Binance, due to several problems with their operations in Australia, Australiaeditor ASICwas investigated by
Popular crypto exchange Binancehas been spending a lot of time with regulators lately. of FTXafter its bankruptcy Binancebegan to claim to be the largest stock market in the world. BinanceCEO Changpeng Zhao ( CZ), stated that they are the largest stock market in the world, so they will be open to attacks.
BloombergAccording to a report by Binance’sa new concern, the Australian regulator ASICit happened. ASIC, Binance’slaunched an in-depth study and research into its operations in the country.
Binance Is On The Australian Regulator’s Radar
Binance, in Australiadue to its operations, the country’s regulator ASICwas investigated by
Binance, which is called the largest crypto exchange in the world, is going through difficult processes due to several disruptions in Australia. At the top of the events is the notification Binance sent to a user in Australia. WuBlockchain claimed that Binance asked a user in Australia to close their derivative account.
After this claim, discussions began by the community that Binance’s derivatives exchange in Australia would be closed. Binance, which is expected to make the necessary explanations in order to clarify these situations, stated that there were a few mistakes and they were resolved.
Making a statement on the subject, Binance said yesterday;
Our team has identified a small number of Australian users who are mistakenly classified as “Wholesale Traders” on Binance. Under Australian regulation, we were required to notify these users and close any of their derivative positions with immediate effect.
Addressing these problems experienced by users in Australia, Binance also stated that it would cover the losses of users. Investors in the country are mistakenly seen as “qualified” or “institutional” investors and their transactions are suddenly closed in order to resolve this.
Finally, Australia’s regulator ASIC has started a research to understand these problems and examine what is going on.
As Bloomberg reports, ASIC has moved to examine how Binance distinguishes between “retail customers” and “wholesale customers,” namely “retail investment clients and high-value investment clients.” ASIC is investigating Binance Australia’s derivatives transactions.
