Binance to Further Restrict Dealings in China

CZ-owned crypto exchange Binance, in its latest response to China’s crypto crackdown, has revealed that it is ready to suspend the trading of the Chinese Yuan over-the-counter (OTC) and restrict users from the region on its platform by the end of the year.

Binance disclosed this plan in a Wednesday statement that customers from the region would no longer have access to the Chinese Yuan OTC marketplace, as it would delist the product trading, effective December 31. 

Additional information contained in the statement further revealed that the exchange is not only suspending the Yuan OTC, as it is also planning on restricting access from mainland China. However, it is not certain if this would affect all Chinese-based customers accounts.

In the statement, “If the platform finds out mainland China users, Binance will restrict such accounts to the withdrawal-only mode. Users will only be able to withdraw assets, cancel orders, redeem or close positions.”

Binance decision is in tandem with its rival in China, Huobi, who had earlier announced its suspension of the Chinese Yuan over-the-counter marketplace which would affect all customers who are verified with Mainland IDs. At the time of Huobi’s announcement, the exchange said it would offload all Chinese users at the end of the year.

It is worth adding that Binance’s decision is among the several responses that has greeted the new Chinese hostilities. Recall that on September 24, Chinese authorities declared crypto-related trading illegal and promised to sanction parties that offer it to its citizens, marking a new phase of a crackdown on crypto.

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