Nadex review

Nadex, headquartered in Chicago, is a reputable exchange that deals with binary options, knock-out, and call spreads contracts. What sets them apart is that they are regulated by the Commodities Futures Trading Commission (CFTC). This regulatory oversight provides traders with a sense of security when engaging in derivative trading on Nadex’s platform. In 2004, the exchange known as ‘HedgeStreet’ was established with the aim of creating an electronic marketplace for everyday investors to engage in trading financial derivatives. This platform provided an opportunity for regular investors to participate in previously exclusive markets. HedgeStreet, unfortunately, ceased operations in 2007 and permanently closed down.

In 2009, the UK-based IG Group Holdings Plc. acquired the company and rebranded it as the North American Derivatives Exchange (Nadex). With this acquisition, Nadex became equipped with advanced instruments and technology aimed at providing sophisticated trading options.

While the claim of being the top binary options exchange in the US may seem like an exaggeration, this company definitely has a lot to offer its clients. With a range of valuable services and features, they might just deserve that title after all!

In this comprehensive review, we will assess whether Nadex is the appropriate trading platform for your needs. By examining its features and benefits, you can make an informed decision based on your specific requirements.

What is Nadex?

Nadex is a trading exchange that provides numerous advantages for traders. It is fully regulated by the Commodity Futures Trading Commission (CFTC), ensuring a level of security and reliability. Additionally, client funds are held in segregated accounts within US-based banks, offering an extra layer of protection. Unlike traditional brokers, Nadex operates as an exchange, eliminating any potential misaligned incentives that may arise. At Nadex, transparency is key when it comes to their fee structure. They strive to provide users with clear visibility into the costs associated with trading. Additionally, they offer high-quality educational content to help traders enhance their skills and knowledge.For those looking to practice trading strategies without any risk, Nadex offers a free demo account. This demo account allows users to simulate real-market conditions with a generous simulated balance of $25,000. It’s a great way for beginners or experienced traders alike to test out new approaches before committing real funds.

For short-term traders interested in trading binary options and spreads, using a well-regulated exchange based in the United States can be a highly favorable choice. It offers a secure and trustworthy environment for executing trades, ensuring peace of mind while engaging in these financial activities. On the downside, the platform lacks a proper mobile trading experience as it currently does not offer a dedicated mobile app for clients. Additionally, it requires a minimum initial deposit of $250.

Nadex Overview

We list out the main features of Nadex below.

Pros and Cons

While Nadex definitely offers several advantages over disadvantages, it’s important to recognize that the drawbacks may still be significant enough to deter certain traders. To determine if Nadex is the right broker for you, refer to the table provided below. It contains important information that can help you make an informed decision.


  • Since it is an exchange and not a broker, there are no conflicts of interest.
  • Broker Regulated by the CFTC
  • Simple pricing structure
  • Superb References for the Classroom
  • Paying using a debit card is a fast and free option.
  • The use of ACH transactions is free of charge.
  • Multiple options contracts allow for speculation on stock indexes, foreign exchange, commodities, and economic events.
  • A free Demo account with $25,000 of virtual fund is available.
  • The smallest tick size for binary options trading in spot FX is 0.25.
  • U.S. customers can have it right now.


  • $25 for wire withdrawals
  • Minimum first deposit of $250

Nadex Compared

When considering a broker or exchange, it is advisable to compare them with their major competitors in the industry. This helps you gain a better understanding of their strengths, weaknesses, and overall performance. To provide a quick comparison between Nadex and its top competitors, the following table has been prepared:

Assets and Markets

Nadex offers a range of trading instruments to cater to different investment strategies. These include binary options, knock-outs, and call spreads. Let me break down each of these options for you in a concise manner:

