Hong Kong reportedly bans Binance crypto trading behemoth from performing regulated activities
Binance is not licensed to conduct a regulated activity in Hong Kong. This is the decision of HK’s Securities and Futures Commission (SFC).
Another country bans Binance from operating in its jurisdiction: Hong Kong
So, Hong Kong is the most recent country to ban the Binance crypto trading behemoth from performing regulated activities. SFC said that no entity in the Binance Group is registered to conduct any regulated activity in Hong Kong. So until now, Binance’s stock tokens could be offered to Hong Kong investors.
“Where the stock tokens are securities, marketing and/or distributing such tokens – whether in Hong Kong or targeting Hong Kong investors – constitute a regulated activity and require a license from the SFC unless an applicable exemption applies”, the regulator said.
One of the Twitter users, Walter Bloomberg, shared the following:
HONG KONG’S SFC SAYS NO ENTITY IN THE BINANCE GROUP IS LICENSED OR REGISTERED TO CONDUCT “REGULATED ACTIVITY” IN HONG KONG
— *Walter Bloomberg (@DeItaone) July 16, 2021
The ban would confirm that increasing regulatory pressure on the world’s largest cryptocurrency platform is continuing to weigh heavily on its operations.
2021 has been difficult for Binance on the regulatory front, with multiple countries taking action against it or reportedly investigating its operations from various compliance perspectives. Not to mention the fact that too many DeFi projects on Binance Smart Chain were constantly hacked in the first half of this year.
As AZCoin News reported, the United Kingdom, Malta, and Italy have banned crypto exchanges from providing services to their citizens. Besides, major UK banks have stopped cooperating with Binance. Also recently, we also mentioned that Binance will now stop offering security token trading due to issues with the German regulator.
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