First off, the most important parts of the bill were deleted, letting the binary options industry survive. Take the section within the bill that demanded online trading companies based in Israel obtain licenses from the financial regulators of countries in which they operate. This part of the bill was meant to ensure that binary options brokers did not use Israel as a hub for their fraudulent operations. In the past few years, Israel had become the favorite location for these brokers to set up shop, attracting both good and bad brokers. About 90% of binary options brokers were based in Israel. The Knesset was attempting to dissuade them from Israel.
However, some important parts of the bill have been removed. Binary options are still completely banned, but they are the only financial instruments mentioned. Some experts have claimed that this leaves a loophole for fraudulent brokers to take advantage of. In fact, this change in the bill only became public after the bill had been passed, having been kept under the table through the process.