Binance is not a Chinese Exchange - page 3.

kryptqnick

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Quote from: teosanru on October 10, 2019, 04:20:04 AM

I have lately seen a lots of posts regarding how Binance has introduced trading in Chinese P2P pairs even when BTC exchanges are completely banned by China. The truth is no exchange is operable in China. Binance shifted it's headquarters from China to Malta back when China banned Cryptocurrencies here is the link to Wikipedia page which verifies the fact : https://en.wikipedia.org/wiki/Binance

It clearly states that:

Quote

The company was founded in China but moved its servers and headquarters out of China and into Japan in advance of the Chinese government ban on cryptocurrency trading in September 2017.[4] By March 2018 the company had established offices in Taiwan.

So it doesn't comes under the jurisdiction of Chinese Law so there is no need of any Chinese Government permission required by them to operate in CNY p2p pair. It's the people who have to be worried regarding their legality. It's for those people who have started thinking that China has relaxed it's cryptocurrency Laws a bit.

This sounds like a fair point, but it does not explain why Binance had to shut down services for people from China for a while to figure out the legal grounds of their activities. I cannot find any articles proving that this really happened, though, so perhaps something got mixed up in my head. Anyway, it's cool that Binance is available, but if people will be prosecuted if they use Binance in China, this is not cool. I don't think that Binance would do such a thing, though. From what I am reading, it seems that Binance is legal for Chinese citizens if they use WeChat or AliPay to purchase cryptocurrencies... It's all very confusing, though.

diazepam666

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Malta Singapore or Estonia makes best opportunity for blockchain investors by using it Binance team utilise the opportunities and invested their fund on Malta.
How were the industries based from the China only. Binance uses might be happy for a but if you see it practically there Chinese people only.

aysg76

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Quote from: stompix on October 10, 2019, 07:35:24 AM

Quote

Binance is not a Chinese Exchange

Yes, it is! It doesn't matter where it is located.

7-eleven has its headquarters in Dallas, but it's owned by a Japanese company.
Holiday Inn operates in the US but it's owned by a British company.
Bitstamp is located n Luxemburg but it's owned by Slovenians.

Binance is not tangible property like Holiday Inn. It is intellectual property which is equally accessible throughout world. So your comparison doesn't make any sense.
Moreover, OP is not addressing the concern regarding ownership of Binance. He is simply answering how Binance can operate in China without taking approval from Chinese authorities because it is legally located in Malta and can create P2P network for any country.

teosanru

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Quote from: CryptoBry on October 10, 2019, 09:41:57 AM

Quote from: teosanru on October 10, 2019, 04:20:04 AM

I have lately seen a lots of posts regarding how Binance has introduced trading in Chinese P2P pairs even when BTC exchanges are completely banned by China. The truth is no exchange is operable in China. Binance shifted it's headquarters from China to Malta back when China banned Cryptocurrencies here is the link to Wikipedia page which verifies the fact : https://en.wikipedia.org/wiki/Binance

It clearly states that:

Quote

The company was founded in China but moved its servers and headquarters out of China and into Japan in advance of the Chinese government ban on cryptocurrency trading in September 2017.[4] By March 2018 the company had established offices in Taiwan.

So it doesn't comes under the jurisdiction of Chinese Law so there is no need of any Chinese Government permission required by them to operate in CNY p2p pair. It's the people who have to be worried regarding their legality. It's for those people who have started thinking that China has relaxed it's cryptocurrency Laws a bit.

I made a mistake in thinking that somehow Binance has opened back an operation in China when what they are doing is just to open their doors for Chinese to do P2P trading. I am sure that Binance has sought some clearance with this from officials of China government otherwise they can be sued for accepting business from China citizens akin to what US is prone to do once a US citizen can be involved in doing business with a platform not allowed to. Just wondering how taxes of the revenue/transaction can be handled with this arrangement...this is really an interesting development worth watching.

Actually this is not how it happens. In online mode they are not offering their services to chinese citizens they are offering their services in CNY trading pair and this service is available for anyone. So Binance cannot be sued because they are operating in ordinary course of business not expressly asking citizens of china to come to their exchange. Secondly as binance doesn't falls in jurisdiction of China they cannot subpoena Binance best they can do is subpoena their CEO but even that won't help as he would say that it wasn't he who broke the law it's their company which is a separate person. These things are done by teams of attorneys, accountants and consultants after rigrous brainstorming. Don't you think Binance would have done due diligence before doing any such thing?

