Binance Singapore Drops Crypto License Plans in City-State
Binance’s Singapore entity plans to withdraw its application for a crypto license in the city-state, and will expel local users by Feb. 13, 2022, the exchange said on Monday.
- Binance Asia Services, the exchange’s local affiliate, is one of approximately 170 crypto firms that had applied for a Digital Payment Token License in Singapore, which would allow them to offer digital assets services to local users. Firms are allowed to offer crypto services as long as their license application is under review.
- Binance will stop offering services through its local site, Binance.sg, by Feb. 13, 2022, closing all existing accounts. Users have to close their positions by that date.
- Effective immediately, Binance Singapore will not accept any new users, and will not allow existing users to deposit assets on the exchange. Users can continue trading in crypto until Jan. 12, 2022. After that, they will only be able to withdraw crypto and fiat assets to third-party platforms, until Feb. 13.
- Around 100 of the applicants have either withdrawn their filings or been rejected, according to the Monetary Authority of Singapore, while only four licenses have been granted.
- Binance has already set up an entity for its global headquarters, CZ said in November, after years of working on a decentralized model, while its U.S. arm is preparing for an IPO.
- Crypto exchange Huobi has tapped Singapore for its Asia headquarters.
Comments
We often see similar challenges with entrepreneurs entering the EU market as well — especially when it comes to company setup, crypto licensing, and banking requirements. Proper legal structuring from the very beginning makes a huge difference in avoiding issues later with regulators or financial institutions.
At Baltic Legal, we regularly help clients set up crypto-related companies in Lithuania and other EU jurisdictions, ensuring that both corporate structure and compliance framework meet current regulatory expectations.