Binance Transfers South African Derivatives Users to Bahrain Subsidiary

Binance announced on Tuesday that it will transfer its South African users who trade derivatives to its Bahrain subsidiary Bahrain B.S.C. (c)

The crypto exchange shared in a blog post that this move will ensure “that it (Binance) continues to comply with its regulatory obligations and can continue to provide services for derivatives products to South African users.”

The latter (Bahrain B.S.C. (c)) will now handle the provision of derivative services to South African residents.

The company shared that Binance Bahrain will function as a Juristic Representative of FiveWest OTC Desk (Pty). This arrangement is said to ensure that Binance continues to meet local legal requirements while offering its derivative products to users in South Africa.

Binance Bahrain is licensed by the Central Bank of Bahrain as a Category 4 Crypto-Asset Service Provider. This means that Binance Bahrain can provide both crypto exchange and custodial services, thereby enabling the continuation of derivative trading services for clients.

South African users will have to note certain key steps to proceed, starting with opening a new account with Binance Bahrain. For the existing users, they must accept the updated Terms of Use specific to Binance Bahrain.

Binance has been firing up the news circuit recently after executive Tigran Gambaryan was detained in Nigeria on charges of money laundering. In a video shared on X, he was seen pleading for help from a prison guard and was denied the use of a wheelchair.

Richard Teng, the CEO of Binance expressed his outrage over how Gambaryan was being treated by Nigerian authorities.

“This inhumane treatment of Tigran must end. He must be allowed to go home for medical treatment and to be with his family” he said.

Binance is also facing legal challenges in Canada, Nigeria, Singapore, and the United Kingdom. In 2021, the UK’s Financial Conduct Authority ordered the company to cease all kinds of regulated activities inside of the United Kingdom.

Recently, Binance made the news for blocking a few Palestinian users’ accounts on charges of links to illicit funds.

Gairika holds positions in BTC. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.

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