Scam watch: £87k a day lost to binary options scams

Published by Helen Knapman on 29 January 2018.
Last updated on 29 January 2018

Scam watch: £87k a day lost to binary options scams

Investors have been warned to be vigilant to the threat of online investment fraud, after the regulator has revealed that £87,000 a day was lost to binary options scams in 2017.  

Binary options allow consumers to make bets on the expected value or price of a stock, commodity, currency or index. These became regulated by the Financial Conduct Authority (FCA) on 3 January 2018. But since then, the FCA has published a list of 94 firms trading without FCA authorisation.

It adds that fraudsters offering investments in binary options, contracts for difference (CFDs), forex (foreign exchange) and cryptocurrencies, such as Bitcoin, often promote themselves online and via social media channels, such as Facebook, Instagram and Twitter.

These adverts typically promise high returns and use images of luxury items, such as expensive watches and cars, to entice people to invest in their scams.

However, after someone has invested, companies distort prices on their website, tie people in with extreme pay-out clauses and even close customer accounts, refusing to pay back their money.

Historically, people aged over 55 have been most at risk to investment fraud. But the FCA’s latest study found those aged under 25 were six times (13%) more likely to trust an investment offer they received via social media, compared with over 55s (2%).

The research comes as part of the FCA’s ‘ScamSmart’ campaign (, which aims to help consumers avoid investment and pensions scams, and enables them to report a scam or unauthorised firm. 

Countdown presenter and former adviser to Lord Alan Sugar, Nick Hewer, who is supporting the campaign, says: “The amount being lost every day to online investment fraud, such as binary options scams, is staggering.

“It’s vital for all those on social media to be extra cautious about engaging in any conversations or with adverts that relate to quick-wins or guaranteed returns, especially with individuals or companies you do not know. Remember, if it sounds too good to be true, then it probably is.”

How to avoid investment scams

To reduce the chance of falling victim to investment fraud, the FCA advises consumers to:

  1. Reject unsolicited investment offers, whether made online, on social media or over the phone.
  2. Check the FCA Register before investing to see if the firm or individual is authorised, and check the FCA Warning List of firms to avoid.
  3. Get impartial advice before investing. 

Suspected investment scams can be reported to the FCA at or via its contact centre on 0800 111 6768.

Visit Moneywise’s How to be Cyber Aware hub for advice on protecting your money online. 

Leave a comment

its all a scam, i traded with

its all a scam, i traded with different brokers, most of them disappear when you make withdrawal request, some of them will try to convince you not to withdraw and instead invest more while others will actually allow you withdraw a little amount so they can build your trust and after that they begin to make large requests. i lost allot to these fraudulent brokers, i was depressed for months until i came across binaryoptionassetrecovery, com . when i met them i didn't believe they could get back my money because i've been scammed allot already and didn't know what to believe, but my gut feeling to ld me to give it a try and i did, im happy i did!

Recently recovered my funds

Recently recovered my funds from a scam broker, i hired a professional it was quick and efficent. Glad to share my experience with others.Binaryoptionrecoveryspecialist(dot)(com)

One wouldn't really think

One wouldn't really think much of this, all I really wanted to do was invest and be part of it but the way I was misled by this brokers was terrible, to easily take money from all in the name of investment and when I wanted to make withdrawals every single attempt was fruitless with constant hassle to invest more I really can't say more than I have already said. I would really consider myself to be one of the very few lucky ones as I was able to have my funds recovered from this scam Binary option brokers, although it was through unethical means as far I am concerned but what can I care after how my hard-earned funds where taken from me, these guys are the best in less than 7days all my funds including bonuses had been recovered, If your broker lost your funds trading Binary options wealthrecoverynow dot co are more than able to get your funds back without any traces. Best of luck people.

How I got my lost funds

How I got my lost funds recovered in binary options investment, through the help of Richardraymond I have been in a deep shit all this while I almost lost all I have been investing from day one, I tried all I could to remain unbeatable I never gave up, sometime ago I was referred by a friend to one Mr Richard for assistance with his master class intelligence and strategy I'm able to make $10,000 weekly and also rocovered all my lost funds. I'm so happy.
If you need his help you can contact him through his email

Finally, I have been able to

Finally, I have been able to retrieve most of my lost funds of about $450,000,which I never believed I would get again from an unregulated broker who stocked my trading capital for over 4 months, and denied my access to my trading account. I’m so glad that I have gotten back all my funds back without stress, All thanks to my cousin who introduced me to a certified binary option recovery expert. is your Broker manager asking you to make more deposit before you can place a withdrawal, have you lost money from any investment online? , or do you have funds that you want o withdraw online? are you confused and you don’t know how to go about ? Contact

I am open to share my

I am open to share my experience and to also enlighten everyone on how i was able to recover my money from a scam broker .

Open to share my Ordeal

Open to share my Ordeal