binary option
nounUK /ˈbaɪnəri ˈɒpʃən/
US /ˈbaɪnəri ˈɑːpʃən/
A bet where you guess if a price will go up or down and win or lose everything.
He lost all his money trading binary options online.
RELATED WORDS
OTHER MEANINGS
2. A financial contract that pays a fixed amount if a condition is met and nothing otherwise.
The binary option paid out only if the stock closed above $50.
3. A choice between exactly two possible outcomes.
The vote was a binary option: yes or no.
4. An investment product often criticized as a form of gambling.
Regulators warned that binary options are risky for small investors.