Last Updated on
Binance crypto exchange, the largest, and according to some, the best digital exchange in the industry, has once again come out with massive news that is likely to significantly impact its future. Binance has been extremely busy in the first half of 2019, and it seems that the second one will be just as busy, and just as successful.
Binance US revealed
According to the news, the exchange revealed that it would soon branch out into the US. The new Binance US will be exclusively for the US-based customers, finally allowing them the opportunity to trade on the world’s largest exchange. This is something that the US traders and investors were denied up until now, especially due to regulatory uncertainty within the country.
However, Binance appears to have found a way to bypass the risks regarding regulatory concerns. Its plan is to partner up with a FinCEN-registered firm, with which it will launch Binance US.
The move certainly came as a surprise to many, and the entire community speculated about the mysterious partnership with an unknown firm known only as BAM Trading Services. However, the fact that Binance is finally about to arrive in the US has seen a lot of excitement.
Wow this is *huge* news. Significantly reduces US regulatory risk for Binance in my opinion.
Disclosure: Multicoin owns BNB tokenshttps://t.co/zmLSXojTVG
— Tushar Jain (@TusharJain_) June 13, 2019
There is not a lot of information known about the entire arrangement at the moment, but what is known is that BAM Trading Services would handle operations. Binance, on the other hand, would be responsible for providing the technology, as well as the wallet. Further, its reputation is likely to be more than enough to attract US traders.
The platform’s launch date is also unknown at this time, although it is known that the exchange will comply with all US laws right from the start. This was confirmed by the exchange’s CEO, Changpeng Zhao, himself. He also added that the expansion would bring Binance’s speed, security, and liquidity to the US.
Binance US reduces regulatory risks
Many in the US were confused by the new development, especially considering that they can already access and trade on Binance’s original platform. But, due to the US regulatory uncertainty, this may result in Binance itself having issues. Binance then came up with the idea of launching a US-based exchange that would be compliant with the current laws right from the start.
While the main platform offers numerous different altcoins, many of them are not allowed by US laws, as the SEC considers them securities. If US traders were to buy these altcoins, both them and Binance would have to deal with legal difficulties. This may even include Binance’s native coin, BNB, which might not be available on Binance US.
Those who wish to buy Binance Coin will still be able to do so on the main exchange, although this is about to change in September when US users will be denied access. Once Binance US sees a launch, it will be the only part of Binance’s ecosystem they will be able to access.
12th of Sept, @binance.com will not accept US users anymore. But you can expect that by that time @BinanceAmerica will be launched. Binance will not be seen anymore as a 'tainted' operator and will become stronger than ever. This is a critical moment for the industry. @cz_binance https://t.co/ZaCzXZIX4F
— Alexandre Dreyfus (@alex_dreyfus) June 14, 2019
As mentioned, this comes as yet another big move for Binance, but it is only the latest one in a long line. The exchange already made titles countless times in 2019, by opening two crypto-to-fiat exchanges — Binance Jersey in Europe, and Binance Singapore in Asia. It launched its own blockchain, its own DEX, and unfortunately — it even went through a hacking attack which resulted in a theft of 7,000 BTC. Now, the new Binance US brought it to the spotlight yet again, and while a lot of details are unknown at this time, the move is still extremely significant for the exchange that keeps getting bigger.