Thailand

Binary Options Trading in Thailand

Thailand may be known more as a tourism destination, but it is also a financial hub because of its close proximity to Singapore and Japan. Thailand has a robust financial market system which features the trading of currencies, futures trading (on TFEX, the Thai Futures Exchange) as well as stock trading on the Stock Exchange of Thailand (SET). How does binary options online trading fare in Thailand?

The financial markets in Thailand are overseen by the Bank of Thailand, which is the country’s central bank. The Thai Securities and Exchange Commission (SEC) has oversight over the country’s stock and futures markets. Thailand has a restricted Over the Counter (OTC) derivatives market, which allows the trading of currency and interest rate derivatives on TFEX. This is akin to the exchange-traded options found in the US binary options online market. However, Thailand does not have locally-based online binary options online brokers. Most Thai binary options online traders do their business using offshore brokers in a variety of locations such as Europe and Japan.

The Bank of Thailand has a well-defined regulatory policy for the forex markets, but is silent on binary options online. The Bank of Thailand also has guidelines on the purchase and remittance of foreign exchange. These guidelines will have some bearing on how Thai binary options online traders can remit money to offshore brokers. In Thailand, all proceeds of trading are subject to taxation.

 

TOP BROKERS IN THAILAND

REVIEWMIN DEPOSITAVG RETURNSVISIT BROKER
$25085% VISIT SITE
$25095% VISIT SITE
$25080% - 90% VISIT SITE
$5095% VISIT SITE

 

Currency Pairs & Spread

The Thai Baht is not traded on any of the known binary options online platforms, and neither is the local stock index. As most Thai traders trade with Cypriot binary options online brokers, they tend to trade other assets popular among the Asian zone. Yen-based assets such as the Yen currency crosses are quite popular, as are currency assets that feature the Chinese Yuan (CNY).

These platforms do not feature spreads, even though these are used to calculate the expiry value of assets prior to payouts.

 

Trading Platforms

Turnkey platforms used by majority of European brokers are what Thai binary options online traders are exposed to. The top binary options online brokers use turnkey platforms designed by Tech Financials, Tradologic and SpotOption, with a few brokers using those of O-Systems and Hello Binary.

 

Bonuses

Whether or not binary options online bonuses will be awarded will depend on the binary options online brokers used by Thai traders. Generally speaking, CySEC-regulated brokers and brokers located in Japan are prohibited from awarding deposit bonuses. But if the traders decide to use brokers in other areas such as Vanuatu and Seychelles, they will be offered bonuses.

 

Deposit and Withdrawal Options

Deposits and withdrawals made by Thai traders with their offshore brokers must be viewed in the context of the Exchange Control Act, which mandates how the Bank of Thailand regulates the purchase and remittance of foreign currency.

Thailand operates a deregulated foreign currency market.

  • Thailand citizens are allowed to maintain domiciliary accounts.
  • Thai binary options online traders are allowed limitless transfers of foreign currency in and out of the country.
  • Any foreign currency remitted into a Thai domiciliary account from an offshore source must be immediately converted into the local currency,, usually by sales made to authorized banks.
  • Deposits into a domiciliary account to be used for onward transfer to an offshore broker cannot exceed $10,000 per day.

With this in mind, Thai binary options online traders can use the following means of transaction to fund their binary accounts with offshore brokers:

  1. Bank wires from domiciliary accounts. The top binary options online brokers offer this method to all Thai binary options online traders.
  2. Cards: Cards issued by VISA, JCB and MasterCard are popular among Thai traders and can be used for deposits and withdrawals, subject to confirmation.
  3. Digital wallet adoption in Thailand has been very slow. The first local digital wallets were only launched in late 2016. Thai traders will therefore be able to only use international wallets such as those from Skrill, Neteller and WebMoney.
  4. Cryptocurrencies: If the offshore broker accepts deposits in Bitcoin and Ethereum, any of the few Thai-based cryptocurrency wallet providers such as Omise can be used for transactions.

 

Legality & Regulations

So what are the legal considerations and regulatory conditions attached to binary options online in Thailand?

  • Online binary options online in Thailand are not regulated financial products.
  • Thailand is gradually emerging as the next big trading hub in Asia, given its proximity to Japan and Singapore. A study done in 2016 by Cpattern reveals that Thailand was 6th worldwide in terms of the amounts deposited in new trading accounts. This piece of data supports the findings which show that brokers in Europe and Japan are jostling to gain control of this market.
  • Trading of binary options online is not restricted by the Thai regulators. In fact, it goes on so freely that Thai citizens can open accounts with offshore brokers and fund them within the limits of the Bank of Thailand’s forex regulations.
  • The Bank of Thailand regulates foreign remittances according to its mandate drawn from the Exchange Control Act.

 

FAQ

Here are the frequently asked questions that most people have about trading binary options online in Thailand.

  • Are binary options online legal in Thailand?

Answer: The trading of binary options online is presently not prohibited in Thailand, making it legal to do so in Thailand.

  • Is it safe to trade binary options online in Thailand?

Answer: The safety of trading binary options online in Thailand depends on what brokers are used. Majority of Thai traders use Cypriot and Japanese brokers, majority of who are regulated. There are also a number of trading blogs and online forums run by experienced Thai traders. This makes it relatively safe to trade binary options online in Thailand.

  • As a Thai citizen, am I allowed to trade binary options online with offshore brokers?

Answer: Thai traders are allowed to trade with offshore binary options online brokers with no restrictions.

  • How much money can I transfer out of Thailand to fund my trading account?

Answer: The Bank of Thailand permits Thai traders to fund overseas investment accounts with an unlimited amount of foreign currency. Supporting documentation must be provided.

  • My broker accepts Bitcoin. Is it possible to purchase Bitcoin with Thai Baht?

Answer: Thai binary options online traders can purchase Bitcoin with Thai Baht in local Bitcoin exchanges such as BX.in.th Bitcoin Co. Ltd and Coins.co.Th. These are Thai-based Bitcoin exchanges.

 

Best Binary Options Brokers in Thailand

With the absence of local binary options online brokers in Thailand, Thai traders trade mostly with regulated brokers in Europe and Japan. Here is our compilation of the top binary options online brokers in Thailand:

REVIEWMIN DEPOSITAVG RETURNSVISIT BROKER
$25085% VISIT SITE
$25095% VISIT SITE
$25080% - 90% VISIT SITE
$5095% VISIT SITE

 

Conclusion

The popularity of binary options online trading in Thailand is soaring, which is why many offshore brokers are targeting the local trading population. Part of the offering that these brokers provide is the opportunity to trade on these platforms in Thai language.

The market is expanding and there are lots of opportunities, which have also been fuelled by the non-restrictive foreign exchange regime provided by the Bank of Thailand. However, Thai traders must be alert to avoid the scams that have wreaked havoc in Israel and Romania. Many of these expelled brokers are looking for new safe havens. The only way to avoid falling into the hands of some of these scam brokers is to trade with our list of recommended brokers above.