[2019-06-14]Binance to Stop Serving US Traders Following Announcement of US-Dedi

1Referee

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Quote from: o_e_l_e_o on June 14, 2019, 08:26:14 PM

It's soon going to be impossible to buy altcoins in the US, and impossible to buy bitcoin without KYC. We need a much stronger P2P scene.

I think it will lead to a healthier market with less pumps and dumps. Most serious buyers of Bitcoin in the US are using either Coinbase, Kraken or Bitstamp. No one in his right mind loads up on Tether and sends it to Binance. Their USDC vs BTC volume hovers around $10 million (give or take) which is a much closer reflection of the interest in Binance from US users.

But yeah, this might also function as extra stimulator for people to look into the peer to peer market, because when an exchange does what you want it to do, there is no reason to look for an alternative. They have that reason now.

Vishnu.Reang

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Quote from: figmentofmyass on June 15, 2019, 12:27:38 AM

it may not last for long though. with the new FATF recommendations coming down the pipeline, it may only be a few weeks or months before we start seeing mandatory KYC becoming the norm.

You are right. The authorities are increasingly creating issues for exchanges which are non-KYC compliant. Another Bitcoin bull run sometime in the near future may be the ideal opportunity for the Feds, to attack the exchanges. I don't think that in such a scenario we may have any other option. At least for the US citizens, KYC may become mandatory.

Fabienne_ayy

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Quote from: Vladdirescu87 on June 14, 2019, 04:39:19 AM

Binance to Stop Serving US Traders Following Announcement of US-Dedicated Platform

Major crypto exchange Binance announced today, June 14, that it has updated its terms of use, which notably includes a restriction of services to United States-based individual and corporate traders. The restriction follows yesterday’s news that the company is launching a separate, fully regulated fiat-to-crypto platform for the U.S. market.

Today’s announcement provides a timeline for the new terms to come into effect, specifying that:

“After 90 days, effective on 2019/09/12 [12th September 2019], users who are not in accordance with Binance’s Terms of Use will continue to have access to their wallets and funds, but will no longer be able to trade or deposit on Binance.com.”

https://cointelegraph.com/news/binance-to-stop-serving-us-traders-following-announcement-of-us-dedicated-platform

https://images.cointelegraph.com/images/740_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS9zdG9yYWdlL3VwbG9hZHMvdmlldy81MzI4MDQxNzRjY2Y3YmU4NWQwNzkxZmZmMDE1MjBhNC5qcGc=.jpg

The firm has to date launched fiat-crypto platforms in Uganda, Singapore and Jersey, with support for a limited range of cryptocurrencies.

These three are the most crypto-friendly places though, fair enough

figmentofmyass

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Quote from: Sithara007 on June 15, 2019, 12:03:26 AM

Please correct me if I am wrong, but as far as I know there is no KYC requirement with Binance. So if the user access the exchange through a VPN, then it will be impossible to know whether he is from the US, or from some other country. So are they going to enforce KYC for all the customers? Even that is not a 100% risk-free method.

this will probably work for the time being. it's a well known fact that american traders access bitmex, bitfinex, deribit, etc through VPN. you'll risk account termination for violation of their terms if they flag your account and demand KYC, but i've never heard of anyone not getting their coins back over it.

it may not last for long though. with the new FATF recommendations coming down the pipeline, it may only be a few weeks or months before we start seeing mandatory KYC becoming the norm.

Sithara007

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Please correct me if I am wrong, but as far as I know there is no KYC requirement with Binance. So if the user access the exchange through a VPN, then it will be impossible to know whether he is from the US, or from some other country. So are they going to enforce KYC for all the customers? Even that is not a 100% risk-free method. Users in the US can find someone in third world countries to do the KYC for them.

figmentofmyass

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Quote from: o_e_l_e_o on June 14, 2019, 08:26:14 PM

Whatever happen to the land of the free? Quickly becoming the land of the strictest regulations and biggest nanny state. I'd be interested to know if simply using a VPN will be enough to bypass this, or if Binance are going to start KYC for all customers (likely, given the new FATF recommendations).

