Just In: Binance’s Rebranded ‘Ceffu’ Applies For Custodian License In Singapore

Binance, one of the world’s largest cryptocurrency portals, had announced the closure of its digital token exchange serving Singapore residents. The business announced that its subsidiary, Binance Asia Services, has withdrawn its request for a licence from the Monetary Authority of Singapore (MAS) to run a regulated cryptocurrency exchange in the city-state. 

Due to ongoing disputes with Singapore’s regulator, Binance in September decided to exclude users from the nation from trading on its international platform. The plan was to transfer these users to a domestic platform with a licence that met with Monetary Authority of Singapore regulations (MAS). The business, however, is already taking efforts to wind down as this was not feasible. The Singapore branch of Binance intends to revoke its application for a cryptocurrency licence in the city-state. 

Here’s another update. 

Binance trying again in Singapore 

Binance’s custodial arm, currently known as Ceffu after Binance opted to rename it from Binance’s Secure Asset Fund for Users (SAFU), will apply for a Capital Markets Service licence with the Monetary Authority of Singapore (MAS).

Vice President at Ceffu, Athena Yu, said: “Given the city’s reputation in innovation, good corporate governance and a strong regulatory framework, it’s no surprise that institutional investors are attracted to set up shop here”.

Previous regulatory pressure from the MAS on Binance led to the cryptocurrency exchange pulling out of the market when the agency opted not to renew Binance’s licence in 2021 because it had not made the necessary reforms, according to the regulator.

Head of Binance’s law enforcement training Jarek Jakubcek stated that when the exchange’s licence was cancelled, it underwent significant modifications and now complies with all regulations.

Notwithstanding the fact that the exchange ceased services to ordinary investors in Singapore owing to MAS pressure, Binance continues to provide crypto services to Singaporean institutional clients.

In September 2021, Singapore granted a similar licence to Hong Kong-based custodian Hex Trust.

To conclude, 

Binance appears to be looking to expand, and their efforts to obtain a licence in Singapore appear to be a step in the right way.

The U.S. Congress, however, is reportedly considering conducting an investigation into Binance because of its affiliation with Merit Peak.