Binance has formed a number of new collaborations with regulated companies, particularly in regions where regulatory approval has been difficult to obtain.
Binance, the world’s most popular cryptocurrency exchange by trading volume, is returning to Malaysian markets with a strategic investment in MX Global, the country’s regulated digital asset trading platform.
MX Global, one of the four Recognized Market Operators – Digital Asset Exchange licenced by the Securities Commission (SC) in Malaysia, was bought by Binance and Cuscapi Berhad.
Hello Malaysia. 🇲🇾https://t.co/vsHzHlm7KI
— CZ 🔶 Binance (@cz_binance) March 1, 2022
The major crypto exchange has a strong presence in Asia, and with its new cooperation in Malaysia, the exchange hopes to boost the crypto market’s long-term growth in the Southeast Asian region. MX Global, on the other hand, hopes to expand its market and become a prominent liquidity hub in the region by leveraging recent partnerships and fresh capital flows.
Binance’s recent spate of collaborations follows a pattern, particularly in regions where the exchange has struggled to meet regulatory compliance standards on its own. Following an order from the SC for non-compliance with regulatory regulations, the crypto exchange’s activities were limited in Malaysia in July 2021.
Only a week after disclosing an 18 percent ownership in the private stock market in Singapore, the crypto exchange withdrew its crypto licencing application. After being blocked by the country’s authorities in 2021, the crypto exchange was able to gain access to the pound payment network through its relationship with PaySafe.
The crypto exchange followed a similar method in Thailand, where it had to shut down operations in July 2021 but re-entered the market in January 2022 via a collaboration with the country’s Gulf Energy Development PCL.
Over a dozen nations issued regulatory warnings and service limits against Binance in 2021. However, through third-party collaborations, the exchange was able to repair its regulatory connection in numerous of these countries.
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.