The new Binance US is likely to be a very different entity. KYC requirements and a very small offering of coins. More like Coinbase than like Binance. It's soon going to be impossible to buy altcoins in the US, and impossible to buy bitcoin without KYC. We need a much stronger P2P scene.

i don't think this is about altcoins per se. it's about tokens regulated by the SEC. americans still have access to lots of altcoin markets through bittrex and poloniex, for example. both of those exchanges also de-listed a bunch of markets for USA customers over the past few weeks. poloniex specifically cited concerns over whether regulators would view the de-listed tokens as securities.

i'm pretty sure the SEC is applying some heavy pressure on these exchanges behind the scenes right now. they're all reacting the same exact way. my hope is that binance will allow USA traders to access the bulk of their altcoin/token listings like polo and bittrex still do.

o_e_l_e_o

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Whatever happen to the land of the free? Quickly becoming the land of the strictest regulations and biggest nanny state. I'd be interested to know if simply using a VPN will be enough to bypass this, or if Binance are going to start KYC for all customers (likely, given the new FATF recommendations).

Quote from: 1Referee on June 14, 2019, 03:35:04 PM

Most people use that exchange because it was one of the very few ones left offering a ton of coins and a ton of liquidity without verification.

The new Binance US is likely to be a very different entity. KYC requirements and a very small offering of coins. More like Coinbase than like Binance. It's soon going to be impossible to buy altcoins in the US, and impossible to buy bitcoin without KYC. We need a much stronger P2P scene.

1Referee

legendary

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Binance has always known this was going to happen at some point. They did all they could to play cool so that they could gain ground as aggressively as possible.

It's going to be interesting to see how many of the US folks will end up walking themselves through KYC to use Binance. Most people use that exchange because it was one of the very few ones left offering a ton of coins and a ton of liquidity without verification. This could be a bummer for altcoin pumps and dumps but a good thing for the ecosystem since less liquidity will flow in trash coins.

figmentofmyass

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say it ain't so! Cry

at least we've got 90 days left to trade before being restricted to withdrawals only.

i'm terribly unexcited about binance.us.....i'm sure they are isolating USA traders onto their own platform so they can go full KYC on us like bittrex and poloniex did.

binance was the last liquid non-KYC exchange that openly served USA residents. now it's just smaller exchanges like kucoin. and with the new FATF stuff coming down i'm not sure how long getting by with VPN at places like bitmex and bitfinex will last either. this really sucks......

Kemarit

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Quote from: Slow death on June 14, 2019, 08:28:56 AM

it's a news that was expected in the long run because they left Japan because they probably could not stand the rules of the Japanese government and the US government has been more demanding in relation to everything that involves cryptos and its citizens, but which makes me curious, is why first they did not advance to create another exchange that complies with what US regulators want?

I'm also under that impression. I mean US has been putting lots of pressure on exchanges and recently we have UE giving Malta a warning. So perhaps Binance needs to find a way to serve it's US based clients. If I'm not mistaken they have a similar platform for Australians and recently Singapore. Probably the best thing to do is to have 'tailor-made Binance' for each countries because of different regulations.

5ensei

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They did not specify if it will be linked to their main binance exchange or if it will be a completely different platform. If it is not linked then the trade volumes will be lower and their customer base much smaller than coinbase

Slow death

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it's a news that was expected in the long run because they left Japan because they probably could not stand the rules of the Japanese government and the US government has been more demanding in relation to everything that involves cryptos and its citizens, but which makes me curious, is why first they did not advance to create another exchange that complies with what US regulators want?

Vladdirescu87

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Binance to Stop Serving US Traders Following Announcement of US-Dedicated Platform

Major crypto exchange Binance announced today, June 14, that it has updated its terms of use, which notably includes a restriction of services to United States-based individual and corporate traders. The restriction follows yesterday’s news that the company is launching a separate, fully regulated fiat-to-crypto platform for the U.S. market.

Today’s announcement provides a timeline for the new terms to come into effect, specifying that:

“After 90 days, effective on 2019/09/12 [12th September 2019], users who are not in accordance with Binance’s Terms of Use will continue to have access to their wallets and funds, but will no longer be able to trade or deposit on Binance.com.”

https://cointelegraph.com/news/binance-to-stop-serving-us-traders-following-announcement-of-us-dedicated-platform

Topic: [2019-06-14]Binance to Stop Serving US Traders Following Announcement of US-Dedi (Read 246 times)