The European Securities and Markets Authority (ESMA) announced three-month ban on the marketing, distribution or sale of binary options to retail investors and a set of restrictions on CFDs offered to the same type of clients.
The restrictions on CFDs include leverage limits on opening positions; a margin close out rule on a per account basis; a negative balance protection on a per account basis; preventing the use of incentives by a CFD provider; and a standardized risk warning.
To be more precise, the leverage limits on the opening of a position by a retail clients will range from 1:30 to 1:2, depending on the underlying asset.