TradoLogic – White label platform provider – BinaryOptions

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TradoLogic – White label platform provider

TradoLogic is one of the three big white label brokers that split up most of the binary options market even though most traders are completely unaware of it. Regardless of the name of your broker, you might trade with TradoLogic, too. This article helps explain the white label model, and who Tradologic are.

This article answers these questions:

  • What Is TradoLogic?
  • Why Do I Have To Know TradoLogic?
  • Can I trust TradoLogic?
  • How Can I Find A Better Broker Than TradoLogic?

With this information, you will understand TradoLogic, and you will be able to protect your money.

What Is TradoLogic?

TradoLogic is a white label broker for binary options. This means they are what General Motors is to GM, Chrysler and Cadillac. They provide the technology, the basic functionality of the product, and the infrastructure in the background. Then a brand takes these products, puts their logo on them, and sells them to the end customer.

With binary options, this system requires a white label broker and a customer who has its own broker brand. The white label broker provides the trading platform, the banking, and the customer support, the customer provides the name and the logo, and chooses from the different styling options.

This means that all TradoLogic brands are effectively the same broker. They might look different on the surface, but they will always offer the same payouts and same banking options. Under the surface, they run the same technical programs, which is why they will always create the same outcome.

TradoLogic provides white label services for many different trading styles. They have offered CFDs and spot forex for quite a while, and started to offer binary options when the industry began to boom. It is an established company and has been around for quite a while.

TradoLogic is one of the leading providers of white label binary options solutions. Its main competitors are SpotOption and TechFinancials.

Why Do I Have To Know TradoLogic?

As a binary options trader, you will probably never deal directly with TradoLogic. Nonetheless, there is good reason to know the white label broker because you are likely to indirectly deal with them.

Once you form an opinion on TradoLogic, you understand a large part of the binary options world. If one TradoLogic broker is good for you, most others will be fine, too. If one TradoLogic broker is bad for you, you should stay away from all of them.

You can greatly simplify your broker comparisons by understanding the four great groups of brokers:

  1. TradoLogic brands,
  2. SpotOption brands,
  3. TechFinancial brands,
  4. Brokers with their own trading platforms, for example IQ Option or Binary.com.

You have to do a little research with the last group (take a look at our broker list, for example), but it is well enough to test one broker of each of the first three groups. We would recommend staying away from all of these white label brokers, but more on that later.

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For now, the important point is understanding the system. There are three white label brokers, and regardless of which of their brands you use, you always trade with the same system.

Can I trust TradoLogic?

The most popular TradoLogic brand is a broker called Option Bit. When you open the Option Bit website, Google Chrome will issue a warning message that you are dealing with a scam. This warning is well-justified.

There are five reasons why you should be careful to trust TradoLogic. They are:

1. You Are In A Heavily Disadvantaged Position

The problem with TradoLogic is that you are gambling against the house. Regardless of which brand you are using, TradoLogic creates the payouts and the binary options types in which you invest. Just like a casino only offers games of which it knows it will make a profit, TradoLogic only offers payouts that are in their favour.

This system is not inherently bad. There are many gambling games online. Some are based on cards, others on slots or roulette balls. Why not have one based on the financial market? Similarly, the fact that you are investing against your broker would be fine as long as your broker offers fair payouts that only take as much money from you as you would pay in fees with other forms of investing.

In this case, the system would be the same as with other financial investments. Some traders would make money, some traders would lose money, and the broker would take a cut when the money shifts from side to side. This is how every financial market works.

2. Beware Of Scams

There are plenty of reports of scammed Option Bit and TradoLogic customers.

Apparently, one popular method is to deny the traders the withdrawal of their money based on alleged security concerns. The TradoLogic withdrawal process is intentionally complicated, which makes it difficult for traders to do everything right. For some traders, small mistakes meant that they will never get their money back. This behaviour is unjustifiable. Internet security is important but hiding behind its mask to keep a traders money is wrong.

Other traders reported that they were pressured into making large deposits. Once they had put in a little cash, their personal consultant called them, urging them to invest more in exchange for additional bonuses. These and other similar tactics are covered in more detail in our scams page.

3. False Promises

Some traders report that TradoLogic promised them features such as personal account managers that failed to work in their best interest. While their account managers urged them to deposit more money, they became silent shortly after the traders complied with the request.

