The Ontario Securities Commission (OSC), the financial markets regulator for the Canadian province of Ontario, has issued two warnings against an unlicensed binary options company which has no authorization to provide binary options products to potential customers in Ontario.
One particular warning cites a company named Eufala Marketing Limited doing business as gtoptions.com and 777binary.com, which the regulator has stated operates from an address in Anguilla and does not possess the relevent licenses to operate in Ontario.
The second warning, which applies to the same company but under a different trading name, relates to Eufala Investments Ltd, also doing business as gtoptions.com and 777binary.com and operating from the same address in Anguilla.
In contrast to the law south of the border in the United States, Canada permits off-exchange binary options, however it is relatively unpopular in Canada, and companies wishing to operate in Ontario require specific licensing and regulatory oversight from the Ontario Securities Commission.
Indeed, so few are the binary options brands in Canada, that many traders use overseas companies which are often licensed in Cyprus, the UK or other regions with well recognized financial markets regulatory structures that encompass binary options and recognize it as a financial instrument.
Despite this, however, LeapRate contacted the Ontario Securities Commission, whose representative clarified that in order to solicit business from customers in Ontario, all entities should have an Ontario Securities Commission license.
For the full announcement from Ontario Securities Commission, click here.