Binance halts spot trading, fiat deposit services among others, in Singapore
dditionally, no user will be able to purchase cryptocurrencies through fiat channels and liquid swaps.
The development comes after Binance made further changes to comply with the Monetary Authority of Singapore [MAS], by ceasing all related trades. Now, Binance has asked its Singapore users to withdraw fiat assets and redeem tokens by Wednesday, 26 October, 04:00 AM UTC to avoid potential trading disputes.
Earlier this month, the country’s central bank had ordered Binance to stop soliciting trades for Singapore’s resident customers. Following this, the exchange had stopped offering SGD trading pairs and payment options. It had also withdrawn its app from the iOS and Google Play Store in the country.
The crackdown comes as Singapore regards Binance to be in violation of the country’s Payment Services Act. Following this, the exchange platform was placed on the central bank’s Investor Alert List. Ergo, Binance’s peer-to-peer [P2P] trading had also come to a halt. However, it is noteworthy that Binance.com and its Singapore entity are separate entities. Binance had clarified that,
“Binance Singapore (Binance. sg) is a separate legal entity from Binance.com with its local executive and management team and does not offer any products or services via the Binance.com website or other related entities, and vice versa.”
Meanwhile, CEO Changpeng Zhao had previously stated that Binance’s Singapore unit under Binance Asia Services was working with the local authorities to obtain a license under the Payment Services Act (PAS). Currently, its application was being reviewed.
The Payment Services Act (PSA) regulates the crypto sector in the country. Crypto-platforms in Singapore also need to adhere to anti-money laundering and counter-financing of terrorism (AML/CFT) guidelines. While there are regulations in place, the country’s stance has been proactive and favorable for businesses in the crypto-sector. Moreover, China’s latest course of action to ban cryptocurrencies is also expected to push more businesses to Singapore.