Is Binomo Halal or Haram? (2025)
Binomo is a well-known binary options and CFD trading platform which has attracted over 30 million traders worldwide with its simplicity and potential for high returns. However, the high-risk nature of the Binomo platform raises an important question for Muslim traders: is trading on Binomo halal? The short answer is:
Binomo is considered haram because it mainly offers binary options trading, which involves excessive speculation (gharar) and resembles gambling (maysir), both of which are strictly forbidden in Islam. Even though Binomo offers CFDs on a few assets, it does not provide an Islamic account, meaning all trades include interest (riba) and overnight swaps.
If you are a Muslim trader looking for a halal platform, we recommend checking out the Islamic account of Olymptrade. Olymptrade offers a similarly simple and user-friendly trading platform to Binomo, but unlike Binomo, it also provides a Sharia-compliant account that eliminates riba (interest), swap charges, and ensures all trades adhere to Islamic finance principles.
In this article, we will explore the fundamental principles of Sharia law on online trading, why Binomo is considered haram, and how to trade halal on Sharia-compliant platforms like Olymptrade.
Sharia Law About Online Trading: What Makes Trading Halal or Haram?
Before we explain why Binomo is haram, we briefly outline trading activities that are considered haram by key Islamic rulings, including, Resolution No. 63 of the Islamic Fiqh Council and Fatwa No. 28/DSN-MUI/III/2002 by the Indonesia Ulema Council (MUI):
Now that you understand the basic principles of halal trading, let’s analyze the Sharia-compliance of Binomo.
Why is Binomo considered haram?
Binomo is haram because of its speculative, gambling-like binary options trading instrument, unfair payout structure and the lack of regulation and fair trading conditions.
Let’s further evaluate why these factors make Binomo haram:
1. Binomo is basically a binary options broker
Binomo is primarily a binary options (also known as fixed time trading) platform, where traders predict whether an asset's price will rise or fall within a short time frame—usually 30 seconds to 5 minutes.
Binary options is considered haram according to most Islamic authorities, because the extremely short timeframe makes trading inherently speculative (gharar) and the all-or-nothing style is very similar to gambling (maysir).
Unlike traditional investments where price movements are influenced by economic factors, binary options are highly unpredictable, with rapid fluctuations that make it impossible to apply proper financial analysis, which is an important aspect of halal trading.
2. The payout structure of Binomo Violates Fair Risk Sharing
Another major reason why Binomo is considered haram is its unbalanced risk-reward structure. In Sharia-compliant trading, financial transactions should involve fair profit-sharing between participants, however, Binomo’s payout system is fundamentally unfair to traders.
When trading on Binomo, you risk losing 100% of your investment if your prediction is wrong, yet you can only gain a fixed percentage (typically 80-90%) if your prediction is correct. For example, if you invest $100 and predict that a currency pair’s price will rise, you receive a maximum payout of $80–$90 if correct, but lose your entire $100 if wrong.
Additionally, Binomo does not transparently disclose how payouts are calculated, adding another layer of gharar (uncertainty) to its trading system.
3. Binomo is unregulated which enables unfair business practices
Binomo is an unregulated offshore broker, meaning it operates without oversight from any financial authorities and is not legally required to ensure transparency, fair execution, or investor protection. Without regulation, Binomo can engage in unethical trading practices that violate Islamic finance principles and expose traders to significant risks like:
- No investor protection against fraud, market manipulation, or company bankruptcy.
- Unfair dispute resolution—delayed withdrawals, unresolved issues, and poor customer support.
- Price and payout manipulation—Binomo lowers payout percentages when the market is more predictable, limiting fair profit-sharing.
- Lack of transparency—Binomo does not disclose how it calculates profitability percentages or whether its market data accurately reflects real market conditions.
Due to the lack of regulation, Binomo is illegal in many countries like India and is often criticized for blocking trader accounts, denying withdrawals, and using hidden welcome bonus terms —all of which contradict Sharia’s requirement for fair risk-sharing (gharar) and honest financial agreements.
Halal Alternatives to Binomo
If you are a Muslim trader looking for a halal alternative to Binomo, we suggest you try Olymptrade; here’s why:
Olymptrade offers a similarly simple trading platform to Binomo
Read our article to learn more about how to use Olymptrade in a Sharia-compliant way, We recommend you try their demo account to practice trading first since you don’t risk your money while deciding whether Olymptrade is the right broker for you to trade.
Conclusion
We don’t recommend Binomo for Muslim traders because there is no real way to use it in a halal way. Binomo is not only haram because it mainly offers binary options trading, (which is considered haram by most Islamic authorities), but also because of its lack of transparency, regulation, and compliance with Sharia principles like fair risk sharing and asset ownership.
If you are looking for a beginner-friendly, simple and exciting trading platform, we recommend you to try Olymptrade, because it offers similar features to Quotex, but it also offers halal trading practices, such as real stocks, commodities, or forex trading through Islamic accounts.