Binance Could Leave Cyprus Due to SEC Case

According to the Cyprus Securities and Exchange Commission’s website, Binance Cyprus Limited is currently being reviewed for its request to be deregistered. The timing and reasons behind Binance’s decision to seek deregistration in Cyprus are unknown.

Last October, Binance received approval as a crypto asset service provider (CASP) in Cyprus, enabling the company to offer spot, custody, staking, and card services.

“Registration in Cyprus is an important step in our European growth and is another sign of our commitment to the region. We look forward to building out our local team in Cyprus and helping to develop the local crypto ecosystem,” Binance’s then-executive vice president of Europe Martin Bruncko said.

At the time, the exchange celebrated the achievement as another significant step in their regulatory efforts. This registration followed similar ones obtained by Binance’s local entities in France, Italy, and Spain. According to Bruncko’s LinkedIn page, he resigned from the company the previous month.

Binance has been granted Class 3 registration as a Crypto Asset Services Provider (CASP) by the Cyprus Securities and Exchange Commission (SEC). This registration permits the exchange to offer spot trading, custodian services, and card services while adhering to the anti-money laundering and counter-terrorist financing (AML/CTF) standards set by the Cyprus SEC.

In recent developments, the US Securities and Exchange Commission (SEC) initiated a lawsuit against Binance and its US subsidiary, accusing them of violating securities laws. The SEC also requested an asset freeze on the company and its US subsidiary. However, during a recent hearing, the SEC failed to provide satisfactory answers and evidence. Consequently, Judge Amy Berman Jackson denied the SEC’s request, allowing Binance.US to continue operating in the United States.