Binance Enters India Officially, Reaches Settlement in Brazil
Crypto exchange Binance has become a reporting entity with India's Financial Intelligence Unit (FIU), in a milestone that marks their 19th regulatory approval in the world. This move came after a historical fine by the FIU of $2.2 million in June for violating anti-money laundering (AML) rules.
According to a blog post by Binance, Binance's website and application are now fully available for Indian users, providing them access to over 115 million crypto users, representing a significant chunk of the population.
This high adoption rate is fueled by a young, tech-savvy demographic and a less-developed traditional financial system. With full access to Binance's comprehensive suite of services and tools, this could potentially further accurate Binance's growth in India.
“Our registration with the FIU-IND marks an important milestone in Binance’s journey. Recognizing the vitality and potential of the Indian VDA market, this alignment with Indian regulations allows us to tailor our services to the needs of Indian users," said Richard Teng, CEO of Binance.
Over in South America, Binance was ordered to pay $1.7 million to regulators in Brazil. The settlement was revealed by Brazils's Securities and Exchange Commission (CVM), stating that Binance had taken "all steps and necessary actions" to respond to the CVM and comply with local requirements according to a spokesperson for Binance as reported by Decrypt.
This marks the end of a long-standing conflict between Brazil and Binance which began when CVM first charged Binance Futures with operating illegally in Brazil without proper authorization in July 2020. This is because the agency considers crypto derivatives to be securities offerings within the country.
Following a series of negotiations with the regulator, the exchange initially suggested a payment of 8 million reais ($1.46 million). However, according to government documents, the CVM successfully negotiated the amount of $1.7 million. Despite these efforts, Binance is still prohibited from offering derivatives in Brazil.