  1. Binary options: These types of options are unique contracts that offer two possible outcomes: either a “yes” or “no” answer to a specific question. When you hold a binary options contract until its expiration, it can either be out-of-the-money (OTM), resulting in no payout, or in-the-money (ITM), which entitles you to receive a payout. Binary options are aptly named due to their nature of having only two possible outcomes. This means that when trading binary options, the result can only be either a win or a loss.
  2. Knock-out: these financial contracts, sometimes referred to as touch brackets, are utilized by traders to set predetermined limits on their trades. These limits consist of a ceiling and floor that need to be reached within a specific time frame in order for the trade to be nullified. This concept of knockouts functions similarly to stop-loss or take-profit orders, as it helps traders manage their risk and ensure they exit the trade when certain conditions are met. If the given parameters are not met, you have two options. Firstly, you can choose to keep the knock-outs until they expire. Alternatively, you have the option to sell them before expiration, but this is only permissible within a week’s timeframe.
  3. Call-Spreads: Nadex offers a unique product called Call Spreads, which is available in various markets such as commodities, stock index futures, and FX. This allows traders to take advantage of the benefits of call spreads across multiple financial sectors. Understanding call spreads is actually quite straightforward and there’s no need to worry. With call spreads, you simply need to set a defined upper and lower limit for your initial trade (similar to knock-outs). The advantage of call spreads is that you don’t have to worry about being knocked out of the trade. To maximize your gains or minimize potential losses, you have options when it comes to the duration of your trade. You can choose to keep the trade open for more than a week or decide to close it early. Both choices offer flexibility in managing your investments effectively.

Commissions and Fees

Rest assured, the commission and fee structure at Nadex is transparent and easy to understand. When you open or close a position, there is a flat fee of just $1 per contract. Additionally, if you exercise an in-the-money contract, there is a nominal fee of $1. With such clear pricing, you can confidently trade knowing exactly what to expect in terms of costs. If a contract expires “out of the money,” no fee will be charged.

In addition, it’s worth noting that when it comes to deposits and withdrawals through automated clearing house (ACH), there are no charges involved. Furthermore, opening a Nadex account does not require any fees either.

For a comprehensive breakdown of Nadex’s commissions and fees, please refer to the table below. It contains all the details you need to make an informed decision regarding your trading activities on their platform.

Account openingFreeDeposits and withdrawalFree via ACH$25 per wire withdrawalMinimum depositThe initial deposit is $250 and the minimum incremental deposit is $100Inactivity fee$10 per month after one year of inactivityBinary optionsEntry or exit: $1 per contractITM trade expiration: $1 per contractOTM trade expiration: FreeCall spreadsEntry or exit: $1 per contractTrade expiration: $1 per contractKnock-outsEntry or exit: $1 per contractTrade expiration: $1 per contract

Leverage Trading

Nadex spreads offer traders significant advantages when it comes to leverage. Not only are the fees minimal and straightforward, but they also provide good leverage opportunities.

In the United States, spot forex traders are typically limited to a leverage ratio of 50:1 or lower. This means that for every dollar they have in their trading account, they can only trade with up to $50. On the other hand, Nadex spreads operate differently as they are fully collateralized and do not require margin. This means that traders on Nadex do not need to take on additional risk by borrowing money to trade. Investing in Nadex spreads can be a beneficial short-term strategy, offering an alternative to leveraged trading products. Surprisingly, at times they can even be more cost-effective than directly trading the underlying market. With this reduced cost comes the potential for significant payouts while maintaining low risk levels.

When you choose Nadex, you’ll have the advantage of having control over your risks. With a maximum risk level that is predetermined, you can feel more confident in your trading decisions. Additionally, if things don’t go as planned, you have the option to exit early and minimize any potential losses. On the flip side, you can also take advantage of profitable opportunities by seizing profits before the spread expires.

Nadex trading Accounts

Opening an account with Nadex is a hassle-free process, making it convenient for anyone to get started. Take a look at the various account types offered by this broker: Standard trading account (for binary options, knock-outs, and call spreads)

  • Business trading account
  • Free demo account 

Unfortunately, Nadex does not currently offer the option of opening an Islamic Account for traders who are interested in abiding by Islamic principles. It’s important to consider this aspect when choosing a trading platform that aligns with your specific requirements and beliefs.

