Binance, the leading blockchain ecosystem and cryptocurrency infrastructure provider, has made the decision to sell its entire Russian business to CommEX in light of mounting compliance challenges and ongoing legal action against the exchange by US regulators. The sale comes as part of Binance’s efforts to realign its operations and focus on its global growth strategy.
To ensure a smooth transition for its existing Russian users, Binance has committed to a year-long off-boarding process. The exchange has assured users that all their assets are safe and securely protected during this period.
Noah Perlman, Binance’s Chief Compliance Officer, explained that operating in Russia is no longer aligned with the exchange’s compliance strategy. However, Binance remains confident in the long-term growth of the web3 industry worldwide and will continue to focus its energy on the 100+ countries where it currently operates.
The migration of users from Binance to CommEX will be carried out in an orderly manner. Binance and CommEX will work together to inform users about the process of transferring their assets to the new platform. The registration of new users in Russia will also be redirected to CommEX gradually.
Over the coming months, Binance will gradually phase out all exchange services and business lines in Russia. The company is dedicated to maintaining a seamless user experience throughout the transition.
Financial details of the deal have not been disclosed. However, Binance clarifies that it will no longer have any ongoing revenue share or the option to repurchase shares in the Russian business following the sale.
Binance emphasizes its commitment to compliance, stating that it has a robust compliance program in place and holds licenses and registrations in 18 countries globally, with five additional ones announced since January 2023.
With this sale, Binance fully exits the Russian market, emphasizing its focus on serving its user base across the globe. As a trusted platform used by more than 150 million users worldwide, Binance offers a wide range of crypto products and services, including trading and finance, education, data and research, social good initiatives, investment and incubation, decentralization, and infrastructure solutions.
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