Binance to withdraw its Singapore licence application

According to local media reports, Binance may withdraw its application for a licenсe to operate in Singapore. However, a final decision on this issue has not yet been taken. Binance CEO Changpeng Zhao said that the company will announce its position regarding the service provision in Singapore by next year.

Recently, Binance announced its intention to give up on the decentralized format, open several exchange offices in different countries and start cooperating with regulators. However, the company has faced a problem with obtaining a permit to operate in Singapore. The Singapore authorities are quite crypto-friendly, but they still do not intend to leave this industry without regulation.

The situation at present is that Singapore authorities refuse to issue permits to large cryptocurrency exchanges, saying that they carefully check every application. However, according to statistics, the Singapore regulator approved the applications of more than half of the smaller exchanges that requested permission to operate last year.

Binance has been on the waiting list for a long time. The company has not yet received a licence from the country’s regulatory authority. Coinbase, the second largest crypto exchange in the world, also met with such a problem. Hence, Zhao hinted that Binance may leave Singapore. He noted that the exchange will provide its services only in pro-crypto countries. Lately, Binance CEO spoke about his plans to open offices of the exchange in France and Ireland. The French regulator, for its part, laid out the condition for the creation of the exchange headquarters in the country.

This year, regulators in several countries have already stated that Binance provides cryptocurrency services without the necessary permission, thereby breaking the law. These include the Netherlands, Hong Kong, South Africa and Italy.

Zhao pinpointed that Binance is making efforts to implement the requirements of regulatory authorities and maintain relations with them. However, he does not believe that the exchange will completely give in to the rules of regulators. The head of the company is also not ready to run a business on the territory of countries whose authorities are too concerned about reducing possible risks, while forgetting about the introduction of innovations and economic growth. Zhao believes that regulators should keep a balance between these two factors.

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