Little_king

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everybody know binance is not china exchange as the country has stop every crypto exchange since 2017 and why binance move to malta where its headquarter is right now and china is not in anyway giving second thought about giving any exchange privilege now .

Eugenar

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Quote from: stompix on October 10, 2019, 07:35:24 AM

Quote

Binance is not a Chinese Exchange

Yes, it is! It doesn't matter where it is located.

7-eleven has its headquarters in Dallas, but it's owned by a Japanese company.
Holiday Inn operates in the US but it's owned by a British company.
Bitstamp is located n Luxemburg but it's owned by Slovenians.

The moment Zhao‎ makes a mistake and angers a few people in the CPC you will se what kind of exchange Binance is.

That is what you can call globalization, and technically, glocalization of business such as outsourcing the business or right now, the binance, basically it doesn't matter where it originates, what matter is the person handling it or an entity doing their best to make the market stable such as the binance even though it was being related to china, we can already see how good it performs in the market right now.

CryptoBry

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Quote from: teosanru on October 10, 2019, 04:20:04 AM

I have lately seen a lots of posts regarding how Binance has introduced trading in Chinese P2P pairs even when BTC exchanges are completely banned by China. The truth is no exchange is operable in China. Binance shifted it's headquarters from China to Malta back when China banned Cryptocurrencies here is the link to Wikipedia page which verifies the fact : https://en.wikipedia.org/wiki/Binance

It clearly states that:

Quote

The company was founded in China but moved its servers and headquarters out of China and into Japan in advance of the Chinese government ban on cryptocurrency trading in September 2017.[4] By March 2018 the company had established offices in Taiwan.

So it doesn't comes under the jurisdiction of Chinese Law so there is no need of any Chinese Government permission required by them to operate in CNY p2p pair. It's the people who have to be worried regarding their legality. It's for those people who have started thinking that China has relaxed it's cryptocurrency Laws a bit.

I made a mistake in thinking that somehow Binance has opened back an operation in China when what they are doing is just to open their doors for Chinese to do P2P trading. I am sure that Binance has sought some clearance with this from officials of China government otherwise they can be sued for accepting business from China citizens akin to what US is prone to do once a US citizen can be involved in doing business with a platform not allowed to. Just wondering how taxes of the revenue/transaction can be handled with this arrangement...this is really an interesting development worth watching.

teosanru

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Quote from: Mandoy on October 10, 2019, 06:21:41 AM

Though Binance is already transferred in Malta but the CEO of binance remains to be Changpeng Zhao a Chinese - Canadian national. If we talk about ownership since Changpeng Zhao is a Chinese and he owns binance together with some chinese this would mean that Binance is still a Chinese Exchange since it is operated by the Chinese. I do believe that it is not the location that determines the exchange but rather it is the owner. Still for me Binance is a Chinese Exchange operating in Malta.

No not at all you are absolutely wrong. The location of the owner of exchange doesn't determines the exchange's nationality. A company and it's holder are two separate legal entities. I don't know what you personally feel and i don't think that's important. What important is what actual legal sense is. Even google has an indian ceo does it makes google Indian? This is the first rule of corporate setup. The owners and company are to different persons. And the existence of owners doesn't affects the existence of company. I understand china being inception point of binance it can be confusing. But truth is binance is a Malta exchange Operating all over the world.

Quote from: stompix on October 10, 2019, 07:35:24 AM

Quote

Binance is not a Chinese Exchange

Yes, it is! It doesn't matter where it is located.

7-eleven has its headquarters in Dallas, but it's owned by a Japanese company.
Holiday Inn operates in the US but it's owned by a British company.
Bitstamp is located n Luxemburg but it's owned by Slovenians.

The moment Zhao‎ makes a mistake and angers a few people in the CPC you will se what kind of exchange Binance is.

Yet again the same answer no matter who own's it. In such cases we call it a domestic company with foreign investment. I am speaking this in strict legal sense. As per you cases all companies are companies of where they are registered. Having a headquarters constitutes a principal place of business. Which means the country may say the exchange not to operate in their country but cannot challenge their existence over the globe. While if it's registered in the same country they can scrap the whole company up at once.

