The Monetary Authority of Singapore (MAS), the financial regulator and the central bank of Singapore, put the crypto exchange Binance.com on the warning list for investors.
The agency’s investor warning list lists unregulated companies that may have been incorrectly deemed unlicensed or unregulated by the regulator.
What makes this matter interesting, however, is that Binance’s Singapore – Binance.sg – is not currently on the list of investor warnings.
It is therefore unclear why MAS put Binance.com on the Investor Alert List and not Binance.sg – Binance Singapore. It is still unclear whether the supervisory authority classifies Binance.sg as being the same as Binance.com.
The development comes a week after Binance.com hired Richard Teng, the former Chief Regulatory Officer of the Singapore Stock Exchange, as CEO of Binance Singapore. Teng also worked for MAS for 13 years, where he expanded his career to become the agency’s Director of Corporate Finance.
Meanwhile, a Binance Group spokesman spoke on the matter, making it clear that Binance.sg and Binance.com are different exchanges.
The spokesman said that Binance Singapore – Binance.sg – does not offer any services or products through the Binance.com website.
“Binance Singapore operates in Singapore with its local leadership and management team. It is backed by Vertex Ventures Holdings and focuses solely on growing the Singapore cryptocurrency ecosystem and serving Singapore users, ”the spokesman said.
In August, a MAS spokesperson stated that Binance Singapore is a company operating through Binance Asia Services Pte Limited.
The MAS spokesperson announced that Binance Asia Services Pte Ltd is currently unlicensed but has applied for a license and the regulator is reviewing the application. The spokesman went on to explain that Binance.sg is exempt from holding any authorization under the Singapore Payment Services Act until the application is approved, withdrawn or denied.
Therefore, the inclusion of Binance.com on the MAS Investor Alert List may serve as a reminder of the above pre-existing circumstances and that Binance.com, while temporarily exempt, is not licensed.
Binance is facing pressure from other regulators
The development is the latest in Binance’s ongoing war with regulators.
A few months ago, financial regulators around the world targeted Binance, the premier cryptocurrency exchange. Some regulators have banned certain activities from the exchange, while others have warned consumers that the exchange is not licensed to operate.
Binance is the largest crypto exchange in the world. Trading volume was $ 454 million in July, almost a third less than a month before the platform faced regulatory wrath.
Binance has undergone regulatory scrutiny by regulators around the world. In the past few weeks, many regulators, including the UK, Hong Kong, Italy, Malaysia, Japan and Germany, have issued warnings about Binance.
On August 18, the Dutch central bank stated that Binance was failing to comply with the country’s anti-money laundering and anti-terrorist financial laws.
Binance has also been investigated by the US Internal Revenue Services and the Department of Justice.
Binance has responded publicly to such cases by stating that it takes compliance obligations seriously and is committed to complying with all regulatory requirements wherever it does business.
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