Binance Australia Collaborates with Regulators Amid Reports of Office Searches
Binance, one of the leading cryptocurrency exchanges, has announced its proactive cooperation with Australian regulators to ensure full compliance with local regulatory requirements. This development comes in response to recent reports alleging that the offices of Binance Australia were subjected to searches on July 4.
Binance Australia, in close collaboration with local authorities, is diligently working towards meeting all necessary compliance requirements. A spokesperson representing Binance Australia has reiterated the company’s commitment to adhering to local regulatory standards, thereby enabling them to serve their Australian user base in a fully compliant manner.
According to reliable sources cited in Bloomberg, the Australian Securities and Investments Commission (ASIC) conducted the aforementioned searches at various Binance Australia locations. These investigations are part of an ongoing probe specifically focused on Binance’s now-defunct Australian derivatives business. The sources have requested anonymity while disclosing these details.
However, when approached by Cointelegraph for official confirmation or denial regarding the searches and the potential local probe, the Binance representative refrained from providing any specific comments.
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This latest development follows the ASIC’s decision to revoke the license of Binance Australia Derivatives in April 2023. The ASIC had initiated a comprehensive review of Binance’s operations within the country, with a particular emphasis on the classification of retail and wholesale clients on the platform.
In response to the ASIC’s actions, Binance strategically opted for a “more focused approach” in Australia. As a result, the exchange discontinued derivatives trading activities in the country while continuing to offer spot trading services to its Australian users.
It is worth noting that Australian regulators had previously launched an investigation into Binance following the abrupt closure of certain derivatives positions in February. At that time, Binance cited compliance with investor classification regulations as the reason for restricting users who did not meet the requirements to be classified as wholesale investors.