Binance.US to Cease Operations in Washington State Due to Regulatory Challenges
Binance.US has announced it will cease operations for customers in Washington state by August 20, 2024, citing regulatory challenges.
This decision follows the expiration of its operating license in the state. The exchange has faced similar restrictions across multiple other states, including Alaska, Hawaii, New York, and Texas, highlighting broader regulatory issues nationwide.
Recently, North Dakota’s financial regulator also revoked Binance.US’s money transmitter license, making it the seventh state to take such action. The regulator emphasized the necessity of these measures to protect citizens from potential unlawful practices.
Changpeng Zhao, co-founder of Binance and majority shareholder of Binance.com, indirectly controls Binance.US. His involvement has drawn heightened regulatory scrutiny, particularly concerning the security and governance of customer assets.
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The U.S. Securities and Exchange Commission (SEC) has raised concerns about Binance.US’s custody practices and access to customer funds by personnel outside the U.S., through platforms like Amazon Web Services.
Binance.US has responded by affirming its compliance with regulatory requirements and refuting claims regarding the security of customer funds. The exchange asserts it has provided extensive documentation and remains committed to exceeding legal obligations in addressing the SEC’s inquiries.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
