Cryptocurrency exchange Binance is discontinuing certain offerings in Norway. The news comes amid regulatory pressure around the world which the global trading platform is working to address. The company is also dropping Norwegian from its website’s language options.
Crypto Exchange Binance Suspends Product and Service Offerings in Norway
Binance, the world’s leading digital asset exchange in terms of daily trading volume, has announced it will no longer offer some products and services in the Norwegian market. The changes come into effect “immediately,” the platform said on Friday, Aug. 27, and concern trading pairs with Norwegian krone and NOK payment options.
In an announcement published on its website, the crypto exchange revealed it’s also suspending Norwegian language website support. Binance further noted that it does not maintain any official Telegram or other online communication channels in Norwegian.
The company insisted the move is part of the constant evaluation of its product and service offerings. Binance emphasized it welcomes developments to the regulatory framework for the crypto industry “as they pose opportunities for the market players to have greater collaboration with the regulators” and stated:
We are committed to working constructively in policy-making that seeks to benefit every user.
Two months ago, the Financial Supervisory Authority of Norway (Finanstilsynet) issued a warning about the risks of cryptocurrency investing and trading. The agency remarked that crypto exchanges in the country were only required to comply with its anti-money laundering (AML) rules and stressed the need for a comprehensive legal framework.
Leading Cryptocurrency Exchange Responds to Regulatory Crackdown
Binance’s latest statement has been released as the prominent cryptocurrency exchange has found itself on the receiving end of regulatory actions around the world. A number of regulators, including those in Italy, Lithuania, the United Kingdom, Japan, Hong Kong, and Malaysia have expressed concern over some of Binance’s offerings and implemented restrictive measures in the past couple of months.
In response, Binance has discontinued certain products and services in some markets. For example, in early July, the platform suspended euro deposits via SEPA bank transfers, as Bitcoin.com News reported. This month, Binance withdrew its derivatives and futures products from Germany, Italy, and the Netherlands, and later Hong Kong. With even stricter regulations looming, the exchange ended a number of products and services in South Korea, too. It also quit stock token trading.
In July, Binance CEO Changpeng Zhao stated his company plans to operate as a regulated financial institution, and in mid-August, the exchange made regulatory compliance its top priority, revealing it’s hiring talent for its compliance and legal departments. Binance introduced mandatory know-your-customer (KYC) requirements for all users of its products and services.
This week, the U.K. Financial Conduct Authority announced the exchange had complied with its requirements imposed in June. The FCA noted, however, that while the platform can provide some investment services in the country, it is not allowed to offer services related to crypto assets while also pointing out it “is not capable of being effectively supervised.”
What’s your opinion about the regulatory crackdown on Binance and the exchange’s response? Let us know in the comments section below.