Binance has continued to limit its services as the crypto Exchange will soon cease offering futures, options and leveraged tokens to its customers in Australia. According to the official announcement on Tuesday, the step has been taken to comply with local regulations.
This came as an extension of already imposed restriction in Australia as the crypto exchange last month ceased the Australians from opening new accounts for trading options, margin products and leveraged tokens.
Though the crypto exchange giant will stop its offerings on September 24, the Aussie clients will have a 90-day deadline to reduce and close their positions for the ceased products. The exchange will allow users to increase or open new positions, but they can top-up margin balances to prevent margin calls and liquidations.
“Users will no longer be able to manually reduce or close their positions after 2021-12-23 11:59 PM (UTC). Thereafter all remaining open positions will be closed,” Binance stated.
Compliance Is a Must Now
Once aimed to offer crypto trading services with almost every local fiat currencies, Binance is facing heavy regulatory backlash now. Multiple regulators, from big and small jurisdictions, are flagging Binance’s services for offerings without holding requisite licenses.
The financial regulator of Japan even said that the exchange is operating in the country without the mandatory license, while the Malaysian financial watchdog made the exchange exit the country.
While the Australian regulator did not specifically issue any warning against Binance, it issued a general warning against all unlicensed crypto exchanges offering services to Aussie traders.
“Our aim is to create a sustainable ecosystem around Blockchain technology and digital assets,” Binance added. “Binance welcomes developments to our industry’s regulatory framework as they pose opportunities for the market players to have greater collaboration with the regulators.”
