Binance, the largest crypto exchange, was given 14 days' notice to stop offering its services in Malaysia.
It has been reported that Malaysia is the latest regulatory theater to come after Binance as authorities in the country have accused the exchange giant of continuing to operate in the country illegally.
However, the Securities Commission (SC) Malaysia has served a public reprimand against Binance, calling for the exchange and all of its entities to cease operations in the country. The SC stated that Binance continued to operate in Malaysia despite previous warnings.
The report said that in July 2020, Binance was not permitted to operate in Malaysia. At the time, the SC published an "Investor Alert List" containing several digital asset exchanges offering services in the country without due authorization from Malaysian regulators.
Likewise, the announcement also mandated that Binance's CEO, Changpeng Zhao (CZ), ensures full compliance with the order. Malaysia's securities regulator also urged citizens to desist from trading with crypto exchanges operating in the country illegally.
A spokesperson for the exchange explained that Binance.com does not operate out of Malaysia:
"Binance takes a collaborative approach in working with regulators in navigating this emerging industry and we take our compliance obligations very seriously. We are actively keeping abreast of changing policies, rules, and laws in this new space."
According to the report, the news out of Malaysia concerning Binance is only the latest in sweeping regulatory actions specifically targeted at the exchange giant. From warnings to investigations and now outright bans, the platforms appear to be under the cosh of financial watchdogs across the globe.
Thus, the exchange has also announced plans to shut down crypto derivatives trading in Europe, beginning with Germany, Italy, and the Netherlands.