Similar reports extend to customer support. Traders complain that the staff was either incompetent, overwhelmed, or simply absent. In any case, they were unable to provide help.

Finally, TradoLogic brands often advertise much higher payouts than you can actually achieve. While there are claims of payouts around 90 percent, the average payout in real-life trading is often significantly lower.

This difference is a problem because payouts are the number one factor in your success. Since you get a payout with every single trade, lower values accumulate in the same way as with the rice grain and the chess board. Short-term investments such as binary options allow you to make many trades a day, which is why these effects will accumulate quickly.

All three of the big white label binary options brokers are based in Israel. The Israeli government has grown so disenchanted with them that they have undertaken significant legal actions to crack down on white label brokers.

Brand owners were arrested on accusations of fraud, blackmail, making threats and operating a false trading system. Decide for yourself whether you want to sign up with a business that faces this kind of trouble.

How Can I Find A Better Broker Than TradoLogic?

Luckily, there are many better binary options brokers than TradoLogic. You can recognize them by paying attention to a few significant characteristics. These are:

  • Government regulation. Trustworthy brokers accept government regulation. The government checks the business’s financial legitimacy and makes sure that you always get a fair service. Make sure that your broker is regulated by the European Union or the United States.
  • Self-made trading platform. Brokers that created their own platforms have to use much more trader-friendly systems. They are on their own, and trustworthiness is their most valuable asset. Brands of white label brokers are just among many, which is why they are replaceable. When a brand loses the traders’ trust, the broker will simply open a new one.
  • Simple process, clear communication. Brokers that use intentionally complicated withdrawal processes do so with good reason. They want to gain the ability to deny you your money. Whenever your broker employs significantly more complicated methods than your bank or your stockbroker, be careful. We all have some experience with online banking, and we understand what reliable online security means. Use your common sense.

Check for these three criteria, and you can quickly separate trustworthy brokers from untrustworthy ones.

Conclusion

TradoLogic is a white label broker for binary options. They provide the trading platform, the payment management, the customer support, and other essential features for their brands. While the white label system is widespread among all types of industries, TradoLogic offers a questionable service that you should avoid.

There are numerous reports of questionable businesses with TradoLogic and other white label binary options brokers, including a large-scale crackdown by the Israeli police. We recommend staying away from all business that have experienced such troubled times.

You can find a better binary options broker by choosing a government-regulated broker that uses its own trading platform. You can find a selection of the best of these brokers in our broker list.

White Label Platforms

White label trading platforms dominate the binary options market. 90 percent of all traders trade with them, even though most of them may not know it. This article explains what white label brokers do, their prices and costs, and why you need to understand them.

This article will answer these questions:

  • What Is A White Label Broker?
  • What Do White Label Brokers Provide?
  • The Problems With White Label Brokers
  • Which White Label Brokers Are There?
  • Should I Use A White Label Broker?

What Is A White Label Broker?

White label brokers have an interesting business model. They provide everything a broker needs from banking to trading software, but they allow other people to put their branding on their products and sell them to the end customer.

When you trade with a white label broker, you may not know it. All you see is a normal trading interface, a typical broker branding, and a perfectly normal website. However, this is everything the broker does by themselves. The entire rest of their trading platform – everything you don’t see that makes the technical side of the business work – is run by a white label broker.

Rebrand

White label products are a century-old fixture of the business world. Today, many Chinese firms sell white label products that are branded by their Western partners because they sell more items this way than by selling them under their own brand. Among others, this applies to mountain bikes, tooth paste, and electronics.

Even the investment world has seen many white label solutions. For example, when CFDs became popular, many established brokers and banks wanted in on the growing market without programming their own solutions. White label CFD brokers allowed them to offer the service to customers without having to develop their own products – a win-win situation.

Binaries A Logical Step

Adapting the same idea to binary options seemed like a logical step. Creating a trading platform is a difficult and expensive process and there are many requirements that the platform has to deliver. Prices have to be on time and exact, the execution of trades has to be spot on, and customer management and customer support require huge systems. A single mistake in one of these areas could land someone in jail. In this environment, it makes sense that new brokers decide to purchase their systems from a trustworthy source with a lot of experience.

White label brokers make up almost the entire binary options market. Of the many, many binary options brokers, only a handful uses their own trading systems. All other brokers use the systems of white label brokers. There are hundreds of brokers but only about a dozen trading platforms (though these numbers keep changing).

What Do White Label Brokers Provide?

