At the plenary session of the Knesset approved second and third readings the amendment to the securities law that prohibit trading binary options.
Voted for the bill 51 MPs who opposed were not. The bill, initiated by the securities Department, and imposes a categorical ban on trading binary options even if it is not aimed at Israeli citizens, and clients from abroad. Previously, the law banned the sale of binary options the Israelis.
In addition, the law gives the Office of the securities authority to apply sanctions against Israeli traders that have been convicted of foreign nationals in transactions for the sale of binary options. The involvement of the financial mechanism of binary options or other similar financial mechanism will be considered a violation of the law on money laundering.
Binary options is a kind of high-risk and high-yield investments in which the investor puts on one of the two possible outcomes of the auction (whether the price of a certain product at a certain time above or below a certain value).
In the explanatory note to the bill stated that as presently drafted, the law prohibits the sale of binary options Israeli customers, unscrupulous traders have used this loophole and began a broad campaign of transactions with clients from abroad, and the Supervisory authorities of Israel had nothing to do with it. Israeli authorities received a lot of complaints and claims from deceived foreigners and the prestige of the Jewish state in the world seriously affected.