Nadex review and test – Is the online broker legit?

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4.8 out of 5 stars (4.8 / 5)
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Thanks to Nadex, a powerful and trustworthy US-based trading platform, a secure and innovative Exchange for binary options is made possible. With almost a decade of experience in the financial market, we’re more than happy to share with you all there is to know about the best of the financial industry.

On this page, we’ll keep you in the loop when it comes to all the trading conditions Nadex has to offer. We’ll review its tradable instruments, spreads, platforms, fees, and licensing and regulations.

When it comes to handling your hard-earned cash, Nadex is the online trading platform for you. To successfully build your investment profile, remember to keep a close eye on the trading platform that you trust.

Getting to know Nadex

Nadex is a Chicago-based exchange platform that focuses on binary trading, call spreads, stock indices, and forex. This premier US exchange for binary options is without a doubt one of the safest and most regulated platforms to trade. To this day, Nadex is the largest US-based Exchange for limited trading risk and affordable binary options. In fact, Nadex is part of the IG Group of companies, a leader in global financial services. Currently, IG Group has a market cap of 3.7 billion USD by the end of 2020!

Nadex was launched in 2004 (formerly HedgeStreet) with the objective of creating an electronic marketplace where trading of financial derivatives to retail investors was made possible. By 2009, HedgeStreey was purchased by the IG Group Holdings in the UK. It was then that HedgeStreet was relaunched as Nadex, complete with sophisticated new technology and tools. Nadex is strictly regulated by the Commodity Futures Trading Commission or CFTC. Further, all its funds are stored in segregated accounts across major banks in the US.

Current Nadex members have powerful access to over 10,000 binary contracts on a daily basis across the richest financial markets of forex, commodities, and stock indices. Nadex features a platform that is user-friendly, especially to newbie traders. Sufficient access to trading tools are also easily available. Nadex traders can also benefit from a wide selection of expiration times, including intra-day, daily, and weekly. With Nadex, change is constant – the company adds new products regularly. With some contracts, traders can successfully speculate the price movement of markets!

Since Nadex isn’t a brokerage, traders can directly submit their lot orders to an exchange. In this way, Nadex members don’t have to pay for any commissions. Another unique feature of Nadex is its call spreads, where you get improved control over risk-reward ratios! Since Nadex is highly transparent, users don’t have to worry about any hidden fees. While customer support is available via phone and email, reviews are rallying for the inclusion of live chat features as well.

Facts about Nadex:

  • Started in 2004 as HedgeStreet
  • Bough in 2009 by IG Holdings – UK
  • Rebranded as North American Derivatives Exchange
  • Headquarters are in Chicago, IL
  • Wide range of binary options, including Stock Index, forex, and commodities
  • Premier US Exchange
  • $250 minimum deposit, $1 minimum trade
  • Available on mobile as NadexGo

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Review of Nadex regulation and safety for clients

With the increasing occurrence of hacks in the financial markets, choosing a secure platform to trade binary options is critical. Nadex is one of the most reputable exchanges in the US to date. It is strictly regulated by the CFTC or the Commodity Futures Trading Commission.


In fact, Nadex is the only regulated binary options exchange in the US! With traders from over 40 countries around the world, the security and reliability of Nadex remain without question.

Nadex is authorized and regulated by:

  • The Commodity Futures Trading Commission

Review of financial security

Nadex members don’t have to worry about client funds since these are all kept safe in the largest financial institutions in the US, including Fifth Third Banks.

CFTC requires Nadex to store all its assets in reputable bank accounts across the US. This means that all funds are safe in segregated accounts in the largest and most powerful financial institutions. Nadex also assures its traders that they are protected by highly intelligent encryption companies. These encryption companies work to keep all personal information and trading activities safe and secure.

Though this is the case, remember that all forms of trading involve risk, and therefore financial losses. Loss of money on profiles may be due to insufficient market research or failing to choose the right broker or exchange platform. Make sure to begin trading only when you’ve done your research and fully understand capital risk due to market volatility. Now, let’s get started on discussing the trading conditions of Nadex:

Trading conditions

Clients interested in binary trading should thoroughly audit their own finances before starting with Nadex. Users should be ready for risk management. Nadex members should know that this exchange caps at the initial investment amount.

As a binary options exchange, Nadex does not have any conflict of interest with clients. This means that all orders are directly between buyers and sellers, and Nadex is in no way involved. The Nadex also doesn’t interfere with asset prices. In fact, all contracts are available at the market price according to the available existing liquidity. In that case, Nadex is among the choices for secure and reliable binary options trading. Instead of commissions, Nadex will charge a fee of 1 USD per contract, meaning that the maximum fee is 50 USD per position.

