Binance.US Reveals Pre-Launch Details
Binance divided its international and US markets to address specific regulations on customer screening and the types of assets allowed.
Binance chose a rolling deadline for the launch of its Binance.US market, stating it would open trading within the next few weeks. Just as traders were getting worried that time was running out for US-based persons, Binance came up with the basic details of its upcoming market.
Binance plans to stop giving trading access to US-based traders from September 20. Now, Binance prepares to open a new screening, or KYC, for onboarding US persons before live trading begins.
The market operator has not yet finalized the list of states where trading would be freely available. Not all US states have the same crypto regulations, and New York requires BitLicense, a special registration regime, for all entities offering crypto exchange services. Binance has also prepared desktop and mobile access, and will offer a trading app in the future.
Following the long-awaited news, Binance Coin (BNB) remained relatively stagnant, returning to $22.33. Trading volumes hover around $167 millions’ equivalent in 24 hours, down from nearly $500 million during peak trading in May and June. Potentially, the separation of the US-based market may boost trading volumes.
Binance also recently added its own digital stablecoin, Binance USD (BUSD), which will be offered soon through the Paxos project.
The Binance international market drew in US-based investors, making up as much as 30% of all trading based on rough estimates. The new launch will show the exact weight of US-based demand. In August, there was a marked uptrend in “Binance” searches, based on Google Trends. Binance will arrive in the US just as older markets like Poloniex and Bittrex have significantly lowered their activity, after a series of delistings.
The US cryptocurrency market faces problems with listing tokens that may be considered unregistered securities by the US Securities and Exchange Commission. According to the SEC, most ICO tokens can be considered securities.