OptionRally - yet another dodgy investment

We've been contacted by various people asking about OptionRally, an investment scheme that offers remarkable returns.

They claim to offer trading in "binary options" which they explain as follows:

"Binary options are also known as fixed return and digital options. They can be used to trade underlying assets and Binary Option Brokers payout pre-determined profits and losses which are known to the investor even before their options are executed.
In particular, when any of your binary options finishes in-the-money then, as an OptionRally registered member, you will be paid a profit as high as 78% of your original deposit."

They suggest that the profits can be fantastic:

Let's face some facts. If 78% was possible don't you think the banks, legitimate investment companies and Governments (those with spare cash) would be investing in them?

I'm not the only one to be suspicious. You can see warnings from others here, here, here and here.

You can also tell a lot from their own disclaimer. Apparently the prices they offer "MAY NOT CORRESPOND TO ANY OTHER MARKET PRICE AVAILABLE TO YOU FROM DIFFERENT MARKETS AT THE POINT IN TIME IN WHICH YOU PURCHASE THE BINARY OPTION".

So the prices they offer are not the market prices?

I went to their web site and registered under an assumed name and they phoned me a little later. Despite claiming that they have an office in London they are not registered with the UK's Financial Service Authority, they admitted that and I checked it as well.

Clearly they should NOT be trusted with your money!

Update: this is the address they give as their HQ in Switzerland, where they claim to be based. Impressive, isn't it?