Binance Reportedly Paused Activities in Israel
- Israel’s Capital Markets Authority has requested Binance provide information on the licenses under which it operates, as it never received an application from the exchange.
- Binance has now reportedly “stopped marketing to Israelis and all activities focused on Israel” while the regulator examines the exchange’s license.
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Popular crypto exchange Binance has stopped its activities in Israel after its financial regulator made a request for the to clarify its activities in the Israeli market, local news outlet Globes reported on 17 January.
According to the publication, the Capital Markets Authority (CMA) — the country’s regulator responsible for crypto exchange licensing — had requested that Binance provide information on the licenses under which it operates, and on the services it provides to Israeli users. The Israeli regulator noted that it had never received an application from Binance to receive a license allowing it to do business in the country. The CMA reportedly said:
“Following the intervention of the capital market, Binance has at this stage stopped marketing to Israelis and all activities focused on Israel until we examine the issue of licensing.”
In addition, the option to buy cryptocurrency using the Israel’s shekel — which was made available back in February 2020 through a partnership with Simplex — has also been removed from the Binance platform. The exchange, however, has yet to remove its job listings in Israel, and is still looking for talent in the areas of business development, data and research, engineering, and marketing.
This is not the first time Binance has experienced difficulties with local regulators. Multiple countries — such as the United Kingdom, Italy, Germany, Malaysia, Hong Kong, Singapore, and others — have already issued statements warning investors, and claiming the exchange was operating without a license. Back in July 2021, Binance was also forced to end its Stock Token offering, only three months after launching it, after receiving warnings from regulators.
- The popular crypto exchange has decided to sell its business in Russia to CommEX, a crypto exchange business that was officially launched on Tuesday.
- Binance noted that it will fully exit the Russian market, and have no ongoing revenue split or any option to buy back shares in the business.
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- The company said it will be suspending its crypto-backed debit card service in the Middle East on 25 August, and in Latin America by 21 September.
- Although no reason was given for the decision, the company noted that “less than 1% of users” in those regions will be affected by the change.
- A spokesperson said the change was due to the “changing market and user needs”, and that Binance will now be refocusing its resources on its main products and long-term goals.
- Launched in March 2022, Binance Connect helped crypto businesses connect with the traditional finance system, and supported 50 cryptocurrencies and networks such as Visa and Mastercard.