Binary Trading In India | Legality, Brokers, Apps & Tutorial

Binary options trading is currently unregulated in India. A binary option is an “all-or-nothing” derivative instrument in which you can either receive a fixed payout of up to 95% of your invested amount (depending on the binary broker and specific asset) if you correctly predict the direction of the asset’s price—or lose 100% of your investment if your price forecast is wrong.

When trading binary options, Indian traders typically rely on offshore binary options brokers, many of which have unvetted track records and are extremely risky to use. That said, there are a few reputable offshore brokers available.

Is Binary Options Trading Legal in India?

Binary options trading is currently neither legal or explicitly prohibited in India. Technically, you may freely access and create a trading account with offshore brokers or platforms and trade various binary options—including those based on crypto, stocks, indices, forex pairs, and commodities in India. However, brokers offering binary options operate beyond the oversight of Indian regulatory authorities.

How is Binary Options Trading Regulated in India?

There is currently no established regulatory framework specifically addressing binary options trading. The Securities and Exchange Board of India (SEBI) and the Reserve Bank of India (RBI) are the country’s two financial regulators that oversee all financial trading activities but not specific Binary Options.

Nevertheless, note that SEBI has the authority to block access to unauthorized trading websites (including those offering binary options). Hence, it’s crucial that you exercise maximum caution and only put money you can afford to lose. Offshore Binary Brokers are not authorized by the SEBI.

What are the best Binary Trading Brokers and Apps in India? 

These are the Top 3 Binary Options Brokers and Binary Apps which are legal in India:

1. Pocket Option

Best for: Both Beginner and Experienced Traders

Overview: Pocket Option is the winner in our Binary Options broker comparison for Indian traders. Established in 2017 in Saint Vincent and the Grenadines, the broker is known for its user-friendly platform and low $5 minimum deposit. Available on both PC and mobile devices (iOS and Android), it provides a seamless trading experience. The platform also offers a wide range of technical tools and educational resources, making it ideal for traders of all levels, from beginners to experts.

Is Pocket Option legal in India?

Yes, Pocket Option can be easily accessed and used by Indian traders for binary options trading. It is also not explicitly banned by SEBI. However, Quotex likewise remains unregulated in the country.

Key Facts Table of Pocket Option for Indian Traders:

Feature	Pocket Option
Accepts Indian Traders	Yes
Deposit Requirement	At least $5 (or its equivalent in INR)
Minimum Trade	As low as $1 (or its equivalent in INR) per trade
Minimum Withdrawal	At least $20  (or its equivalent in INR) per request
Payout Rate	23% to 92%, depending on the asset
Support Channels	Email, Platform Chat, Phone, Contact Form, Telegram, and Social Media

2. Quotex

Best for: Both Experienced and Advanced Traders

Overview: Founded in 2019 in Saint Kitts and Nevis, Quotex is recognized for its high payout ratios and excellent free trading signals, setting it apart in the binary options market. The platform also features a broad array of technical analysis tools, making it a great choice for seasoned traders seeking to conduct detailed analysis and implement advanced trading strategies.

Is Quotex legal in India?

Yes, Quotex can be used by Indian traders to trade binary options. That said, while it is not explicitly banned by the Securities and Exchange Board of India (SEBI), Quotex is also not regulated, making it incredibly risky.

Key Facts Table about Quotex for Indian traders:

Feature	Quotex
Accepts Indian Traders	Yes
Deposit Requirement	At least $10 (or its equivalent in INR)
Minimum Trade	As low as $1 (or its equivalent in INR) per trade
Minimum Withdrawal	At least $10 (or its equivalent in INR) per request
Payout Rate	20% to 93% depending on the asset
Support Channels	Email, Phone, Contact Form, Ticket,  Telegram, and Social Media

3. Binarium

Best for: Beginner/Inexperienced Traders

Overview: Established in 2012 in Belize, Binarium is known for its accessible $5 minimum deposit and withdrawal, along with its exceptionally simple and intuitive interface. This makes it a perfect option for beginners with limited or no experience in financial markets. Moreover, its trading platform, available on both PC and Android devices, is highly user-friendly and designed for effortless navigation, even for those entirely new to trading.

Is Binarium legal in India?

Yes, Binarium follows Quotex and Pocket Option as one of the brokers that can be reliably accessed in India. SEBI has also not specifically banned Binarium in the country. That said, note that it is also unregulated in India.

Key Facts Table about Binarium for Indian traders:

Feature	Binarium
Accepts Indian Traders	Yes
Deposit Requirement	At least $5 (or its equivalent in INR)
Minimum Trade	As low as $1 (or its equivalent in INR) per trade
Minimum Withdrawal	At least $5 (or its equivalent in INR) per request
Payout Rate	10% to 85% depending on the asset
Support Channels	Platform Chat, Email, Phone, Contact Form, Social Media, Help Center

Can I trade Binary Options via an App in India? 

