Clients from these three nations will have 90 days from a yet-to-be-determined later date to end their open positions. Binance went on to say that Europe is a crucial market for the company, praising the region’s “proactive measures toward unifying crypto legislation.”
Binance’s Tough Relationship With International Regulators
The move is the latest in a series of actions taken by Binance to beef up its compliance mechanisms in an attempt to assuage global authorities’ concerns about local rules. Throughout July, the exchange reduced daily withdrawal limits stopped offering stock token trading, introduced a tax reporting tool, and reduced leverage restrictions.
In reaction to ongoing regulatory scrutiny, the embattled cryptocurrency exchange Binance has decided to shut down another of its crypto goods. Across three European nations, the exchange will no longer offer crypto-based futures and derivatives.
In Europe, Binance is winding down derivatives and futures.
Customers in the Netherlands, Italy, and Germany, in particular, would be affected by the new shift, which will effectively prevent them from opening new futures or derivatives accounts.
To say the least, Binance has recently been the subject of regulatory scrutiny from the UK, Japan, Italy, Singapore, and the Cayman Islands, among others.
On Friday, Malaysia took enforcement action against Binance, exacerbating the exchange’s regulatory woes. According to a statement released by the Securities Commission (SC) Malaysia, the exchange has continued to operate in Malaysia despite previous warnings.
Binance now has 14 days, beginning July 26, to disable its website (www.binance.com) and mobile apps, cease all media and marketing operations for its services, and ban investors in the nation from joining its Telegram channel. CEO Changpeng Zhao, in particular, has been tasked with enforcing these judgments.
In the meantime, Zhao has previously emphasized that “compliance is a process.” If the exchange is able to identify a good candidate with a strong regulatory background, he is even willing to resign.