Malaysia's SC Announces Enforcement Actions against Binance

Binance’s regulatory worries are far from over, as the Securities Commission Malaysia (SC) is the latest regulatory to take enforcement actions against Binance for illegally operating a Digital Asset Exchange (DAX) under its jurisdiction.

According the announcement, the commission has ordered the four Binance entities Binance Holdings Limited (Registered in the Cayman Islands), Binance Digital Limited (Registered in the UK), Binance UAB (Registered in Lithuania) and Binance Asia Services Pte Ltd (Registered in Singapore), and Zhao Changpeng, the CEO of Binance Holdings Limited, to ensure the following directives:

a. disable the Binance website (www.binance.com) and mobile applications in Malaysia within 14 business days from 26 July 2021;

b. immediately cease all media and marketing activities, including circulating, publishing or sending any advertisements and/or other marketing material, whether via emails or otherwise, to Malaysian investors;

c. immediately restrict Malaysian investors from accessing Binance’s Telegram group.

The commission further advised investors to stop dealing with and investing through illegal DAX and urged investors who currently have accounts with Binance to immediately cease trading through its platforms and to withdraw all their investments immediately.

Binance continues to face tough times regarding regulatory affairs as more countries keep issuing alerts on their activities. Earlier this month, Hong Kong’s Securities and Futures Commission (SFC) confirmed that Binance does not have any licensed or registered entity in Hong Kong​.