There’s been a huge spike in online trading. More specifically, Binary Options trading. In the same way that the popularity of online gaming and poker grew 8 to 10 years ago, so too is the Binary Options industry. Over the past three years the market has more than quadrupled. Three years ago there were no searches in Google for the keyword phrase ‘Binary Options’. Now, in May 213 there are over 200,000 searches per month just in the US. Considering the US only has two officially regulated Binary Options Brokers, that’s a huge amount of people looking to trade online.
Facebook is still the most visited website on the planet. Despite a small decline in the number of successful social games on Facebook, it is still the biggest hub of all gaming activity on the Internet. But the question is ‘would Facebook users trade online whether for fun or for real inside Facebook?’
Speaking to Commerce On Facebook, head of marketing for Magnum Options, James Allen stated, “I think that Facebook would be an excellent learning ground for people wanting to trade without the risk. I could imagine setting up fantasy investment portfolios in a social and competitive environment with friends on Facebook. This would be a learning curve experience where people would gain the confidence to trade for real. At Magnum Options we prefer our traders to have a good knowledge of the markets when they begin trading.”
But could Facebook realistically become the destination for real money trading? Allen answered “It just depends on regulated markets. I think if the regulated Binary Options brokers planned and launched an application that was exciting enough to attract social users, it could work very well. With social leaderboards, copy trading and other social features, I’m sure it would become very popular.”
Only time will tell, but I think it would be a solid investment for any online trading platform to start looking to develop their social offering. But could regulation stand in the way?
“Regulation always stands in the way,” stated Archibald Dixon professional lobbyist, “but that’s why lobby groups get paid so much money. I don’t think there has ever been an obstacle related to the financial markets which has not been overcome by lobbying. Regulated binary options brokers have already approached us in order to consult with us regarding social trading for real money. I personally would estimate that between six and twelve months from now, we will start to see the first social platforms emerge on Facebook for real money trading and binary options.”