Between July and September, trading volumes on major cryptocurrency exchange Binance surged. These signify that recent global regulatory crackdowns have had little impact on the platform’s business.
In recent months, regulators from the UK, Germany, Hong Kong, and Japan, concerned about consumer protection and standards for money laundering checks on cryptocurrency exchanges, have increased pressure on Binance.
Some have banned the platform from engaging in certain activities, while others have warned consumers that they do not have a license to operate in that jurisdiction. In response, Binance tightened its anti-money laundering checks and reduced its product line.
However, according to data from UK researcher CryptoCompare, collected for Reuters, Binance’s spot trading volume increased from $454 billion in July to $789 billion in September, solidifying Binance as the world’s largest digital asset platform.
Data shows that derivative trading volume rose nearly 25% to $1.7 trillion. However, the Binance spokesperson refused to comment.
The increase in trading volume reflected rising prices for other major crypto platforms, including San Francisco-based Coinbase Global Inc. (COIN.O). The cost of Bitcoin surged by more than a third in July and August, with the price of the smaller coin rising and flat in September.
Last month, Singapore-based regulators delivered the latest news targeting Binance at major financial centers. Furthermore, it warns that it could violate local laws and stop providing city-state residents’ payment services.
Binance Moves For its Customers
The move led Binance to ban users in Singapore from buying and trading crypto on its major platform. It is the latest in a series of platform measures aimed at reducing the scope of crypto products that regulators can control.
In July, Binance started its derivatives business across Europe and restricted derivatives trading to Hong Kong users. He also rejected an offer of digital tokens related to stocks.
In August, Binance also said it would require more stringent background checks on its customers. This is to strengthen its anti-money laundering efforts.
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