The Cayman Islands Monetary Authority (CIMA) has introduced it has not licensed Binance to provide its services in the area.
The CIMA says it’s checking out Binance relating to the exchange’s the British Overseas Territory.
On Friday, CIMA launched a public notice that mentioned the regulator does not look after Binance, Binance Group, and also Binance Holdings. According to the guard dog, examinations are underway to develop if the cryptocurrency exchange, extensively reported to be incorporated in the Cayman Islands, “has any activities running in or from within” the British Overseas Territory.
While CIMA has not straight accused Binance of misdeed, it keeps that any company looking for incorporation in the area, as well as to use cryptocurrency exchange services, needs to meet specific requirements.
Companies and companies can fulfill the requirements by signing up as per the needs in the Virtual Asset (Service Providers) Act, 2020 (” VASPA”). The company/business can make use of an existing certificate granted by the CIMA that enables it to supply crypto services as detailed under the digital Assets Act.
Appropriately, all VASPs were required to have registered with the Cayman Islands’ regulator by January 31, with the VASPA regulation coming into effect this past June.
Binance has ‘no headquarters’
CIMA’s investigation right into Binance adheres to several instances of governing examinations as well as action against the exchange from across the world.
Several of the territories where Binance has recently faced inquiries concerning its tasks include Singapore (the Singapore Monetary Authority), the UK (the Financial Conduct Authority), and Japan (the Financial Services Agency).
In February, Malta launched a declaration clearing up that Binance was not managed by the Malta Financial Services Authority (MFSA). Binance has since then kept it has no physical head office, with this position highlighted by CEO Changpeng Zhao in very early May.
Binance recently resumed its GBP settlements using Faster Payments after suspending the service previously this week. And the exchange continues to be among the most preferred platforms for cryptocurrency individuals looking for to conveniently purchase Bitcoin as well as various other digital assets.