Binance Ceases Chinese Yuan Trades, Restricts Access For Chinese Users

Binance ceases Chinese yuan trades amid the Chinese blanket ban on crypto and also restricted the access for the Chinese users to the platform as we are reading more in our latest Binance news today.

In an attempt to comply with the local regulators, Binance announced it will stop servicing OTC deals that involve the Chinese yuan for the users of the nation, and right after the announcement, the price of BTC and the rest of the market dipped. Binance said it will cease servicing OTC trades for the Chinese yuan as of December 31st. The company will also examine the platform users and if it determines that any of them are based in China, it will switch accounts to “withdraw only” mode which means they will only be able to close positions and to withdraw their funds on the exchange.

Binance ceases Chinese yuan trades and justified the decision with the ongoing crackdown on the crypto industry from the Chinese regulators. The country and its central bank took quite the harsh stance on crypto and prohibited all local organizations from dealing with the companies that are associated with the digital asset space. More than 20 firms, as a result, moved out, closed, or shut down operations in the country including platforms like KuCoin and Huobi. According to the popular Chinese journalist Colin Wu, the most used social media platform in China-Wechat, also started blocking searches for digital asset trading platforms as Wu explained that almost all of the websites in China started blocking exchanges or crypto-related content.

As it happened with the previous Chinese ban, the tokens of some exchanges surged in value and now we saw it again after the Binance announcement. At the same time, most of the crypto market is in the red. Bitcoin traded above $56,500 before the sudden violent candle drove it south to $2000 so now BTC stands at $55,000.

Also as we reported, The Binance users that are in South Africa have until January 6^th, 2022, to manually close their derivatives positions as the exchange halted these services. This is the latest action by the world’s leading exchange in the efforts to comply with local regulators. As announced earlier, Binance alerted its South African customers that will stop offering any derivatives services especially those that are trading futures, option, margin, and leveraged tokens. The users in the African nation will not be eligible anymore to open new accounts for these products, effective immediately.