HERE ARE THE DISTINCTIONS BETWEEN FOREX, CRYPTO, STOCKS, AND BINARY OPTIONS, WHICH ARE OFTEN CONFUSED.
FINANCIAL CHEST - The revelation of the Binary Option Trading application fraud case that dragged a number of affiliate names which have recently been in the news in the media and the virtual world, in order to attract the attention of the victim, they were shown a glamorous lifestyle, expensive clothes, luxury watches and supercars, making some people are interested in trying out trading games that are always promoted by affiliates with the lure of fantastic profits if you join Binary Options Trading with them using the affiliate link they share, victims are hypnotized to participate in trading with them and take paid trading training classes what they offer in the hope that they will one day become like their role model affiliate, but it's not the profits they make but the losses they endure to the point of selling their assets. These affiliates cause the loss of their victims to hundreds of billions.
The following summarizes the differences in various trading/investment instruments;
Forex exchange/ Commodity is a derivative trade (bilateral contract whose value is derived from its derivative product) whose transactions are carried out online using margin trade.
In forex/Commodity exchange trading, investors only use 3-5% of the contract value, while the contracts traded are EURO against US Dollar (EUR/USD), Pound sterling against US Dollar (GBP/USD), USD/JPY US Dollar against YEN, Gold contracts (GOLD), crude oil contracts (OIL), and so on. the advantage of this transaction is the difference in value from the increase or decrease according to the sell or buy position when you take the position.
Forex exchange/ Commodity is a two-way market, you can get profits when it goes up or down (BUY/SELL), forex trading activities require careful technical analysis, chart charts and can read fundamental data of a country's economy. Forexexchange/Commodity is a legal investment in Indonesia, always use a registered legal broker application on the list that is entered and supervised by the Futures and Commodity Trading Regulatory Agency.
Cryptocurrency is a type of digital or virtual currency that is decentralized using blockchain technology (systems / data storage blocks of distributed network blocks connected to each other), unlike conventional currencies such as Rupiah, Euro, Pound sterling which are controlled by the Authority or Central Bank. the use / payment is made directly by the sender directly to the recipient Peer to Peer so that to control this digital currency is fully held by the user of the digital currency. The profits obtained from this Crypto Investment/trading activity are from the difference between buying and selling transactions as well as Bitcoin mining activities.
Cryptocurrency is a legal investment and several applications are registered on a list that is entered and supervised by the Futures and Commodity Trading Regulatory Agency.
Shares can be interpreted as proof of ownership of a number of company values or a sign of a person's capital participation in a company or limited liability company. Here are two advantages that investors will get in trading stocks.
The first is dividends (the distribution of company profits that will be distributed to the company's shareholders as much as the shares owned by the company's shareholders).
The second is Capital Gain (profits from the difference between buying and selling prices, for example, investors buy XXX shares at a price of 1000 per share and then sell them at 1500 per share, meaning that investors get a profit of 500 for each share they sell). Shares on the Indonesia Stock Exchange are legal investments supervised by the Financial Services Authority.
Binnary Option is a guessing up and down guessing game under the guise of investment/trading that involves instruments such as currencies, stocks, or commodities to trick the victims, as if they look like real trading/investing when in fact they are playing a time-limited guessing game. seconds to minutes, if their guess is correct (up/down) until the specified time (seconds/minutes) they will get 80% profit but if their guess is wrong they will lose 100% of their money.
Unreasonable, guessing games that "say" trading / investment and are limited by a very short time (per second / per minute) can produce fantastic profits. This game is illegal and has never received permission from the competent authorities in Indonesia or in various countries around the world.
This is the difference between various trading/investment instruments that are very clear. In the future, you must understand and study trading/investment products before jumping in and starting trading/investing, so hopefully in the future there will be no more victims of other fraudulent investments.