In order to successfully open a new account with Nadex, there are certain requirements that need to be met. You will be asked to provide the following information/documentation during the account opening process:

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

Desktop Trading Platform

Nadex offers a streamlined trading experience that revolves around a single web page. This means you can conveniently access all their trading features and resources in one place. Additionally, they provide a free desktop trading platform for users who have a web browser and internet access, allowing for easy and accessible trading on any device. You can discover the benefits of this platform without any financial commitment by taking advantage of their complimentary demo account. With a starting balance of $25,000, you can freely explore and evaluate its features to determine if it truly meets your needs.

Opening a Nadex account is simple and convenient. You have various funding options available, including using a debit card, wire transfer, ACH, or paper check. For clients outside of the US, international bank transfers or debit cards can also be used to fund the account.

The trading platform is designed with ease of use in mind, featuring a clean and straightforward interface. It excels particularly in binary options and spreads trading, providing all the necessary tools and features for these specific trading activities. However, it’s important to note that the platform may not offer extensive additional functionalities beyond these areas of focus.

There are several technical indicators available in the market, although the options might be relatively limited. Some commonly used ones include ATR, RSI, Bollinger Bands, Moving Average, and various oscillators. These indicators can help traders analyze market trends and make informed decisions. In addition to a variety of drawing tools like Elliott, Gann, and Fibonacci tools, you’ll find support for limit and market orders as well. These tools can be valuable for technical analysis and executing precise trading strategies.

One of the great features is the ability to customize charts according to your preferences. You can easily switch between different chart intervals and types such as line, candlestick, mountain, and HLOC. This allows for a more tailored and dynamic visual representation of your data.

Nadex App

Nadex offers a mobile experience to its users, although it does not have a traditional mobile app. Instead, they have developed NadexGO, a progressive mobile application that can be accessed directly from a browser without the need for downloading. As a result, you won’t find NadexGO on platforms like Google Play or the App Store.

Using the NadexGO app is a breeze! All you need to do is launch your mobile web browser and enter the NadexGO URL. With this user-friendly platform, you can easily trade on Nadex using your smartphone or tablet from anywhere, giving you the flexibility and convenience you need in today’s fast-paced world. While using a mobile device for trading offers convenience and flexibility, it is worth noting that the overall experience is quite similar to the desktop version. There are no significant differences or unique features that set it apart from the desktop platform.

One major drawback of Nadex is that it lacks a dedicated mobile trading app. This puts them at a disadvantage compared to other brokers who provide both desktop and mobile platforms for traders.

With the help of a mobile trading app, you can conveniently continue trading online even when you are away from your computer. This means that you can stay updated and manage your online trading activities from anywhere using just the web browser on your phone. It allows for flexibility and ease of access to keep track of your investments on the go.

Research and analysis

When it comes to research and analysis on specific securities, Nadex might not be the ideal platform. They do not offer comprehensive resources or third-party research tools for traders. Consequently, it’s important to take the initiative and conduct your own thorough research before making any trading decisions on their platform. Doing your homework will help you make more informed choices.

There is a positive aspect to consider – you still have the opportunity to enroll in a series of webinars. These webinars offer valuable market insights and real-time technical analysis that can enhance your understanding and skills. Additionally, the platform offers a news section that keeps users informed with real-time market commentary. This section also includes in-depth analyses of different commodities and currencies, providing valuable insights for investors and traders.

Educational resources

Nadex stands out for its exceptional educational content, specifically designed to cater to the needs of new traders. The platform recognizes that the diverse range of markets in derivatives trading can often be overwhelming and confusing. Hence, Nadex ensures that it provides comprehensive educational resources to help traders gain a better understanding of these markets and make informed decisions. Nadex offers a complete education suite to its users, which includes a variety of valuable resources. These resources consist of tutorials, informative articles, interactive webinars, frequently asked questions (FAQs), and practical demos. All these tools are designed to provide users with extensive knowledge and guidance on how to make the most of their Nadex trading experience.