Nadex focuses on holding a straightforward binary options portfolio. This means that Nadex doesn’t want counterparty with traders at all. The more common practice is for a broker to have a choice between absorbing a contract or passing it on to a trader. Nadex cannot counterparty trader positions as per US regulations.

Nadex offers a wide range of assets. This includes forex, indices, commodities, and even news. In fact, traders can have access to over 9,000 contracts daily with no issues with liquidity.

What makes Nadex different from other brokers and exchanges is the level of control it gives traders. Nadex members are allowed to enter contracts in between expiry times, and they’re even allowed to exit a market prematurely. Due to this unique method of trading, contracts can soar up to 150%, while traders can also avail of refunds for losing trades. This low risk-reward ratio is very promising for many brokers. Moreover, the Nadex platform offers a unique interface for its in-house platform. This award-winning software offers advanced features that you can’t find on any other binary options trading platform. Nadex members can also avail themselves of the NadexGo, the innovative mobile app which works just as excellently as the desktop platform.


A Nadex trading account is relatively affordable, with a minimum deposit of 250USD. This grants full access to all Nadex products and platforms. Nadex also provides a wide selection of deposit and withdrawal options.

(Risk warning: Trading involves risks)

Nadex of account types

Newbie traders can choose to open a demo account for free to try out the Nadex platform. Users will have access to 10,000 USD in virtual funds. Use this account as much as you’d like, even when you open your live account. The Nadex demo account is the perfect way to practice your trading skills and put your strategies to the test. While you can practice as much as you like on a demo account, take note that it is highly different to the experience of live trading. It is quite difficult to replicate the psychological pressure that accompanies putting your assets on the line!

There are two options for live accounts: a US individual account and an individual international account that caters to over 40 countries.

New Nadex users can open a live account for free, even getting a chance to receive a 10% bonus on your initial deposit of up to 100 USD. Nadex members are required to place five trades within the first 30 days of opening a Nadex account. Users will be required to have an initial deposit of 250 USD for opening a new account.


Opening a business account is also possible under Nadex.


Nadex is a highly transparent exchange, so all clients don’t need to worry about hidden fees that will eat at your capital. Nadex doesn’t require fees for opening an account or for using the Nadex platforms. There are no fees and commissions for transferring funds from your bank account to your Nadex account. Inactive accounts will not be given fees as well.

To open a live account, Nadex members will be required to have an initial deposit of 250 USD, much like most of the binary options exchange platforms.

Trade fees are at 1 USD per contract, with the maximum at 50 USD per position. If a trader chooses to purchase contracts beyond 50 orders, the opening fee will remain the same at 50 USD. Users will also have to pay a 1 USD fee for closing a trade. If the trade is unsuccessful, Nadex will waive the settlement fee. Users will be surprised to know that the trading and settlement fees are Nadex’s only source of income. Payout on Nadex can excerpt 100%, but losses will be limited to the initial capital invested.

All payment options are free, except for a returned deposit or a wire withdrawal. These two methods will warrant a fee of 25 USD. Account setup. Deposits, debit card/wire/ACH withdrawal, are all free of charge.


Nadex refers to its spreads instrument as Call spreads. Call spreads are available on the most popular markets, including forex, stock index futures, and commodities.

Call spreads allow traders to move between two price levels. Users can opt to trade with minimal risk and optimal profit targets. Since the call spreads have a built-in floor and ceiling cap, Nadex offers exceptional risk and loss protection compared to a traditional stop-loss feature.

With the Nadex call spreads, the spread stops at a maximum value at the upper limit. At the lower limit, trades will eventually reach a minimum, which means that there will be no loss of value, no matter how low a market plunges. Therefore, users have unparalleled control over their risk-reward ratio, as they get to decide their individual risk parameters.

Users will also have access to intraday and daily call spreads.


Compared to other forex brokers, Nadex spreads are fully collateralized, meaning that they don’t have a margin. This means that instead of a leveraged trading product, Nadex spreads exist as short-term options. A low cost can effectively give Nadex traders a high reward and low risk. Users also have exceptional risk control since the risk reward is pre-determined. Additionally, users have the option to enter markets in between expiration times, or they can exit a market prematurely.

(Risk warning: Trading involves risks)

Education and Training Tools

Nadex provides traders with daily comprehensive commentary and videos on important market events exclusively created by Nadex. This valuable content is made by Nadex’s trusted and experienced financial analysts from various trading and market backgrounds.