Absolutely! You can trade binary options using mobile app versions of Pocket Option (available on both iOS and Android), Quotex (only available on Android), and Binarium (only available on Android). 

What Is the Best Binary Trading App in India?

Pocket Option is arguably the best binary options trading app in India. This is largely due to the fact that it supports both iOS and Android, unlike other brokers—including Quotex and Binarium—which can only support Android devices. Also, it’s incredibly easy to download and set up, and it runs smoothly on both iOS and Android devices with relatively minimal blackouts.

Moreover, Pocket Option offers excellent trading conditions for binary options, with up to 92% payout rate, a wide variety of asset classes and individual binary options, as well as a low minimum deposit (only $5 or its equivalent in INR) and a low minimum trade amount (just $1 or its equivalent in INR).

How to Trade Binary Options in India:

These are the five simple steps to start trading binary options in India:

• Pick a legal Binary Options platform in India
• Sign up for a trading account
• Start with a demo account
• Deposit money and start live trading
• Fund withdrawal

Step 1: Pick a legal binary options broker or platform

To begin, you will need to select a broker that provides binary options trading in India. To make your decision easier, we highly recommend the above three brokers, as each offers distinctive features and advantages that set them apart.

Step 2: Sign up for an account

The next step involves setting up an account. For example, here’s how you can register for a Pocket Option account in India:

Begin by visiting Pocket Option’s official website at www.pocketoption.com. Then, click the ‘Sign Up’ button to continue the registration process.

You’ll then be taken to a registration page where you can sign up using your email address or by linking your Facebook or Google account. Once completed, you’ll gain access to your newly created Pocket Option account and can start exploring its trading tools and features.

Step 3: Start with demo trading

The next step is to practice trading using your broker’s demo account. This is particularly valuable for beginners who want to get accustomed to the basics of binary options trading. In fact, even seasoned traders can benefit from testing out the platform’s tools and features. For example, here’s how to use the demo account on Pocket Option:

After registering, find the “QT Real” button at the top-right corner, which indicates your live trading account and shows your deposited funds. To switch to demo mode, click on it to open a dropdown menu and choose the ‘QT Demo’ option. This will switch your account from live trading to demo trading.

As highlighted, you now have $50,000 in demo funds to practice and experiment with various trading strategies before moving on to live trading.

Step 4: Deposit money and start live trading

Once you’ve practiced using the demo account and feel confident, you can consider switching to live trading. Here, the first step is to fund your broker account. Below, we outline the process and deposit options available for Pocket Option in India.

To start, go to Pocket Option’s platform and click the “Top Up” button in the top-right corner. Next, under “Payment Method,” select the “Choose another” option to reveal all available payment methods in the country.

You’ll then arrive at Pocket Option’s main deposit screen, showcasing various options for users in India. These options are grouped into several categories: “Popular,” which includes the most commonly used methods like UPI and Perfect Money; “Cards,” featuring Visa and Mastercard; “E-payments,” covering locally-used electronic payment systems; and “Bank,” which offers IMPS.

As you scroll down, you’ll find a wide selection of cryptocurrencies available for deposits.

Step 5: Fund Withdrawal

The final step is to withdraw your funds, whether it’s your initial capital or earnings, from the broker’s platform. Here’s how to process a withdrawal on Pocket Option:

In the Finance tab, click the “Withdrawal” button next to the ‘Deposit’ button. From there, you can begin your withdrawal request. As shown, the withdrawal process usually takes anywhere from a few minutes to up to 3 days, depending on your chosen payment method, from the time you submit your request until the funds are credited to your account.

Can You Get Punished For Trading Binary Options in India?

Since there is currently no established local regulatory framework specifically on binary options trading in India, the local violations and corresponding penalties, as well as legal consequences, remain unclear. Nevertheless, you will still be subjected to regulatory scrutiny and penalties under existing local Indian laws if you become entangled in any fraudulent activities related to binary options trading.

How do Indian traders make money in binary options trading?

Like other trading endeavors, Indian traders make money from binary options through correct forecast of price movement. That said, unlike mainstream tradable assets such as stocks and forex, in binary options, the payout is fixed per trade. This is important as the payout rate—depending on the broker and specific binary option—can only go as high as 95% of your invested amount when your forecast is correct. 

On the other hand, you stand to lose 100% of your invested amount if your forecast is wrong. This gives you a negative expectancy unless you develop an “edge” that will allow you to win to offset this skewed risk-to-reward.

What is the Best Time to Trade Binary Options in India?

Generally, it’s best to trade binary options when both volume and volatility are at their highest. This usually occurs during major sessions overlap and during the first hours after the US market opens. Hence, depending on the asset class the binary options are based on, here are the corresponding Indian Standard Time (IST) equivalents:

Binary Options Asset Class	Best Time to Trade (in IST)
Forex Pairs	6:30 PM – 10:30 PM IST
Stocks and Indices	8:00 PM – 10:30 PM IST
Commodities (Gold and Oil)	6:30 PM – 10:30 PM IST

How much do I need to start Trading Binaries in India?

