Binance crypto exchange has withdrawn its application for a digital payment token services license from the Monetary Authority of Singapore (MAS). Know why.
Binance cryptocurrency exchange has withdrawn its application for a digital payment token (DPT) services license from the Monetary Authority of Singapore (MAS). Binance Singapore (Binance.sg) has reportedly stopped accepting new users and will not allow citizens of Singapore to deposit cryptocurrencies or fiat currencies on the exchange.
Reports say that the world’s largest crypto exchange will wind down all crypto token related services in the country by February 13, 2022. Binance.sg cryptocurrency exchange announced:
“With immediate effect, users must start to make plans to withdraw their crypto and fiat from Binance.sg. Accounts of registered users who have not passed KYC will be suspended.”
However, until Jan. 12, 2022, the existing users on Binance Singapore will be allowed to trade cryptos with their existing digital assets or cryptocurrencies. The concerned Binance exchange of Singapore also went on to say:
“Users can only withdraw and move their crypto to third-party platforms or crypto wallets; and/or withdraw their SGD. All accounts must be closed by 13 February 2022.”
The announcement also said:
“The locked crypto assets will be held in an escrow account and your fiat assets will be transferred to your StraitsX Personal Account…We recommend that you take action as soon as possible before the deadline for account closure (13 February 2022). Please note that BAS will not be held responsible for any losses that result from your failure to withdraw your assets and close your account by 13 February 2022.”
While explaining the withdrawal of the crypto license application, Binance CEO Changpeng Zhao said that their decision of this withdrawal is related to their recent acquisition of Hg Exchange (HGX), a leading private securities exchange regulated in Singapore.
“Clarification. Binance made a sizable investment into regulated exchange HGX last week. This investment made our own application somewhat redundant. We will continue to work through our partners to grow the crypto industry in Singapore. Onwards.”