Binance, the largest cryptocurrency exchange in the world by daily trading volumes, is about to extend its reach. On September 23, 2019, the exchange announced that Binance.US, an American-focused, fiat-to-cryptocurrency trading platform, would soon begin trading for bitcoin and a range of other cryptocurrencies.
In the announcement, Binance revealed that Binance.US would provide all of the usual exchange services, including deposits, withdrawals, trading and wallet storage. In a release shared with Bitcoin Magazine, the exchange noted that Binance.US will be offering free trades until November 1, 2019, to kick-start the platform and it plans to roll out additional batches of cryptocurrencies that “meet U.S. regulations and compliance standards based on its Digital Asset Risk Assessment Framework.”
The Binance.US Development Timeline
The launch of Binance.US has been a long time coming, and the parent company has done a good job of updating interested parties. In June 2019, the exchange announced that it would block U.S. citizens from accessing its global site, while it worked on creating a regulation-compliant platform for them in the interim.
BAM Trading, which oversees both Binance and the U.S. subsidiary, registered with the Financial Crimes Enforcement Network (FinCEN) of the U.S. Treasury while continuing to work toward state-level regulatory compliance.
Binance.US won’t be available in all of the country’s states, however. Alabama, Alaska, Connecticut, Florida, Georgia, Hawaii, Idaho, Louisiana, New York, North Carolina, Texas, Vermont and Washington are excluded from its scope of operations.
It is suspected that most of these states were excluded due to the strict cryptocurrency regulations governing them. In New York, for instance, cryptocurrency companies have to obtain the BitLicense, an approval from the New York Department of Financial Services (NYDFS), to do business.
“Although it is upsetting that we cannot offer Binance.US in [these] states […] at this time, please rest assured that this is just the beginning, and it is our mission to bring access to those of you in these states many of us call home,” Binance.US CEO Catherine Coley noted in a blog post.
U.S. citizens, upon their successful account verification, are expected to be able to conduct transfers in bitcoin, ether, XRP, bitcoin cash, litecoin, tether and binance coin.
Jimmy has been following the development of blockchain for several years, and he is optimistic about its potential to democratize the financial system.