Binance has paralyzed the cryptocurrency derivatives service in Spain

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Binance has paralyzed the cryptocurrency derivatives service in Spain

Binance remains one of the most persistent cryptocurrency exchanges when it comes to obtaining regulatory approval and operating licenses from regulators around the world.. In this effort to function as a fully licensed financial institution, the exchange has stopped offering its cryptocurrency derivatives services in Spain as it is reportedly awaiting approval from the Spanish regulator, the Comisión Nacional del Mercado de Valores (CNMV)..

As can be seen on the official website of Binance in Spain, the cryptocurrency exchange has removed the derivatives dropdown menu, which is still available in the global version. According to local publication La Información, the movement to hide the offer of derivatives in Spain comes as a way to comply with the requirements established by the CNMV, also known as the National Securities Market Commission.

Navigation menu in the Spain (top) and global (bottom) versions of Binance. Source: Binance

The screenshot above shows the absence of the “Derivatives” option in the Spanish version, which is obviously available in the global version. While the screenshot confirms Binance’s intention to offer services only upon regulatory approval, further investigation by Cointelegraph confirmed that the URLs related to the derivatives offer in Spain —including futures, the battle and the derivatives portal— remain active.

Derivatives portal active in the Binance Spain version. Source: Binance

However, the local report suggested that Binance will reintroduce the derivatives option only after receiving the regulatory green light in the form of a guarantee certificate from the Bank of Spain (BdE).

In June 2021, the CEO of Binance, Changpeng Zhao revealed his plans to accelerate the growth of the cryptocurrency exchange by working with regulators.declaring that:

“We want to be licensed everywhere. From now on, we are going to be a financial institution.”

Binance, along with other cryptocurrency exchanges such as Coinbase and Bit2Me, is listed on the CNMV “grey list”, which prohibits organizations from operating as fully licensed entities in the region..

Despite the small setback suffered by regulatory delays in Spain, the financial authority of neighboring France — the Autorité des marchés financiers (AMF) — has approved Binance’s registration as a digital asset service provider.

.@Binance has just received approval for French VASP (Virtual Assets Service Provider) registration.

As Cointelegraph reported, Entry into France marks Binance’s latest expansion of its global operations, having obtained approval in principle to operate in Abu Dhabi in April. Citing regulatory approval in France, Binance shared plans to significantly scale its operations in the region as it pursues “further infrastructure development.”

Clarification: The information and/or opinions expressed in this article do not necessarily represent the views or editorial line of Cointelegraph. The information set forth herein should not be taken as financial advice or investment recommendation. All investment and commercial movement involve risks and it is the responsibility of each person to do their due research before making an investment decision.

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Investments in crypto assets are not regulated. They may not be suitable for retail investors and the full amount invested may be lost. The services or products offered are not aimed at or accessible to investors in Spain.

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