Herbert2020

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Quote

in advance of the Chinese government ban on cryptocurrency trading in September 2017.[4]

as far as i can tell there ha never been any "ban" on cryptocurrency "trading" in China. the only thing they have ever banned was ICOs because of obvious reasons (being scams and all that) and also they closed down the Chinese exchanges which were laundering money more than anything else.

stompix

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Blackjack.fun

Quote

Binance is not a Chinese Exchange

Yes, it is! It doesn't matter where it is located.

7-eleven has its headquarters in Dallas, but it's owned by a Japanese company.
Holiday Inn operates in the US but it's owned by a British company.
Bitstamp is located n Luxemburg but it's owned by Slovenians.

The moment Zhao‎ makes a mistake and angers a few people in the CPC you will se what kind of exchange Binance is.

elda34b

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I'm wondering what is the implications for them when they start accepting payment through Alipay & WeChat. It must be a massive move for them, considering lots of Chinese use those digital wallets.

It seems like it's going to be a matter of time before Binance cracks another egg and starts accepting payments from different providers regardless of where they're based.

buwaytress

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It's always been clear that your jurisdiction is where your legal entity is registered. So Yeah, for Binance, it's the Malta jurisdiction. However, we all have seen how even the US can pursue companies outside their jurisdiction, simply because they allowed US citizens.

I'm not sure how it works with the law right now, but pretty sure China can exercise its right to extend that ban on Chinese citizens even outside its borders. It's all been fine and dandy for now, but if the state decides to go down the route of the US, you can be sure Binance will withdraw all these options.

Wexnident

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Quote from: teosanru on October 10, 2019, 04:20:04 AM

I have lately seen a lots of posts regarding how Binance has introduced trading in Chinese P2P pairs even when BTC exchanges are completely banned by China. The truth is no exchange is operable in China. Binance shifted it's headquarters from China to Malta back when China banned Cryptocurrencies here is the link to Wikipedia page which verifies the fact : https://en.wikipedia.org/wiki/Binance

It clearly states that:

Quote

The company was founded in China but moved its servers and headquarters out of China and into Japan in advance of the Chinese government ban on cryptocurrency trading in September 2017.[4] By March 2018 the company had established offices in Taiwan.

So it doesn't comes under the jurisdiction of Chinese Law so there is no need of any Chinese Government permission required by them to operate in CNY p2p pair. It's the people who have to be worried regarding their legality. It's for those people who have started thinking that China has relaxed it's cryptocurrency Laws a bit.

Binance can be considered a private property that doesn't fall under the legislation of the government of China. We can all see that when Binance decided to move toJapan after China decided to issue regulations that ban crypto in the country. It's kinda ironic how China declared a ban on crypto but China is one of the strongest countries in mining bitcoin.

GreatArkansas

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And most of Binance's employees are chinese and for sure most of them are migrated to their headquarter at MALTA.
I think they had moved in Malta because for me, laws in Malta that about cryptcurrency are not so strict compare it to some very strict when it comes to cryptocurrency.

I have a question, it is legal to have some job about cryprtocurrency if you are from China? But you are working remotely, let's say the main office of your company is located from other country.

Mandoy

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Though Binance is already transferred in Malta but the CEO of binance remains to be Changpeng Zhao a Chinese - Canadian national. If we talk about ownership since Changpeng Zhao is a Chinese and he owns binance together with some chinese this would mean that Binance is still a Chinese Exchange since it is operated by the Chinese. I do believe that it is not the location that determines the exchange but rather it is the owner. Still for me Binance is a Chinese Exchange operating in Malta.

Jating

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Quote from: teosanru on October 10, 2019, 05:08:14 AM

Quote from: Jating on October 10, 2019, 04:59:02 AM

I think the point of contention for some is that Binance was founded in China by CZ but due to the regulatory pressures, moved to Japan and then again due to FSB hard line stances against exchange (they have laid down their own regulations) Binance then suddenly moved to Malta wherein they are welcome because the country is really attractive back then and still is at this point.

So for some this is a bitch moved by Binance (moving from one country to another to get away) and this is the main reason why many are surprised by CZ decision to open up a P2P trading recently in China, just saying.

Yeah Malta is an absolute Tax Heaven and along with that pretty lenient with most of the regulations of companies. This is the reason why they chose Malta instead of any other Country. While searching for this I got to know that even Bitfinex operates in Hong Kong but it is registered in British Virgin Islands which once again is a country with lenient Regulations and basically a Tax Heaven. Huobi is operable chiefly in Singapore so basically no Exchange operates in the Mainland China due to Restrictions and this is definitely not bitching it's just safe tax planning.

