Popular cryptocurrency exchange Binance has announced that it is halting support for cryptocurrency futures and options trading in three European nations – Germany, the Netherlands, and Italy.
Binance noted in a blog post today that the move is part of an effort to evaluate its products and offerings to better serve its clients globally.
Following the latest developments, residents of the three European countries will no longer be allowed to create new cryptocurrency derivative accounts and trade the products.
In addition, Binance’s existing crypto derivative customers within the prohibited countries will be given a later date after which they are to close all open positions for the product within a 90 day period following the announcement.
More to Follow
Notably, the stringent move will initially be implemented in Germany, Italy, and the Netherlands, however, the world’s largest exchange is planning to discontinue the trading of cryptocurrency futures and options across the whole of Europe.
“Binance plans to wind down its futures and derivatives products offerings across the European region,” excerpts of the announcement read.
While European crypto derivative traders would have no choice but to come to terms with Binance’s decision, a new report published by the Wall Street Journal (WSJ) today stated that U.S. customers are still bypassing the ban on accessing and trading crypto derivatives on Binance.
Binance Regulatory Woes Continue
With Binance winding down crypto derivatives in the countries, the exchange would avoid several European rules that are associated with the offering, especially now that it has been under increased scrutiny from global regulators.
Earlier today, Malaysia’s Securities Commission (SC) declared that Binance was not authorized to operate in the country, and as such, the exchange was given 14 business days to shut down its operations within the region.
Malaysia joins other nations like the United Kingdom, Italy, Germany, Japan, Thailand and the United States that have accused Binance of conducting unregulated activities in their environments.
The Thai government also took things to the extreme, as the country’s regulatory watchdog noted earlier this month that it had filed a criminal complaint against Binance for offering unregistered services in the country.
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