Lots of benefits, that is why big markets for them exist. I would say that in the FX world most of the derivative volume is in exotic options. In the US there is no much access to exotic options for retail traders, with a few exceptions, like binary options (european) in Nadex, and the new BYrd;s from NYSE.
I'm looking forward to live demo examples - is that possible? One thing is for sure - this thread will go nowhere like ALL foreign market option or exotic option threads Nobody on ET trades that shit.
Binary...exotic...power options...whatever you want to call it...are for gamblers. and gamblers lose, in the long run.