Don't forget about World’s Second Largest Crypto Exchange OKEx Moves To ‘Blockchain Island’ Of Malta. Others call it a bitch moved because that time Binance is not yet the top crypto exchange, but now it seems that the move was just pure business strategy.

@timerland - I agree, we all know that Chinese have a deep pockets as far as investing their wealth in crypto its that the government want's to control everything. But the move will definitely open the market again for the Chinese so a win-win specially for CZ.

timerland

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Quote from: teosanru on October 10, 2019, 05:08:14 AM

Quote from: Jating on October 10, 2019, 04:59:02 AM

I think the point of contention for some is that Binance was founded in China by CZ but due to the regulatory pressures, moved to Japan and then again due to FSB hard line stances against exchange (they have laid down their own regulations) Binance then suddenly moved to Malta wherein they are welcome because the country is really attractive back then and still is at this point.

So for some this is a bitch moved by Binance (moving from one country to another to get away) and this is the main reason why many are surprised by CZ decision to open up a P2P trading recently in China, just saying.

Yeah Malta is an absolute Tax Heaven and along with that pretty lenient with most of the regulations of companies. This is the reason why they chose Malta instead of any other Country. While searching for this I got to know that even Bitfinex operates in Hong Kong but it is registered in British Virgin Islands which once again is a country with lenient Regulations and basically a Tax Heaven. Huobi is operable chiefly in Singapore so basically no Exchange operates in the Mainland China due to Restrictions and this is definitely not bitching it's just safe tax planning.

Yep, they aren't registered in China due to their much higher taxes and other regulations, while Malta over the last couple of months has seen a lot of development and has become a crypto haven with their low company taxes and their crypto-friendly government.

It's pretty good news now the exchange is once again able to be used in China, it'll probably quickly climb and become the biggest exchange there, and BNB holders are going to be very happy.

teosanru

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Quote from: Jating on October 10, 2019, 04:59:02 AM

I think the point of contention for some is that Binance was founded in China by CZ but due to the regulatory pressures, moved to Japan and then again due to FSB hard line stances against exchange (they have laid down their own regulations) Binance then suddenly moved to Malta wherein they are welcome because the country is really attractive back then and still is at this point.

So for some this is a bitch moved by Binance (moving from one country to another to get away) and this is the main reason why many are surprised by CZ decision to open up a P2P trading recently in China, just saying.

Yeah Malta is an absolute Tax Heaven and along with that pretty lenient with most of the regulations of companies. This is the reason why they chose Malta instead of any other Country. While searching for this I got to know that even Bitfinex operates in Hong Kong but it is registered in British Virgin Islands which once again is a country with lenient Regulations and basically a Tax Heaven. Huobi is operable chiefly in Singapore so basically no Exchange operates in the Mainland China due to Restrictions and this is definitely not bitching it's just safe tax planning.

Jating

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I think the point of contention for some is that Binance was founded in China by CZ but due to the regulatory pressures, moved to Japan and then again due to FSB hard line stances against exchange (they have laid down their own regulations) Binance then suddenly moved to Malta wherein they are welcome because the country is really attractive back then and still is at this point.

So for some this is a bitch moved by Binance (moving from one country to another to get away) and this is the main reason why many are surprised by CZ decision to open up a P2P trading recently in China, just saying.

teosanru

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I have lately seen a lots of posts regarding how Binance has introduced trading in Chinese P2P pairs even when BTC exchanges are completely banned by China. The truth is no exchange is operable in China. Binance shifted it's headquarters from China to Malta back when China banned Cryptocurrencies here is the link to Wikipedia page which verifies the fact : https://en.wikipedia.org/wiki/Binance

It clearly states that:

Quote

The company was founded in China but moved its servers and headquarters out of China and into Japan in advance of the Chinese government ban on cryptocurrency trading in September 2017.[4] By March 2018 the company had established offices in Taiwan.

So it doesn't comes under the jurisdiction of Chinese Law so there is no need of any Chinese Government permission required by them to operate in CNY p2p pair. It's the people who have to be worried regarding their legality. It's for those people who have started thinking that China has relaxed it's cryptocurrency Laws a bit.

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