Binance Removes SGD Trading Pairs and Payment Options for Singapore Users to Be Compliant with Local Regulations
Leading cryptocurrency exchange Binance is reviewing the products and services it offers in Singapore in order to remain compliant with local regulations.
On the weekend, Binance announced that starting on Sept. 10, the exchange will no longer offer SGD trading pairs and SGD payment options to the users of Singapore. Also, it is removing the app from Singapore iOS and Google Play stores.
As such, the exchange has advised its Singaporean users to complete all of their P2P trades and remove related trade advertisements by Sept. 9.
The exchange further noted that it is also not operating any official Telegram or online communication channels in the city-state.
“We are committed to working constructively in policy-making that seeks to benefit every user.”
“Binance welcomes developments to our industry’s regulatory framework as they pose opportunities for the market players to have greater collaboration with the regulators.”
This move comes after earlier in the week, Singapore central bank put it on the investor alert list and said post review the MAS found that Binance.com could be in violation of the Payment Services Act and should stop providing payment services to its residents without a proper license.
Binance’s Singapore entity has submitted a license application to the Monetary Authority of Singapore (MAS), and currently, it is exempted from holding a license to operate as a digital payment token service provider.
“Binance (global) would have to show that it has remediated any shortcomings,” as MAS takes a “holistic view” on the application, said Nizam Ismail, founder of Ethikom Consultancy, a Singapore-based consultant, which advises firms on compliance and regulation of the central bank.
Last month, Binance hired Richard Tend, who spent two decades with the MAS and Singapore Exchange Ltd, to head its Singapore operations.
Binance operates in Singapore through a separate legal entity Binance Asia Services (BAS), with its own local executive and management team, which earned S$645,291 ($480,840) in revenue for the financial year ending March 2020, according to a filing to the Accounting and Corporate Regulatory Authority (ACRA).
Binance CEO Zhao Changpeng, who resides in Singapore, is the majority shareholder of BAS, according to ACRA. Binance Asia counts Temasek Holdings Pte.’s Vertex Venture Holdings Ltd. in its investor list.