Breaking: Binance Closes Crypto Derivatives Services in Hong Kong
Binance crypto exchange has announced the closure of its crypto derivative services offering in Hong Kong with immediate effect. The announcement comes just a couple of weeks after the exchange discontinued its derivatives offering across Europe. The slew of announcements comes in the light of growing regulatory scrutiny around the crypto exchange in nearly a dozen countries.
Starting today Hong Kong customers won’t be able to open any derivative accounts with Binance. The exchange has also offered a 90-day grace period for traders to close their current accounts. The exchange said,
“As the market leader, Binance constantly evaluates its product and service offerings. We will be restricting Hong Kong users in respect of derivatives products (including all futures, options, margin products, and leveraged tokens) in line with our commitment to compliance.”
Regulators around the globe have shared their concern with high leverage offerings for crypto derivatives products by Binance and other exchanges. Binance was known for offering some of the highest leverage options up to 125X for certain pairs.Source