Binance, one of the world’s largest cryptocurrency exchanges by trading volume, has been “banned” in the state of Texas.
The ban comes in the form of a cease and desist order issued by the Texas State Securities Board (SSB) on Tuesday.
In the order, the SSB alleges that Binance is illegally offering securities in the form of digital tokens to Texas residents.
“Binance is not registered with the SEC as a broker-dealer or investment adviser, and is not registered with the Texas State Securities Board as a dealer or investment adviser,” the order reads.
The order also alleges that Binance is “engaging in misleading marketing practices” by promising “guaranteed returns” on its investment products.
NOTE: WARNING: Binance has not been officially banned in Texas; however, it is not authorized to do business in the state. There is no indication that this will change in the near future. Therefore, use of Binance services in Texas may be considered a violation of state securities laws, and users should use caution when considering whether to utilize such services.
Binance has until May 15 to respond to the cease and desist order. If it fails to do so, the SSB says it will “pursue appropriate legal action.”
This is not the first time Binance has come under fire from regulators. In March, the SEC issued a similar cease and desist order to Binance-owned cryptocurrency exchange Binance US.
The SEC accused Binance US of illegally offering digital tokens that are classified as securities.
It is unclear if Binance US will face any legal action from the SEC. However, if Binance US is found to be in violation of securities lAWS, it could be fined or even shut down.
For now, it seems that Binance is still operating normally in Texas. However, if it does not comply with the SSB’s order, it could face serious legal consequences.
6 Related Question Answers Found
Binance, one of the world’s largest cryptocurrency exchanges by trading volume, is not currently available to customers in Texas. While the reasons for this are not entirely clear, it may have something to do with the state’s stringent regulations surrounding money transmission businesses. In order to operate in Texas, money transmission businesses must obtain a license from the state’s banking regulator, the Texas Department of Banking.
Binance US, the American arm of the world’s largest cryptocurrency exchange by trading volume, is not currently operational in the state of Texas. The reason for this is two-fold. First and foremost, the company has not yet obtained a Money Transmitter License (MTL) from the state of Texas.
Binance US, the American arm of the world’s largest cryptocurrency exchange, is not currently available in Texas. The reason for this is unclear, but it may be due to regulatory reasons. Binance US is available in most other states, so Texans will likely be able to access the exchange in the future.
Texas is home to a large number of cryptocurrency investors and enthusiasts, so it’s no surprise that the state is also home to one of the most popular cryptocurrency exchanges, Binance. However, it appears that Binance has been banned in Texas. The Texas State Securities Board (SSB) has issued an emergency cease and desist order against Binance, alleging that the exchange is illegally offering securities in the state.
Binance US, the American arm of the world’s largest cryptocurrency exchange, is now available in Texas. The move comes after the exchange received money transmitter licenses from the state’s Department of Banking and Securities Commission. The news was announced in a blog post on Thursday, which also revealed that Binance US had added support for wire transfers.
Binance US, the American arm of the world’s largest cryptocurrency exchange by trading volume, does not currently work in Texas. The reason for this is unclear, but it may have something to do with the state’s stringent money transmitter lAWS. Binance US is a digital asset exchange launched in 2019 and operated by Binance Holdings Ltd., the parent company of the world’s largest cryptocurrency exchange by trading volume.
