Binance becomes supplier of virtual asset services

Today, July 8, Binance, the largest global infrastructure provider for the blockchain ecosystem, has managed to obtain in Spain the virtual asset services provider license, which allows it to operate as exchange and cryptocurrency custodian in a totally legal way.

En route to a regulated blockchain

Little by little it seems that the regulation to the main centralized exchanges (CEX) of cryptocurrencies is reaching. First Bit2ME and now Binance have entered the list of virtual asset services (VASP) service providers, this means they have shown that they have procedures and prevention tools regarding money laundering and terrorism financing.

One of the most controversial measures is the prevention of the money laundering, which has been more hard criticized by Spanish bitcoiners, since it requires sharing data on the money movements of its customers, within the framework of the Anti -Arude Law. An obligation that all regulated exchanges in Spain must comply.

Sooner rather than later, all companies that want to operate in Spain legally, will have to follow the same steps as Binance and Bit2me. With these two new additions, the list of legal suppliers of cryptocurrencies in Spain is composed of the following companies.

You can see all the new incorporations on the BDE website - Registration of virtual currency exchange suppliers by fiduciary currency .

Betting on greater growth in Spain

Changpeng Zhao himself , Binance CEO known as CZ, referred to the approval of this license as a step in the right direction. «Thanks to its registration in this registry, Binance can continue collaborating with the Spanish authorities in the fight against these crimes. It is a matter of strict compliance with the law and social responsibility. We believe that our users do not want their assets and funds to be exposed to financial criminals or that transactions can be executed without their permission. When requesting our registration and having a comprehensive program for the prevention of capital laundering (AML/CTF), we are sending a clear message to anyone who plans to make a misuse of binance: you are not welcome on our platform ».

Effective regulation is essential for generalized adoption of cryptocurrencies

Changpeng Zhao

«Binance, through its subsidiary in Spain, Moon Tech Spain SL , has also wanted to formally settle in Spain and take root with a single purpose: protect our users. We want Binance to be accessible to everyone. In the world of cryptocurrencies, when there are problems, many users discover that they do not even have a place to claim or who to direct their complaint. That is why we establish ourselves in Spain: to be closer than ever of our users and so that they feel truly protected ».

Against regulation

cryptocurrency world are against regulation, especially those who bet on decentralization. However, from our humble opinion, regulation can be very beneficial for the Blockchain , but these criticisms of regulation have a large part of reason.

The governments are focusing mainly on the money laundering that, we do not fool ourselves, will be used to control that we pay taxes on the benefits we obtain in the sale of our cryptocurrencies . But, except for the limitation of not allowing futures contracts with leverage in Spain, governments barely dictate guidelines to protect the user, such as the obligation to have the liquidity of a percentage of the value of the wallet of a client, or limit when funds can be blocked, define who is responsible in case of technical failure or theft of assets ...

The current priority of governments is more, to raise funds through taxes on cryptocurrency transactions, to realize user assets. Which we think does not leave them in a very good place.