The world’s largest cryptocurrency exchange Binance has launched three different subsidiary entities to tap into the Irish crypto market and cater to local customers. The global cryptocurrency exchange had been facing a lot of heat from the local financial regulators.
The three new firms are Binance (APAC) Holdings, Binance (Services) Holdings, and Binance Technologies. By setting up these three new entities, the global crypto exchange is now trying to solidify its position in the European country.
The ban on cryptocurrency and crypto investments in China has impacted many native crypto investment platforms and crypto exchanges in particular. Consequently, one of the other major cryptocurrency exchanges, Huobi, has completely banned all customers on their platform who registered with a phone number that is registered in the mainland.
Irish law firm Mason Hayes & Curran worked for the crypto exchange to get these new subsidiary companies set up. Changpeng Zhao remains the director. Over the past few months in several countries, crypto trading and investment platform has been in hot waters with financial regulators. While the UK has asked the crypto exchange to comply with local regulations, Singapore regulators have also issued their warnings.
The challenges for cryptocurrency firms to operate in compliance with local regulations are consistently increasing. Global crypto investment platforms are finding it increasingly challenging due to ambiguous regulatory frameworks. As such, many exchanges including Binance are actively pursuing different routes to cater to multiple jurisdictions.