The list of regulators warning that Binance is operating illegally in their jurisdictions continues to grow. Authorities in Singapore and South Africa recently warned that global cryptocurrency exchanges may violate their local laws.
South Africa’s financial regulator warns of Binance
The South African Financial Regulator released a notice on Binance on Friday stating:
The Financial Sector Conduct Authority (FSCA) warns the public to be careful and vigilant when dealing with the Binance Group as it is not authorized to provide financial advice or brokerage services under the Financial Advisory and Intermediary Services Act, 2002 (FAIS Act) in South Africa .
The announcement describes the Binance Group as “an international company based in the Seychelles that has a Telegram group that members of the South African public can join in order to gain access to their cryptocurrency exchange platform”.
In addition, the regulator stated that “crypto-related investments are currently not regulated by the FSCA or any other body in South Africa”.
The Monetary Authority of Singapore (MAS) has asked Binance to stop providing payment services
Binance is also in trouble in Singapore. The Monetary Authority of Singapore (MAS), the country’s central bank that oversees the country’s crypto sector, issued a statement on Binance on Thursday saying:
MAS has reviewed the operation of Binance.com and believes that Binance, the operator of Binance.com, may be in violation of the Payment Services Act.
The central bank added, “Binance is required to cease providing payment services … to Singapore residents and to stop soliciting such transactions from Singapore residents.”
The MAS also added Binance.com to its Investor Alert List, warning consumers that the company is not authorized to provide payment services in Singapore. Binance Asia Services (BAS), a separate entity that operates Binance.sg, has applied for a license with the central bank.
Last week, Binance announced that it had hired a former regulator as the new CEO for its Singapore operations. Binance is committed to becoming “a leader in regulatory compliance” as it evolves into a financial services company.
The global crypto exchange has recently drawn the focus of many regulators, including in the UK, the Netherlands, Thailand, Malaysia, Japan, Germany, Hong Kong and Lithuania. They claimed Binance operated in their jurisdictions without authorization.
What do you think of all of these regulators warning that Binance is operating without authorization? Let us know in the comment section below.
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