The Learning Center is a valuable resource filled with helpful how-to guides that will assist you in creating an account and beginning your trading journey with effective strategies. It also features a comprehensive glossary to aid in understanding new concepts, as well as a blog that keeps you informed about market news and any recent updates.

Nadex offers highly valuable webinars that are worth exploring. Their free webinars cover a range of complex trading tools in great detail, making it easier for novice traders to comprehend and learn how to effectively utilize them. This comprehensive guide covers the fundamentals of binary options, including how they work and common strategies. Additionally, it provides insights into new potential opportunities in the market and offers current market analysis to help you make informed decisions.

Nadex makes a concerted effort to ensure its users fully understand the concepts of binary options and spreads, going above and beyond to provide comprehensive explanations. By doing so, they aim to equip their users with the knowledge needed to navigate these financial instruments effectively. Nadex values skilled traders who are able to generate consistent profits in the long run. In order to support their traders’ success, Nadex provides free trading classes and additional resources like trading e-books. These tools aim to enhance traders’ knowledge and skills, ultimately helping them achieve their goals in the financial markets. Traders have access to a comprehensive educational experience and a dependable reference library through the online courses, e-books, and videos available in the library.


Analysts and economists rely on economic events to assess the overall macroeconomic condition of a country. These events have a direct impact on financial markets, making them crucial for investors. That’s why investors closely monitor economic data to make informed decisions. Economic calendars are valuable tools that provide a comprehensive list of major economic events. Traders can use these calendars to make predictions based on the scheduled events. In addition, traders have the option to directly participate in related markets that are impacted by these economic events. This enables them to have more flexibility and opens up potential opportunities for increased profits in the financial market.

With Nadex’s binary options feature, you have the opportunity to trade US macroeconomic events such as currencies or commodities. This feature allows you to place bets on important economic data, including unemployment rates. It is a way to actively engage in the financial markets and potentially profit from your predictions based on these events. Digital contracts that involve betting on economic indicators such as weekly jobless claims, nonfarm payroll numbers, the unemployment rate, and future GDP statistics are readily accessible.

Nadex Regulation

Binary options often raise skepticism among traders due to the prevalence of unregulated regions where sophisticated derivatives are frequently held. Unfortunately, this has attracted a number of con artists who take advantage of unsuspecting individuals in the market. Rest assured that Nadex, being a regulated platform by the US Commodity Futures Trading Commission (CFTC), is committed to providing you with an honest trading experience. As a regulated platform, they abide by strict rules and regulations set forth by the CFTC, ensuring that your trading activities are conducted in a fair and transparent manner.

At Nadex, you can trust that your funds are secure. They are held in reputable US banks and kept separately from the company’s own accounts, providing an extra layer of protection for your money. Nadex offers two important benefits. Firstly, their regulation provide a safeguard for your funds in the event that their platform faces insolvency. This ensures that your money is protected and secure. Secondly, Nadex enables businesses to automate both inbound and outbound wire transfers, making the process more efficient and streamlined.

Special Features

The Nadex platform is specifically designed for trading binary options and spreads, which means it offers features that are tailored to make these types of trades simpler and more user-friendly. As an exchange instead of a broker, you have the advantage of accessing free live market data. This can be incredibly useful as it allows you to stay up to date with real-time information. Thanks to the price ladder charts, you now have the option to place orders directly from a chart. This streamlined process allows you to seamlessly transition from analyzing charts for market selection to placing orders, all in one go.

Nadex’s binary options and spread contracts have a unique feature: the floor and ceiling levels. These levels are built into the contracts, which means that you know your maximum profit or loss in advance. This provides traders with a clear understanding of their potential outcomes before making any decisions. Before placing your trade, it’s important to note that the order ticket will display both the maximum possible profit and loss. This ensures that you will never lose more money than what is indicated on the ticket.

Nadex User Experience

Binary options trading is straightforward in its nature – it’s either a win or a loss. When it comes to opening a Nadex account, you don’t have to be an experienced trader in derivatives markets. All you need is a basic understanding of how these instruments work and being aware of the level of risk associated with them. Setting up a new Nadex account is quick and hassle-free. You won’t need to spend hours filling out lengthy online forms. Instead, the process consists of just five simple steps that can be completed in as little as five minutes. This efficient sign-up process ensures that you can start using your Nadex account without any delay.

