Cryptocurrency traders and investors based in the United States were quite displeased and concerned earlier this year, after the world’s largest crypto exchange, Binance, announced that it would soon start denying them service.
During the original announcement, Binanace attempted to soften the blow to it’s US customer base by revealing plans to launch a US-specific branch, Binance US.
However, the exchange also announced that Binance US would be completely compliant with laws in the US, which caused investors to panic yet again, wondering which altcoins might remain available. Afterall, Binance not only has the most liquidity in the space, but it is home to a large number of crypto assets.
Binance recently posted another announcement regarding Binance US. In this announcement it revealed that the exchange is in the process of reviewing as many as 30 different crypto assets.
Binance’s decision to shut off US investors and traders may have seemingly come on a whim, however the exchange announced its fears that the crypto space will soon be put under a microscope by global as well as US regulators.
However, Binance recognized that US traders have a need for crypto exchange related services. Which is why it has partnered up with FinCEN -registered BAM Trading Services and Koi Complainace to run it’s US based exchange.
The list of initial crypto assets was finally revealed by Binance in this most recent announcement. However, it should be noted that these are only the assets that are currently being evaluated and are not guaranteed to be listed.
Bitcoin & Ethereum Not A Guarantee
Given the regulatory uncertainty in the US, Binance is moving forward cautiously. Similar to the largest US-based crypto exchange, Coinbase, Binance also rolled out its own Digital Asset Risk Assessment Framework. The framework is supposed to help the exchange by reviewing thousands of cryptocurrencies.
Given previous US governmental decisions regarding Bitcoin and Ethereum, many assumed that these assets would be the anchors for Binance US. However, according to Binance’s list, it is indicated that BTC and ETH are going to be evaluated just like any other crypto assets. In other words, this means that there is a possibility that the two largest cryptocurriences by market cap might not make the cut.
Apart from providing the list of assets to be evaluated, Binance has clearly stated that it would only accept assets that are compliant with the US legal requirements. So for now, with the apparent forward progress of Binance US, investors and traders in the United States have some hope that they might have continued access to their favorite cryptos.