In response to rumors of office searches, Binance stated it is working with Australian officials to meet local regulatory standards.
Following rumors that the company’s premises were raided on July 4, Binance Australia is actively collaborating with local authorities to ensure compliance with legal standards. According to a representative for Binance Australia, the company is collaborating with law enforcement and committed to adhering to local regulations in order to provide their users with completely compliant services in Australia.
In connection with an ongoing investigation into Binance’s now-defunct Australian derivatives business, the Australian Securities and Investments Commission (ASIC) reportedly searched Binance Australia facilities. According to unnamed sources who have provided information on the topic, the probe is claimed to be concentrated on the platform’s operations.
This most recent event occurs after Binance Australia Derivatives’ license was cancelled by the ASIC in April 2023. Following a focused examination of Binance’s operations in the nation, particularly with regard to the distinction between retail and wholesale clients, the ASIC took this step.
Binance decided to take a more targeted strategy in Australia in response to the regulatory scrutiny and stopped offering derivatives trading services there. But Binance still offers spot trading services to its Australian users.
Australian regulators had already opened an investigation into Binance prior to this occurrence after the business unexpectedly cancelled several derivatives positions in February. Binance stated that it was restricting users who did not match the standards to be classed as wholesale investors and that the closures were due to compliance with investor classification rules.
Recent moves and inquiries by Australian regulators show that they are paying closer attention to Binance’s business there. In order to continue servicing Australian users, Binance has been aggressively modifying its services and business practices to adhere to local regulatory norms. This shows a dedication to upholding the authorities’ demands.