World's largest cryptocurrency exchange Binance ditches offerings amid anti-money laundering concerns


FRANKFURT, Aug 20 - Binance, the world's largest cryptocurrency exchange, said on Friday that it was bringing in stricter customer checks for anti-money laundering requirements with immediate effect.

In recent months, Binance has been under pressure from regulators around the world, concerned over the use of crypto to launder money and lax consumer protection.

The exchange has dialled back its products offerings, including leveraged trading and tokens connected to equities, and said it wanted to improve relations with regulators.

On Monday, the Dutch Central Bank said Binance was not in compliance with anti-money laundering and anti-terrorism financing laws.

Binance said on its website that users would have to pass a verification process with immediate effect to access its products and services. Those that have not done so will only be able to cancel funds, withdraw orders and close positions.

Binance is by some measures the biggest platform in the world. Its trading volumes were $455 million in July, down almost a third from a month earlier amid cooler crypto markets but still No.1 global, according to data from CryptoCompare.

Binance's corporate structure is opaque. Its holding company is registered in the Cayman Islands, according to Malaysia's securities watchdog and British court documents.