Although the minimum deposit requirement varies by broker, most platforms in India only require $5 to $10 (or its equivalent in INR). Of our recommended brokers, you can begin trading with just $5 on Pocket Option and Binarium, while Quotex requires a $10 deposit to start live trading.

Can I open multiple binary options accounts with different brokers in India?

Absolutely, you can open different accounts with multiple binary options brokers in the country. Just remember that most brokers prohibit users from having more than one account with the same broker. Hence, if you want multiple accounts, you’ll need to open each one with a different broker.

Do binary options brokers offer local language support for India?

Yes, certain brokers, such as Pocket Option and Quotex, provide Hindi language support. To find out what languages a broker supports, visit their official website. Then, you’ll typically see a flag icon representing the current language use (English as default). Simply click on the icon to view the full list of supported languages.

What are the deposit and withdrawal methods for binary traders in India?

Deposit and withdrawal methods can vary greatly depending on the broker you choose. However, here are the most commonly used payment methods in India:

Bank Cards

• MasterCard
• Visa

E-payments

• UPI
• Perfect Money

Cryptocurrencies

• Bitcoin (BTC)
• Ethereum (ETH)
• USD Tether (USDT)
• USD Coin (USDC)
• Binance Coin (BNB)

Can I use cryptocurrency to trade binary options in India?

Yes, cryptocurrencies are accepted as a payment option. In fact, many brokers, particularly the three brokers we covered — Pocket Option, Quotex, and Binarium — support various digital currencies, notably Bitcoin, Ethereum, USD Coin (USDC), and Tether (USDT).

What are the taxes for binary trading in India?

Income from binary options trading is typically classified as “speculative income” and is taxed at a flat rate of 30%. When it comes to earning potential profits from binary options trading, India’s tax authority—the Central Board of Direct Taxes (CBDT)—requires taxpayers to report all income, regardless of its source.

What are the Best Strategies for Binary Trading in India?

The best trading strategies for binary options in India are those that work well with the inherent fast-paced nature of binary options, which usually lasts as short as a few seconds to minutes. For Indian traders, we recommend looking into these strategies:

• Candlestick and Pattern Reversal Strategy – Indian traders can utilize this strategy by looking for potential chart reversal setups (e.g., engulfing and harami patterns) at key support and resistance levels that develop on minute and hourly time periods.

• RSI or Stochastic Divergence – Using momentum-based oscillators such as RSI and Stochastics (STS) also work great for binary traders in India. A divergence happens when either RSI or STS begins to move in the opposite direction of price, hinting at a possible countermove.

• Trend Following Strategy – Indian traders can find this strategy to work great if there is a strong trend (uptrend or downtrend) ongoing. Here, you can simply trade in the direction of the trend as it is most likely to continue, especially if there are no clear reversal signals.

• Hedging Strategy – This trading strategy involves either taking an opposite position in the same binary option you currently hold or trading a different binary option that typically moves against that class of binary option. For example, a gold-based binary option usually moves against the direction of big-name stock-based binary options (e.g., Apple, Tesla).

• Martingale Strategy – Lastly, this strategy is perhaps the riskiest you can implement. Martingale is essentially a betting system in which you double the size of your position after each binary options trading loss you incur. The idea behind this is that you can potentially recover all your prior losses plus a profit with a single big win.

What are the secure alternatives for binary options trading in India?

Like in many countries, binary options trading in India is unregulated, which means there are virtually zero legal safeguards for Indian traders engaging in binary options. Therefore, if you prefer much safer alternatives, we instead recommend trading asset classes such as stocks, indices, forex, and commodities, which are offered by SEBI-regulated brokers. Traders can use financial instruments like futures, options, or other types of derivatives.  

Note: In stocks, you trade shares of publicly-listed companies. Meanwhile, in forex, you trade currency pairs; and with commodities, you trade basic commodities such as gold and oil.

Here are SEBI-regulated brokers where you can trade these assets:

• Zerodha
• Angel One
• 5Paisa
• ICICI
• HDFC

How Safe is Binary Trading in India?

The safety of trading binary options in India heavily depends on your choice of broker. When you use one of the trusted platforms that we personally recommend, like Pocket Option, Quotex, or Binarium, then you’re operating within a relatively secure environment, thanks to their strong track records. On the other hand, many brokers in this space lack proper regulation. Hence, using these unverified brokers or platforms can put your deposited capital at significant risk.

Conclusion: Binary Trading is Available in India

All in all, despite the lack of clear regulations regarding binary options trading in the country, it remains highly popular in India, particularly through the three recommended binary options brokers we highlighted in this guide. Furthermore, we can also observe how much users in the country rely on locally available payment channels, notably UPI and IMPS. This shows how accessible binary options trading in the country is.