By
Chimamanda U. Martha
April 19th, 2024
Binance has apologized and warned that BAS would not be in charge of any losses that result from users’ failure to withdraw their assets and close their accounts by February 13, 2022.
On Monday, crypto exchange platform Binance announced its decision to withdraw its license application in Singapore and wind down its digital payment token (“DPT”) services there. According to Binance, the management made the decision “taking into account strategic, commercial and developmental considerations globally.”
The announcement has an immediate effect. Starting on December 13, Binance.sg does not allow registration of new users and depositing crypto or fiat. Besides, it will suspend accounts of already existing users who have not passed KYC. However, they will be able to trade crypto until 12 January 2022. Starting from January 13, users will only be able to withdraw and move their crypto to third-party platforms or crypto wallets as well as withdraw their SGD.
By February 13, Binance.sg will have closed all the accounts. Binance has also apologized and warned that BAS would not be in charge of any losses that result from users’ failure to withdraw their assets and close their accounts by this deadline.
Richard Teng, chief executive officer of Binance Singapore, commented:
“We always put our users first, so our decision to close Binance.sg was not taken lightly. I am grateful to the Monetary Authority of Singapore for its ongoing assistance to Binance Asia Services and we look forward to future opportunities to work together.”
According to the Monetary Authority of Singapore, approximately 170 crypto firms applied for a Digital Payment Token License in Singapore. Notably, only four applicants got approval for the license. Around 100 of the applicants have either withdrawn their filings or got rejection.
Binance’s Future Plans
According to Binance Asia Services (BAS), instead of making efforts to get a license in Singapore, it will refocus its operations toward blockchain technology.
Chia Hock Lai, co-chairman of the Blockchain Association Singapore, said:
“Not all crypto activities are regulated, and increasingly big crypto players might want to consider having distinct regulated and unregulated entities, to optimize their revenue and partnership models across different jurisdictions.”
Notably, back in November, Binance named Singapore as a crypto-friendly jurisdiction. At that time, Binance was also considering several locations as potential headquarters. Being the largest cryptocurrency exchange in the world by volume, Binance was remaining one of the biggest companies without headquarters. Currently, the company is communicating with regulators around the world.
Recently, we reported about Binance’s intention to expand in the UK in the upcoming 6-18 months. Besides, Binance will deepen its foothold in Indonesia. It is likely to be easy as the Indonesian government maintains a favorable stance when it comes to digital currencies.