It is not required to obtain license for binary options, but why do you need it? For example, you can register a company in offshore zone, where practically do not pay attention at the activities of financial companies. However, very often brokers tend to obtain licenses even in different states at the same time.
The benefit for the company on the availability of licenses for binary options is the trust of potential customers. Which broker do you prefer: registered in Malta and controlled by nobody, or the one whose activity under the supervision of a reliable financial regulator?
Typically, in order to obtain brokerage license it is required to pass through several stages:
- Registration of the company;
- Submission of the list of documents to the government agency dealing with licensing;
- Submission of additional documentation (if applicable);
- Obtaining of the license or a motivated refusal