Binance Disallows Derivatives Trading for Hong Kong Users

by in Cryptocurrency News

Binance Hong Kong crypto derivatives

Widely popular crypto exchange Binance revealed that its trading option of crypto-derivatives stops being available in Hong Kong. As stated in the release published today, the new rules come into effect immediately, disallowing newbies to create accounts and implement operations crypto derivatives like margin and options.

Related: Binance Ends Crypto Margin Trading on EUR, GBP, and AUD

Current users will need to remove their accounts in 90 days’ period from the date, which the firm will reveal later. Binance mentioned continuously analysing its products and services. Stopping derivatives operations in several countries is a part of the company's compliance strategy.

A week earlier the firm unveiled shutting down derivatives operations for Italy, Germany, and the Netherlands.

Then, Binance said it will shut down the option in Europe step by step.

Per the blog post, the crypto company intends to build a viable environment over blockchain and help the sector grow. In July, Binance CEO CZ said that the company's U.S. branch may go public via an IPO.

To meet regulatory requirements the firm will form headquarters in various jurisdictions, said CZ.

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Recently Binance became the target of regulatory bodies from different countries. Hong Kong was among them. In July, the country’s authority SFC released a warning saying that Binance wasn’t licensed to carry out regulated activity inHong Kong.