In Costa Rica, binary options brokers are not regulated by the government, which is an important reason why some international binary options brokers have chosen to set up an office there. Instead, these brokers are merely registered as legal businesses in the country, and operate largely without government oversight.
To compensate for the lack of regulation, some binary options brokers in Costa Rica and other places are members of independent financial dispute resolution organizations. These organizations can mediate between brokers and traders in the event of a dispute. This can provide at least some peace of mind for binary options traders who are trading with unregulated offshore-based binary options brokers.