Nadex also offers weekly webinars, trading courses, and e-books on-site. Access all these valuable resources at the Nadex Learning center. Almost all Nadex video resources are animated and easy to understand. Handbooks were carefully written to cover all areas, from the fundamentals of binary options to trading strategies and bull spreads.

Nadex members will also find valuable courses on binary forex options. Users can access the necessary information on understanding the risk-reward profile of binary options. The components of binary option pricing are also discussed. Users can also benefit from the highly detailed Nadex Trading Strategies course. These include fundamental analysis and trading news, as well as technical analysis of the current financial market.

Nadex members can conveniently head to the Nadex glossary of terms and FAQs page to understand specific trading concepts and processes.

Test of the Nadex trading platforms

The in-house Nadex trading platform is an award-winning binary options trading platform that was designed to suit the different products and assets offered by Nadex. This platform is unique compared to other brokerage platforms, providing only 25 hours of market access in a day.

The Nadex platform was developed entirely in-house. The platform offers advanced and extensive features that can’t be found anywhere else. Traders can create independent asset charts, and they can also include multiple indicators and graphs to provide a unique trading experience. In this case, the Nadex Platform is best suited for more advanced trading.

How to trade on the Nadex Platform

Getting started on the platform is incredibly straightforward. Easily access all assets through the Finder window, where you can also find the indicator for expiration time frames.

Once you’ve chosen an asset and an expiration time, a Markets window will pop up. From there, you’ll have to choose between the available price levels for trading. Binary options will range between 0 to 100.

Traders will then receive a trading ticket that will confirm the expiry time, price level, bid size, and current bid and offers. From there, traders have the choice to sell or buy a specific trade size. Traders will also have a choice to change the price above or below the current price. As a US regulated exchange, Nadex will not counterparty trades. With the Nadex Platform, users have the option to close trades at any time. This is meant to reduce any losses. A ticket will be given to you, which highlights the potential outcome of your trade should the option expire.

All that is left to do is hit the Place Order option. Once your order is matched, you’ll be able to find it on the Open positions window. If only partially matched, you’ll find the order in the Working orders window. Traders will receive a confirmation email with complete details of a trade once funds are settled.

How good is the platform?

(Risk warning: Trading involves risks)


The NadexGo is one of the most comprehensive mobile platforms you’ll find. The app is available on iOS, Android, and Progressive Web App.

Nadex members will appreciate this mobile app for advanced applications through a smartphone or a tablet. Users can easily access valuable technical and fundamental analyses of any asset on the mobile app. Users appreciate the sleek and user-friendly interface that comes with the NadexGo. Users who migrated from the desktop platform will have no trouble adjusting to the mobile app, since both interfaces are extremely similar.

We know that ease of use can make or break a good trade. Clients love that they are able to place trades on the go, anywhere in the world. Users will find it easy to set up important notifications and alerts on the app. Comprehensive research and analysis are also made convenient through the NadexGo, without compromising on quality.

Bonuses and Promotions

NadexGO doesn’t offer overwhelming bonuses and promotions. In fact, most US-regulated brokers will veer away from offering these to clients. Bonuses often create negative trading environments that can create a conflict of interest with valued clients.

Nadex occasionally offers Free Trading Days, where there is a waiver of trading fees for up to 10 days. Members with higher initial deposits will be eligible for more Nadex Free Trading days.

Customer Support

The Nadex customer support team can easily be reached through phone, email, or contact request form. All customer-client interactions are conducted through the highest standard regulated by the CFTC. It will be great if Nadex develops their live chat option, which will be incredibly useful, especially for new traders.

For any pertinent questions, clients can refer to the comprehensive FAQ section on the Nadex website.

Tradable Products

Nadex focuses on keeping a simple binary options portfolio. Additionally, Nadex doesn’t set the price for these assets. All asset prices are offered at market value according to the available liquidity.

Again, Nadex doesn’t counterparty with traders on these assets. Nadex members have the option to trade:

  • Forex: including currency pairs between EUR, AUD, GBP, CAD, JPY, CHF
  • Indices: including Wall Street 30, S&P 5OO, NASDAQ, Russell 2000, China 50, FTSE 100, DAX, Nikkei
  • Commodities: Energies, bitcoins, precious metals, root crops
  • News: FedFunds, Weekly Jobless claims, non-farm payroll

Nadex has over 10,000 contracts available daily, and traders have no issues with liquidity. Trading news on Nadex is one of the most enticing assets on-site. Due to the innovative methods of Nadex, clients find the platform all the more enticing. A new Nadex contract called the Touch Contract offers users enhanced trader flexibility. Touch brackets offer micro-lot sizes as a unique form of trading that caters to all traders, regardless of skill level. This contract also features high and low limits, which help traders to manage risk and slippage.

