Binance, the world’s largest cryptocurrency exchange by trading volume, is unavailable in the United States. The company announced the news on its blog today, saying that “Binance US will be a digital asset platform providing an easy-to-use interface for U.
S. customers to buy and sell digital assets on a secure and compliant platform.”.
Binance US will be operated by BAM Trading Services, a money services business registered with the Financial Crimes Enforcement Network (FinCEN). Binance US will be available in most states, but not all.
The exchange will not serve users in Alabama, Alaska, Arizona, Arkansas, Connecticut, Florida, Georgia, Hawaii, Idaho, Louisiana, New York, North Carolina, Texas, and Vermont.
Binance CEO Changpeng Zhao said that the company had been working on launching a U.S.
-compliant platform for “some time” and that it is “excited to finally launch it.” He added that Binance US will have “the same robust technology platform” as the main Binance exchange but with “enhanced compliance and due diligence procedures.
Binance first announced plans to launch a U.-compliant exchange in June 2018. At the time, Zhao said that the company was “committed to complying with U.
regulations” and that it would take “a very conservative approach” to doing so. The launch of Binance US comes as the U. Securities and Exchange Commission (SEC) has cracked down on unregistered exchanges and ICOs.
The SEC has also taken action against individuals and companies for violating securities lAWS related to cryptocurrencies. In November 2018, the SEC charged two co-founders of an ICO with defrauding investors.
And in September 2018, the SEC charged a man with running a Ponzi scheme involving Bitcoin and Ethereum investments.
The launch of Binance US comes as other major cryptocurrency exchanges have been expanding their operations in the United States. Coinbase, for example, recently announced that it was launching an crypto exchange called Coinbase Pro in 26 states. And Kraken is also planning to launch a U.-compliant exchange later this year.
It is evident that Binance is taking a cautious approach to launching its U.
-compliant exchange given the current regulatory environment surrounding cryptocurrencies in the United States. The company is clearly aware of the challenges it faces in operating an exchange in the United States and is taking steps to ensure compliance with all applicable lAWS and regulations.