Binance Co-operating with South African Financial Regulators - to cease leveraged trading options

Sensorei

Executive Member
Joined
Sep 15, 2008
Messages
6,072
As Binance constantly evaluates its product and service offerings to comply with local regulations, we will cease offering the following products to South African users:
  • Futures
  • Options
  • Margin
  • Leveraged Tokens
With immediate effect, South African users will be restricted from opening new accounts for these products.
Users will have 90 days to reduce and close their positions for these products. Users will be able to top-up margin balances to prevent margin calls and liquidations, but they will not be able to increase or open new positions.
Users will no longer be able to manually reduce or close their positions after 6th January 2022 11:59 PM (UTC). Thereafter all remaining open positions will be closed.

Screenshot 2021-10-08 at 11.01.42.png

“Furthermore, Binance.com is committed to taking a collaborative approach in working with regulators and law enforcement globally, and in particular, Binance.com is continuously collaborating with the FIC (Financial Intelligence Centre), the major regulator of financial crimes in South Africa. Binance.com is registered with the FIC as a voluntary self-disclosure institution. As a member of this programme, Binance complies with the FIC Act obligations relating to establishing and verifying of clients’ identities, record keeping and reporting suspicious or unusual transactions in terms of section 29 of the FIC Act.”
 
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Sensorei

Executive Member
Joined
Sep 15, 2008
Messages
6,072
How far does this co-operation extend? It looks like it might have to be bye-bye Binance...
 
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JohnStarr

Executive Member
Joined
May 21, 2018
Messages
9,343
I don't do any of that so should be good. Buy coins and keep them there.
 

Botha22

Senior Member
Joined
Mar 30, 2019
Messages
609
Wouldn't be surprised if next they ban all South Africans from trading on Binance. It's "nice" to see the SA authorities care that we don't lose our money. It would be nicer if they didn't squander that portion that they have already taken from us.
 
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Gaz{M}

Executive Member
Joined
Feb 9, 2005
Messages
6,974
anc paranoid that you will send your Rands away from SARS' clutches.
 

Blackhand

Senior Member
Joined
Dec 22, 2004
Messages
613
So you can't transfer from luno to private wallet?
Ofcourse you can?

I specifically didn't mention exchanges though, if they have a local presence they will abide by local laws/regulation. While the exchange keeps the crypto in wallets (global), as the end user the exchange doesn't give you direct access to those wallets, they give you access to a facade that looks like a wallet that they control.

With wallets it is different, the SARB's thinking here is dated. They're making a distinction between local and offshore wallets when there is in fact no such thing, all BTC is part of the global BTC network. They think that if BTC is in a "local" wallet it hasn't left the country.
 

deweyzeph

Executive Member
Joined
Apr 17, 2009
Messages
9,321
What do they mean by "South African" though? Do they mean people who are tax-resident in South Africa? Or people who are South African citizens? Or people who physically live in South Africa? How exactly are they going to police this?
 

Sensorei

Executive Member
Joined
Sep 15, 2008
Messages
6,072
What do they mean by "South African" though? Do they mean people who are tax-resident in South Africa? Or people who are South African citizens? Or people who physically live in South Africa? How exactly are they going to police this?
Your IP address shows you're in SA, and Binance now require KYC so they know if you're South African.

A VPN should work as a way around the IP block, but let's wait and see.
 

swim

Expert Member
Joined
Nov 16, 2006
Messages
1,222
Your IP address shows you're in SA, and Binance now require KYC so they know if you're South African.

A VPN should work as a way around the IP block, but let's wait and see.
VPN does work i got no Notification from Binance
 

Milano

Honorary Master
Joined
Feb 7, 2004
Messages
16,696
As Binance constantly evaluates its product and service offerings to comply with local regulations, we will cease offering the following products to South African users:
A blanket ban is interesting. So if you received tax compliance certification and transferred your funds out of SA legally you are discriminated against based purely on your citizenship.
 

Snyper564

Honorary Master
Joined
Oct 1, 2008
Messages
10,242
Buy why? What's different than simply trading?
Seriously extended leverage, extremely high risk.

All derivatives markets have to be registered etc with the FSCA. They just decided that sa wasn't worth it...
 
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