Binance has announced that trading of futures contracts on its Brazilian platform would be suspended as of Friday in order to comply with local legislation. The news comes after the country announced the need to regulate cryptocurrencies.
According to a Binance representative, the decision is based on an order from Brazilian regulators. “Binance put limits on our website and stopped offering derivatives items to comply with the Brazilian decree.
If there are any new modifications, we will assess them and work with the relevant stakeholders as soon as possible to discover the best solutions for the local users.
If and when we make a choice and are ready to disclose it, we will share further information,” the official stated.
Brazil is attempting to regulate the cryptocurrency
Roberto Campos Neto, the President of the Brazilian Central Bank, recently remarked on the crypto industry, suggesting that local legislation should help investors meet their need for cryptocurrency.
Cryptocurrencies, according to Neto, will play a significant role in payment networks. “This comes out of a demand that people have for payments to be very rapid, open, secure, and transparent in every sense,” says the Central Bank President of the industry’s importance in the expansion of digital payments in the country.
The recent development in Brazil is unsurprising. Binance has been actively lowering its product offering in response to regulatory pressure from around the world.
The crypto exchange has declared that in order to access its services, all users will be forced to verify their identities through the exchange.
The decision was made to “further enhance user protection,” according to the notice. The latest move shows that the exchange is seeking worldwide adoption and regulatory-friendly conditions in order to continue functioning globally.
