at least at least 50$ on your TorOption account. When you use your credit card you do not have to pay any fees for the request, however, when using a bank transfer, you will pay an additional 25$
Demo account and deposit bonus
TorOption does not include in its offer a free demo account. As you may know, any broker licensed by CySEC is prohibited from offering a deposit bonus. It is for the reason that most of the brokers took advantage of this possibility and they made a really hard time to their traders with their withdrawals. However, TorOption does not legally operate so it can do as it pleases. Deposit bonus here is 10% for traders who deposit 350$ and 50% for deposits over $10000. I would not be even surprised if these numbers were to change when they call to their traders, so they could make their offer even more attractive. They can practically offer any bonus they want, now the question is how many of the traders that accept this bonus will be able to withdraw their money then. If you decide to trade here despite our recommendation, pay a really close attention to terms and conditions they have, especially for their bonuses.
Final word, is TorOption a scam?
TorOption is an unlicensed broker that does not have exactly a great reputation. The overall offer is not bad, however, the broker has quite a high minimum deposit and it does not offer a free demo account. Payouts are decent, but not great either. Therefore, we do not recommend choosing this broker to our traders. We think that your hard made money shouldn’t be at stake with a broker that operates illegally,
Final verdict: Not recommended, reliable competition is several levels ahead.
Average rating of TorOption