Nadex excels at helping new clients navigate their platform and offers ample support to ensure they start trading successfully. Before diving into actual trading, it’s possible to get hands-on experience by using a demo account. Additionally, the Learning Center is a valuable resource that provides a wealth of educational materials for users to enhance their trading knowledge.

Getting started with a Nadex demo account is a simple and cost-free process. You don’t have to worry about having extensive experience in the derivatives markets, as anyone can create an account. To ensure your financial well-being, it is imperative to have a fundamental understanding of complex financial instruments. This knowledge will enable you to assess the associated risks and implement appropriate safeguards. By understanding your risk tolerance, you can protect yourself from potentially significant financial losses. It is important to take these precautions to safeguard your money effectively.

Seasoned derivatives traders might find it limiting, but it’s worth noting that Nadex currently offers only one browser-based platform. Unlike some trading platforms, this particular one does not offer a desktop or mobile app. While this may be seen as a downside by some, it can actually work in favour of new traders. By eliminating the technological advantage of the counterparty on the other side of the contract, it levels the playing field and ensures a fair trading experience for everyone involved.

Nadex Customer Service

Nadex is known for its exceptional customer support, whether you’re already a customer or thinking of opening an account. They prioritize accessibility, making it easy for you to reach out and get the assistance you need. Existing clients of Nadex have the option to get in touch with their customer support team through phone or email. Unfortunately, there is no live-chat feature available for those who prefer immediate assistance, nor is there a TTY line for clients with hearing impairments.

The Contact page on the website does not display a phone number for customer service. However, existing clients have the option to access customer service through their accounts. For customer inquiries, clients have the option to reach out to customer care through email or by utilizing the live chat feature available on the Contact page. Both methods provide convenient ways for clients to get in touch and receive prompt assistance from our support team.


Accepted Countries

Nadex is a global platform with a diverse membership base spanning multiple countries. They welcome applications from individuals residing in various countries worldwide.

  • Austria
  • Belgium
  • British Virgin Islands
  • Cyprus
  • Czech Republic
  • Denmark
  • Estonia
  • Finland
  • France
  • Germany
  • Greece
  • Guernsey
  • Hungary
  • India
  • Ireland
  • Isle of Man
  • Israel
  • Italy 
  • Japan
  • Jersey
  • Liechtenstein
  • Lithuania
  • Luxembourg
  • Malaysia
  • Netherlands
  • New Zealand
  • Norway
  • Poland
  • Portugal
  • Slovakia
  • Slovenia
  • South Korea
  • Spain
  • Sweden
  • Switzerland
  • United Kingdom
  • United States


Nadex is a prominent trading exchange that provides various benefits to traders. It primarily enables you to engage in secure transactions for buying and selling advanced derivatives like Binary options and call spreads. Nadex sets itself apart from traditional brokers by operating as an exchange. This unique approach allows Nadex to prioritize the best interests of its clients. Their main objective is to create a trading environment that is healthy and favorable for all participants, thus ensuring a positive experience for traders.

Nadex stands out as an excellent platform when it comes to providing educational content. Their resources are designed to help users gain a thorough understanding of binary options trading and empower them to confidently engage in the market. Whether you’re a beginner or looking to enhance your skills, Nadex’s educational materials will support you in getting started and making informed decisions.

It’s important to note that just because a broker is regulated, it doesn’t necessarily mean that it is the best choice for everyone to get involved with. Nadex’s derivatives are known for being complex instruments, which means that inexperienced traders should proceed with caution. Without proper understanding and care, there is a risk of incurring significant losses.

Prior to opening a Nadex account, it is crucial to have a comprehensive understanding of the risks involved with these derivative forms. By familiarizing yourself with potential risks, you can make informed decisions and ensure that you are well-prepared for any potential outcomes. If you’re new to trading binary options and don’t have any prior experience, it’s highly recommended to begin with a demo account. This allows you to practice trading without risking any real money. It’s important to note that the CFTC acknowledges the high risk associated with trading binary options.