Opening a demo account

The Nadex demo account is free of charge. New users can practice their trading skills or test out new strategies with a virtual fund of 10,000 USD.

Members with a live account are still eligible to use the demo account to further hone their skills.

(Risk warning: Trading involves risks)

Opening a live account

Since Nadex is is regulated by CFTC, new clients must complete standard compliance checks to ensure that they completely understand the risks of trading in the financial market.

If we’ve convinced you to open a live account with Nadex, choose between the US account or the International account.

To open an account, new members will have to provide their personal information for screening. Before you can begin trading, you’ll need to provide some documents and identification cards that contain information on:

  • Date of birth
  • Permanent residential address
  • Social Security or National Identification Number

Remember that you won’t be able to make trades right away on the platform. Nadex will have to review your documents and identification cards until you pass compliance. The process may take up to several days, depending on your case.

Do prepare a scanned copy of a government-issued identification card and a bank statement or utility bill showing your residence address. Make sure that these documents were recently issued, preferably within the past three months.

Conclusion of the review: Should I invest with Nadex? – We think, yes!

Nadex is the largest and singularly regulated binary options exchange in the US. This US-based Exchange offers exceptional security and regulation to protect its clients.

Nadex also offers advanced trading tools, contracts, and techniques that ultimately set Nadex members up for success. The platforms and educational materials offer Nadex clients a rich trading experience.


  • Only US-regulated binary options exchange
  • Highly innovative platforms and features
  • User-friendly and easy management of orders through the Nadex platform
  • High customer-satisfaction of customer support team
  • Offers competitive pricing structure
  • Accessible in over 40 countries
  • Minimal deposit fees and no commissions
  • Comprehensive training and education materials


  • Limited tradable assets
  • It May be confusing for new traders
  • No bonuses and promotions

(Risk warning: Trading involves risks)

Nadex review

Review of the broker Nadex:

Trusted Broker Reviews

Regulation and safety:
Trading platform:
Trading conditions:


Nadex is a safe and reputable broker that creates a user-friendly interface for trading binary options and knock-outs with its in-house trading platform.


FAQ – The most asked questions about Nadex :

Is Nadex legit and safe?

Yes, Nadex is the only US-regulated binary options exchange. Nadex is regulated by CFTC, and all client funds are kept in segregated US accounts.

What can I trade at Nadex?

Clients have a wide variety of binary options to trade. These include forex, commodities, news, and stock index futures.

What platforms can I use on Nadex?

Easily access relevant research and analytics through the award-winning Nadex platform and mobile application, NadexGo.

Is Nadеx a fakе οr scam brοkеr, and describe which regulation it follows?

Nο, Nadеx is nοt a fakе οr scam brοkеr as it adhеrеs tο thе strict rеgulatiοn οf thе CFTC, (Cοmmοdity Futurеs Trading Cοmmissiοn) that rеgulatеs thе U.S. dеrivativеs markеts.

Fοr which typе οf tradеr is Nadеx bеst suitеd?

Nadеx is bеst suitеd fοr binary οptiοns tradеrs, mοrе advancеd tradеrs whο havе a gοοd undеrstanding οf thе dеrivativеs markеts and knοck-οut and call sprеad tradеrs.

Dοеs Nadеx USA prοvidе a dеmο accοunt, and is there a need for a demo account?

Thе bеst οnlinе brοkеrs prοvidе tradеrs with thе οptiοn οf using a dеmο accοunt οn arrival. Dеmο accοunts arе put in placе fοr tradеrs tο gеt a fееl fοr thе actual trading platfοrm. What’s mοrе is that dеmο accοunts facilitatе lеarning whеn it cοmеs tο nοvicе tradеrs. 

Is Nadеx a rеgulatеd brοkеr?

In thе wοrld οf οnlinе brοkеrs, nοt all digital cοmpaniеs arе rеgulatеd. It is advisablе to usе a brοkеr that is rеgulatеd. This еnsurеs that thеy arе subjеctеd tο rеgulatοry οvеrsight and act in gοοd faith. Hοwеvеr, thеrе arе pοpular οnlinе brοkеragе firms that arе nοt rеgulatеd but still еnjοy a lοyal fοllοwing. 

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Last Updated on January 27, 2023 by Arkady Müller