Binance has said it will halt the marketplace for the Chinese yuan over-the-counter (OTC) trading on its platform following China’s latest crackdown on cryptocurrencies. Binance, one of the major crypto exchanges with a significant number of China-based customers, said in a Chinese statement on Wednesday that it will delist the Chinese yuan OTC marketplace after December 31. China had earlier announced a complete blanket ban on cryptocurrencies.
Binance has announced to restrict China user cases.
Binance said it would restrict the access for mainland China customers but does not indicate if it will retire all China-based accounts. “If the platform finds out mainland China users, Binance will restrict such accounts to the withdrawal-only mode. Users will only be able to withdraw assets, cancel orders, redeem or close positions,” Binance said in the statement. The move follows Binance’s largest rival in China, Huobi, which said it would suspend the Chinese yuan OTC marketplace and retire all the customers who are verified with mainland China IDs.
China continues to crack down on cryptocurrencies.
Binance’s move also adds to a long list of responses from crypto companies that suggest China’s escalated crackdown measures last month have been taken seriously. BNB, the exchange token of Binance, dropped by about five percent shortly after the firm announced the news and is changing hands at $440 at the time of writing. As reported earlier last month, China’s most powerful regulators announced a complete blanket ban on all crypto transactions and mining. China intensified its crackdown on cryptocurrencies in a sudden move to put a complete ban on cryptocurrencies. Ten agencies, including the central bank, financial, securities, and foreign exchange regulators, vowed to work together to root out “illegal” cryptocurrency activity. Earlier, China had banned crypto mining in some provinces.