Binance announced that the Cyprus Securities and Exchange Commission had granted Binance Cyprus Limited Class 3 registration as a Crypto Asset Services Provider (CASP) (CySEC).
Binance will be able to provide services, such as spot, custodian, staking, and card services (following in the footsteps of competitor cryptocurrency exchange FTX, which established a Cypriot firm in March), in accordance with the demands of the CySEC’s anti-money laundering and counter-terrorism financing (AML/CTF) regulations thanks to this registration. On October 20, 2022, CySEC awarded registration to Binance Cyprus Limited.
In addition to issuing licenses to conventional financial institutions, CySEC also oversees crypto-asset operations conducted in or out of Cyprus, thoroughly evaluating AML and Know Your Customer procedures.
Following comparable filings for Binance’s local organizations in France, Italy, and Spain, this is another significant step in Binance’s regulatory efforts in Europe.
The founder and CEO of Binance, Changpeng Zhao (CZ), said: “Binance has some of the most stringent AML and CTF compliance procedures in the business. Our registration in Cyprus serves as evidence of the efforts we have taken to stay at the cutting edge of compliance. Our sector needs effective regulation to protect consumers and foster innovation if it is to keep expanding.”
Martin Bruncko, Executive Vice President Europe of Binance, added: “Registration in Cyprus is an important step in our European growth and is another sign of our commitment to the region. We look forward to building out our local team in Cyprus and helping to develop the local crypto ecosystem.”
With its clear regulations, Cyprus, which is already a favourite among forex and CFDs brokers, is now luring bitcoin exchanges. Earlier, Binance’s rivals FTX and Crypto.com also received the Cypriot license.
Dr. George Theocharides, the chair of CySEC, has warned individual investors about the dangers of investing in cryptocurrencies. Additionally, he said that crypto rules are “urgently needed” and listed the advantages of the proposed EU Regulation on Markets in Crypto-Assets (MiCA).
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