![]() This blurs the lines between cryptocurrency tokens and company stocks, which has raised concerns among regulators. Binance’s stock tokens: Binance has a new product called “stock tokens”, which are cryptocurrencies pegged to the value of several stocks.Some regulators feel uncomfortable with this possibility. Crypto derivates: These instruments allow investors to borrow to leverage the amount they invest, which is hazardous for retail investors.Lack of transparency: Many regulators believe that Binance is not making the best effort to alert for the risks associated with crypto trading, including that investors can lose all their money (not only through their investments but also in company aspects not controlled by investors – Remember what happened to FTX?).No regulation, no operation: Since most financial markets regulators do not supervise the crypto space, they may ban and even prohibit advertising from Binance.In most countries, the exchange has been accused of operating without regulatory clearance. The Binance exchange has suffered multiple regulatory clampdowns worldwide. Many users have reported that Binance closed their accounts because they reside in one of their unsupported countries – including users from Serbia, Bosnia, Iran, Myanmar, among other countries. You can this information here (AMF website). įinally, in May 2022, France has become the first big European nation to grant Binance (“BINANCE France SAS”) as a Digital Asset Service Provider (DASP) registered by the Autorité des marchés financiers (AMF) with the approval of the Autorité de Contrôle Prudentiel et de Résolution (ACPR). ![]() This includes the UK, Belgium, France, Germany, Italy, and others. For instance, the exchange has a list of countries it supports for crypto to fiat withdrawals. While Binance doesn’t have a detailed list of supported nations, it does have a list of specific features allowed for certain countries. ![]() However, due to strict financial regulations globally, Binance has restricted its product offerings to customers in certain countries. The exchange continues to operate in several countries in the Americas, Europe, Asia, and others. Since Binance is just crypto to crypto exchange, until recent times, it could operate in almost every country worldwide – unless the country had decided to block Binance for some reason, including not complying with the country’s regulation.Īt press time, Binance does not have an official list of supported countries. rules.Generally, conversion of crypto to fiat is restricted in some countries and has to follow tight regulations. This, however, did not stop the Commodity Futures Trading Commission (CFTC) in the US from initiating an investigation against Binance Holdings for allowing Americans to “make bets that violated U.S. The same was formed separately after Binance was banned in the U.S to ensure better compliance with all the applicable U.S laws. Taking a deeper look at the regulatory issues that the world’s largest cryptocurrency exchange has dealt with in the past, it may be relevant to revisit the incorporation of Binance.US. Last year, the Malta Financial Services Authority had announced that Binance was “not authorized to operate in the cryptocurrency sphere” in Malta. A similar warning was issued by the Japanese FSA against Binance in March 2018. ![]() Here, it’s worth pointing out that the aforementioned development came on the heels of the news that Japan’s Financial Services Agency (FSA) issued a warning to Binance for operating in the country without permission. ![]() Regrettably, Binance can no longer continue to service Ontario-based users.” “Binance has updated its Terms of Use to provide that Ontario (Canada) has become a restricted jurisdiction, effective at 3:59:59 AM (UTC). As per the official announcement released by Binance, Arguably the world’s biggest cryptocurrency exchange, Binance, is in the news today after it advised its users in Ontario, Canada to “close out all active positions” by the end of this year. ![]()
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