As the crypto industry continues to dominate, financial regulators fear criminals will turn to the industry for their illicit activities. This year 2021, has actually been hot for the crypto market in regards to policy. Many financial watchdogs in the USA and other countries pushed harder to regulate the sector.
Some leading exchanges, consisting of Binance, saw a great deal of pressure from a number of bodies, particularly on a lot of their items.
The reason was that many of these exchanges could serve as a means of money laundering given the anonymity of the transactions. As an outcome, some nations keep restricting the operations of crypto exchanges in their markets.
Binance has seen a lot of pressure from regulators all over the world. Some nations and peak monetary bodies such as the Dutch Central Bank have actually implicated the exchange of non-compliance with monetary laws versus terrorism.
Australia Bans Crypto Futures Trading
Amid the pressure on the largest crypto exchange, the Australian government has banned them from offering their crypto futures and options in their market. So now, traders will no longer gain access to such items from Binance.
The government even warned all their citizens and residents who have invested in futures, options & leveraged tokens to close their position within 90 days. Binance revealed this guideline on September 20, 2021.
Based on the available information, all Australian users will not invest in these products starting from Friday, September 24. But they can increase their margin balances versus liquidation & margin calls. But from December 24, 2021, all manners of transactions on derivatives will close down.
In action to this limitation, Binance’s representative mentioned that they intend to make sure compliance and approval for all their items.
As such, they usually monitor the regulatory requirements of the localities wherein they operate. But with the current advancement, the business will likewise attempt to safeguard the interests of the users.
Restrictions On Binance Keep Growing
Apart from the recent restrictions in Australia, other countries have been limiting the operations of Binance in their markets. In addition, numerous worldwide regulators have actually likewise been providing cautions to the exchange.
For instance, last month, the exchange stopped offering its derivative trading services in Brazil. Before that, the Hong Kong federal government likewise suspended its operations.
Binance also halted its crypto derivatives trading in many other countries, such as Netherlands, Germany, and Italy. According to the exchange, it has actually chosen to stop those services in European nations.