To safeguard your account balance, it’s crucial to develop a solid strategy. Failing to do so could potentially expose your funds to risk. Therefore, it’s important to dedicate time and effort into devising an excellent approach that aligns with your financial goals and objectives. With Nadex’s capped risk guarantee, you can have peace of mind knowing that you won’t lose more than your initial deposit. This provides an added layer of protection for traders, ensuring that any potential losses are limited.

Nadex is highly recommended for short-term traders who are interested in trading binary options and spreads. It is a well-regulated exchange based in the United States, which adds an extra layer of security and trustworthiness to the platform. You can find a wide selection of options for trading binaries and call spreads on over 5,000 contracts. These contracts cover various assets such as FX pairs, stock indices, commodities, and even cryptocurrencies like Bitcoin. Nadex offers more than just traditional trading opportunities. It also allows users to speculate on macroeconomic events, providing a unique avenue for investors. Additionally, it is particularly favorable for active traders who enjoy day trading and want to place bets across a diverse range of products. This versatility makes Nadex a valuable platform for those seeking varied investment options.


Does Nadex charge fees?

Yes, Nadex charges fees. For each trade you make, there will be a trading fee that you need to pay for both opening and closing the trade. To enter a trade, you can expect to be charged $1 for each contract executed. Exiting a trade can be done in two ways: by placing a second trade in the opposite direction or by allowing the contract to expire naturally.

Is Nadex legit ?

Yes, Nadex is legit and considered a safe and trusted broker

Is Nadex regulated in the US?

Yes nadex is regulated in the US. Nadex operates under the regulation of the Commodity Futures Trading Commission (CFTC). This oversight ensures that Nadex adheres to strict financial rules and safeguards the interests of traders. Additionally, member funds are held in segregated accounts in major US banks. This arrangement provides an added layer of security and ensures that client funds remain separate from company assets.

What is the maximum amount I can withdraw from Nadex?

When using debit cards to deposit funds into Nadex, you have the flexibility to withdraw up to the amount that was initially funded on each card. However, please note that any previous withdrawals will be deducted from this available balance. It’s important to be aware of the maximum withdrawal transaction limit, which is set at $10,000. Additionally, there is a daily limit of $50,000 for withdrawals.

How to Trade Binary Options on Nadex?

To successfully navigate the trading process, there are several steps you need to follow. Firstly, you should make an effort to predict and understand market trends in order to make informed decisions. Next, carefully select the markets in which you want to trade based on your analysis. Once you have chosen a market, it’s important to choose a suitable strike price and expiration date for your trade. After making these selections, place your trade and patiently wait until expiration or consider closing the trade early if necessary. Following these steps can help increase your chances of success in trading endeavors.

How long does a demo account last on Nadex?

To maintain fairness and balance, it is important to note that your demo account can only be replenished once per day. You will find a helpful countdown timer indicating when it can be replenished again. This ensures a consistent experience for all users and encourages efficient use of the demo account resources.

Can you have more than one account on Nadex?

According to Nadex policy, it is important to note that only one active account is allowed at a time. Multiple accounts are not permitted, so it is advised not to open or fund more than one account. Additionally, it is strictly prohibited to access, fund or manage another individual’s Nadex Member’s account.

Has anyone made money on Nadex?

Absolutely, it is possible to make money with Nadex. However, it is important to note that many individuals do not succeed, but this can be attributed to their lack of skill and discipline as traders rather than any fault with Nadex itself. Becoming a successful trader requires a certain level of expertise and self-discipline.

Is trading on Nadex worth it?

While Nadex is an exchange platform that may not be suitable for everyone, it does cater to a specific type of trader. If you’re comfortable with high-risk and high-reward trading, Nadex could be the ideal choice for you. They offer a low account minimum and user-friendly platform, making it accessible for traders at all skill levels.