White label brokers provide all the systems that you need to create a binary options broker. In detail, those systems are:

Trading Platform

The trading platform is the part of the broker that traders use to invest. Good trading platforms are difficult to create because they have to provide accurate analysis tools, precise prices, and simple investment opportunities. Each of these complex systems requires huge amounts of data and takes a lot of time to program, which is why many new brokers are reluctant to program their own platforms.

White label brokers provide platforms that brokers can use. They also allow them to adapt them to their needs. Every broker can apply their own styling, choose the colours, and adapt the layout of the platform. They also select which trading tools to offer, which assets, and which analysis tools.

White label brokers offer the toolbox that new brokers can use, but the brokers decide how to use them.

Content Management System (CMS)

Brokers need a website on which they display the newest information, their businesses, and a signup form. These websites are created with content management systems. Content management systems are complex programs that allow you to easily manage your website.

Once you have such a system, managing your website is easy. But programming it is complicated, time-consuming, and expensive. This is why most brokers prefer to buy pre-made content managements systems. White label brokers offer these systems, including special features for binary options such as economic calendars.

When you look at the websites of binary options brokers with this knowledge, you will find that many of them are similar in structure and content. These brokers all use the same white label broker.

Customer Relations Management (CRM)

Customer relations management is a necessary but expensive part of any business. Answering customer requests requires a lot of man power, and for small businesses, it is disproportionally more expensive than for larger ones. For new brokers, it makes sense to outsource the task. Otherwise, they would have to employ several customer service people with their first customer – which would ruin them.

White label brokers allow many brokers to share the same customer relations management. This system reduces overall cost and allows even new brokers to offer 24/7 customer support via email, phone, and live chat.

Payment Solution Integration

When you accept online payments, there is a lot to consider. New brokers need a secure, unhackable system that is easy to use and works in combination with as many payment options as possible (Skrill, Paypal, Wire transfer etc). Such systems are complex and expensive to create. Therefore, it makes great sense for new brokers to buy pre-made systems.

White label brokers offer payment solution integration. This means they offer pre-made systems that can handle customer payments and withdrawals, automatically book deposits to the right accounts, and make sure that the money is safe. Their customers get a better, safer system that is still cheaper than if they did everything on their own – a win/win for both sides.

Risk Management Solution.

Starting a new binary options broker can be risky. In the worst case, a new customer deposits a lot of money, invests everything in one trade, and wins. This could ruin the broker. When brokers become bigger and have thousands of customers, they will experience less volatility because the actions of many traders will even out more. But to survive the start, they need a good risk management solution.

Platform providers offer brokers pre-made risk management solutions that allow new firms to easily start their new businesses without risking an early bankruptcy. For brokers, these systems are the insurance that guarantees their survival, which is why many brokers use them. It would almost be foolish not to do it.

These advantages show why white label brokers are so popular. Especially trading sites that already offer other trading styles such as stocks or CFDs can use white label brokers to easily integrate binary options into their system. These brokers already have the branding they need and can attract an entirely new group of customers with a few simple clicks – why would they reject this opportunity?

The Problems With White Label Brokers

So far, the point of this post was that white label systems are a great idea – in theory. That is why they have been around for decades in all types of industries. The point we will make now is that things are a bit more complicated with binary options.

While there is nothing wrong with white label brokers in general, a few black sheep have found their way into the binary options world. Their only goal is to scam traders out of their money, which they do in increasingly inventive and sometimes downright criminal ways.

Where a white label broker is exposed as dishonest, it is a simple process to close down, and start again under a new name with the same platform provider. The larger providers in the business did little to stop this happening. Some would argue they were complicit in it.

When you sign up with a white label broker you increase trading risks – the broker is less likely to be regulated, be properly financed or be trade honestly. Due to the speed with which these brands can be setup, risk of fraud increases.

Our scams page highlights some of these issues, but the risk is much greater when using a white label.

Which White Label Brokers Are There?

Currently, three white label brokers dominate the binary options market – SpotOption, Tradologic and TechFinancials. Together, their market share is around 90 percent. Since all three brokers are fundamentally different, it pays to understand their unique characteristics.

White Label Broker #1: SpotOption

SpotOption is one of the major players in the binary options scene. They provide all systems that you need to start your own broker and follow an aggressive marketing approach.

