Binance, the major cryptocurrency exchange, has announced that it will soon close down Binance Jersey, its Jersey-based subsidiary.
It has been reported that Binance launched its platform in Jersey as part of its expansion drive to tap into the European markets. On January 15, 2019, the exchange announced that Binance Jersey will allow fiat-to-cryptocurrency trading for European traders.
However, at launch, the exchange supported Bitcoin (BTC) and Ether (ETH) trading against both euros and the British pound.
While the exchange aimed to make Binance Jersey a “major driving force” in European markets, the market stats show that it fell short of its goals.
According to the latest CoinMarketCap data, Binance Jersey has a 24-hour trading volume of $164,470. BTC/EUR and BTC/GBP trading pair volumes are $76,597 and $46,974.
.@binance shuts operation of Binance Jersey without specifying a reason https://t.co/1JppvHJyRF — Cointelegraph (@Cointelegraph) October 19, 2020
Likewise, Binance Coin, the native token of the Binance ecosystem, has a combined GBP and EUR trading volume of only $5,133.
The report said that Binance will restrict new deposits of GBP, EUR, and all supported cryptocurrencies on October 30. After suspending deposits, the exchange will allow trading and withdrawals of all pairs and currencies until November 9. The platform’s final shutdown is scheduled for November 30, after which, all user accounts will be inaccessible.
Thus, Binance did not specify the exact reasons for shutting down operations in Jersey, but said that its main exchange platform Binance.com “will continue to offer services to citizens of Jersey through compliant banking channels.”