We have found out that OptionBit is closed.
Lately, we have been receiving a lot of questions about this new broker, OptionBit. As such, we have decided to review them and were rather pleasantly surprised by what we found. Read our review below for our full opinion!
The only unique features they have are from their trading platform itself, which offers 3 trading tools: Close, Extend, and AutoTrade. The Close feature allows a trader to close their trade prior to expiry date for a minimal trade, without risking his or her entire investment. Traders can utilize this feature on a winning trade as well. This tool is similar to ‘Stop Loss’ or ‘Take Profit’ orders that can be found when doing forex trading. The Extend feature allows a trader to extend a losing trade until the next expiry time, again for a minimal cost. This gives traders the options to potentially turn losing trades into winning ones via such an extension. Finally, the AutoTrade feature allows traders to follow an ongoing trend for a set amount of trades. When this feature is utilized, the system will automatically reinvest in the same trade, provided it was a winning one; the first losing trade will cancel the AutoTrade. Hence, this feature allows traders to efficiently capitalize on their own winning trends without risking their initial investment.
While not exactly a special feature, we would like to highlight OptionBit’s bonus withdrawal policy. It is a typical practice for binary options brokers to restrict withdrawals on accounts that have been credited with bonuses until a stipulated minimum trading volume (usually defined as a multiplier of account deposits plus bonuses, with the multiplier usually being in the 20x – 60x range) is met. While common, we look negatively upon this type of policy. However, in OptionBit’s case, they stand out because the multiplier is applied to the bonus amount only, and moreover is only set at 30x, meaning that OptionBit’s minimum trading volume would likely be much lower on an absolute basis compared to most other brokers. Further, traders can withdraw their account funds prior to meeting this minimum trading volume; OptionBit will simply remove the bonus amount (and any subsequent profits). This is much more permissible compared to the standard industry policy, which typically locks in a trader’s deposits as well. Another thing we like is that OptionBit state explicitly in their terms and conditions that a trader is free to reject any bonus offered.
OptionBit uses the TradoLogic trading platform, which while relatively unknown compared to more popular platforms such as SpotOption, is more than adequate for the job. The platform is entirely web-based but is also available for mobile for both iOS and Android. Under this platform, OptionBit offers five types of binary options: digital, one touch, touch/no touch, range, and turbo. Digital is the standard high/low option, while one touch options are more exotic although returns can range from 260% – 550%. Touch/No Touch options are a slight variation of one touch options (option expires as soon as the asset reaches strike price, even if before expiry time) while range options is based on an asset’s price being within a given range (while touch op`tions depend on an asset’s price ‘touching’ a selected price). Finally, turbo options are similar to digital options except that their expiry times are 1, 2, or 5 minutes.
As for the list of assets available to trade, OptionBit currently offers 130 different stocks, 28 different currency pairs, 9 different commodities, and 23 different indices. On an overall basis, we positively note that the large number of stocks it has available to trade, which far exceeds that of most of its competitors.
In terms of support options available, OptionBit currently has phone support options (8 different countries), live chat, email, and web form. One thing we noticed is that while support is available 24 hours; it is only available 6 days a week. This ranks it under most of its competition, which typically offer 24/7 support.
OptionBit offers a very wide variety of deposit and withdrawal options, accepting Visa and MasterCard, as well as numerous payment service providers such as Neteller, Skrill, Webmoney, PaySafeCards, Yandex, GoCash, POLi, and Qiwi. We note however, that they do not mention wire transfers on their website. The minimum deposit amount is $200 which is below the industry average of $250. Traders are also allowed one free withdrawal monthly, with each subsequent withdrawal being charged a $30 processing fee. This is quite unusual as most brokers only charge withdrawal fees for wire transfers only.
Binary Minery Review: OptionBit: 4 stars.