SpotOption founder Pinchas Peterktzishvilly, alias Pini Peter, has a cloudy financial past, and their marketing services promote binary options as a financial game rather than as an investment opportunity.

The unique characteristic of SpotOption is that it offers only offering binary options. Other white label brokers also offer other financial products, for example CFDs and spot forex. These white label brokers have a longer history of offering reliable trading and payment solutions.

SpotOption started by promoting binary options as the ideal mix of gambling and investing. They have a different background, different goals, and a different business ethic than most other white label brokers.

SpotOption’s most prominent customer, BancDeBinary, had to close in 2020 because it faced numerous legal issues in countries all around the world. This alone speaks volumes.

There are hundreds of brokers that use the SpotOption platform. The most prominent of them were:

White Label Broker #2: TechFinancials

In contrast to SpotOption, TechFinancials offers many white label financial products, including CFDs and spot forex. The broker has been around for longer and has had time to develop more legitimate business practice.

White Label Broker #3: Tradologic

TradoLogic is the smallest of the three big white label brokers. The best known Tradologic brand is Option Bit, but there are few other brokers that use the TradoLogic platform.

Should I Use A White Label Broker?

We recommend treading very carefully with these types of brokers. While there is nothing wrong with the basic idea of white label services, there seems to be a difference between how these brokers market their products to people who want to start their own brokerage and how those people market them to the end customer.

End customers are often lured in with promises of great investment opportunities and financial gains. But the white label brokers themselves talk more about the gaming aspect and how they have structured their products to lose traders money.

The simple truth is that there are plenty of other brokers out there that use their own trading platforms. Those brokers offer better opportunities for long-term success than white label brokers. In our top list, you find the best of them. They are all government regulated and provide a secure trading environment. We recommend choosing these brokers over white label brokers.

Tradologic Binary Options Brokers

A major name in the world of binary options trading, Tradologic is a leading binary options trading platform provider for many of the top brands binary options brokers that we see today. The user friendliness of Tradologic trading engine is one of the main factors that helps to endear many traders to the trading platform. The flexibility and adaptability of Tradologic’s trading platform allow both traders and brokers to fine tune the platform according to their needs.

The Trading Platform

Being a turnkey solution provider, Tradologic had managed to provide a full range of services that permit their white label partners to concentrate fully on marketing and building up their customer base. The powerful trading engine provided by Tradologic is able to integrate maximum entertainment for the end users while at the same time ensured that brokers are able to achieve peak performance. This helps to greatly enhance the profitability of the brokers as they are able to divert resources efficiently to where it is needed most when the company is just growing.

2 Business Models

Tradologic offers their clients two (2) business models to suit their budgets;

White Label Program

Under the white label program, Tradologic is a total solution provider. Payment processing, Risk Management and the client funds are handled by Tradologic while the client concentrate on marketing and building the business.

With the licensing program, the client only licensed to use of the software provided by Tradologic. All the operational aspects of the business are handled by the client himself.

Nevertheless, there are some drawbacks of dealing with Tradologic. One of the major complaints about the company is the high pricing structure of their solutions. In addition, there are many hidden fees which Tradologic charges when it comes to the integration of their trading platform with other form of technologies. This makes it difficult to truly comprehend the start cost of adopting their trading platform into one’s business model.

End User’s Viewpoint

From the view point of an end user, Tradologic’s trading platform is simply one of the best in the world. The level of efficiency and execution of the trading platform is simply unrivalled. With the different trading strategies like “Range Trading”, “One Touch Trading” and “Digital Options Trading’ allowed by Tradologic’s trading platform, traders are ensured of maximum profitability in their trading endeavours.

Despite being a efficient and powerful trading platform, many traders also find Tradologic’s trading platform uncomplicated and easy to use. The filtering options of the trading platform also allow traders to adopt a more sophisticated approach in the way they execute their trading strategies. The best of part of the trading platform is the fact that all the above mentioned benefits can be derived with just a browsing software.

Adopted by leading binary options broker like OptionXP, XP Markets and OptionBIT, Tradologic needs no further testimonials to advertise their strengths. Whether one is a client or an end user, one certainly cannot go wrong with the use of this reliable and mature trading platform.

Best Binary Options Brokers: 2020 Ranking
  • Binarium
    Binarium

    Best Choice! The leader in our ranking!
    Perfect for beginners!
    Free Demo Acc + Free Trading Education!

  • Binomo
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    Good choice for experienced traders!

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