Binance, the world’s largest cryptocurrency exchange, has announced that it will restrict its services to users in South Korea.
The exchange stated in a statement on Friday that the reason is to proactively comply with local regulations after it evaluated its services and products, as it does on a regular basis.
In a long series of events in what appears to be unstable regulatory progress, Brian Brooks, CEO of Binance US and former acting Comptroller of the Currency, announced his departure from the exchange just before HSBC suspended payments tied to the Binance exchange.
Its decision to discontinue derivatives and products in Hong Kong ahead of the regulator’s hammer in Korea is a step in the right direction for the world’s largest exchange firm.
The exchange firm has ceased trading in local fiat currencies and has stopped accepting deposits in Korean won.
It has also limited the use of P2P merchant applications. At 11:00 UTC, the exchange removed KRW pairs. Finally, the exchange terminated the platform’s support for Korean language websites.
One reason why Binance’s proactive move in Korea is a good one is that the country is not on the long list of countries where financial watchdogs have issued warnings or notices that Binance is not permitted to operate.
This is despite South Korea’s difficult crypto regulatory environment.
Last month, Korea’s Financial Intelligence Unit informed foreign cryptocurrency exchanges that they had until September 24 to register in accordance with new anti-money laundering laws or face access restrictions and possible criminal investigations.
Binance exchange has left Malaysia.
Binance has left Malaysia after the Securities Commission Malaysia ordered it to close all of its operations in the country at the end of last month. The exchange resulted in a 14-day deadline to leave the country.
Binance was initially placed on a blacklist by Malaysia’s regulator in July 2020, but the exchange continued to operate despite this.