What are binary options?

How it works in practice

• Choose the asset: Bitcoin, Ethereum, gold, oil, stocks or currency pairs.
• Choose the time: the trade can expire in 30 seconds, 1 minute, 5 minutes or more.
• Choose the direction: buy (you think it goes up) or sell (you think it goes down).
• Wait for expiration: if the price closes on the side you chose, you receive the invested amount plus the profit.

Example with numbers

You invest US$ 10 in Bitcoin predicting a rise, with a 1-minute expiration and a 90% payout. If the price closes above the entry value, you receive US$ 19 (US$ 10 back + US$ 9 profit). If it closes below, you lose the amount invested in that trade.

What's the difference between binary options and traditional day trading?

In traditional day trading, profit depends on how much the price moved in your favor. In binary options, the return is fixed and known before opening the trade: you already know how much you can win and how much you can lose.

How much do I need to start?

On Syphex the minimum deposit is US$ 10 and each trade can start at US$ 1. Before that, you can practice for free in the demo account with US$ 10,000 virtual.

Is there risk?

Yes. Trading binary options carries a high risk of losing your capital. Never invest money you cannot afford to lose, and start small after practicing on the demo.