Binance Considering Ending U.S.-Based Partnerships Amid Regulatory Crackdown

Binance, the world’s largest crypto exchange by volume, is considering ending its relationships with U.S. based banks and other crypto services, Bloomberg reported Friday. The report comes days after Binance CEO Changpeng Zhao tweeted that Binance would review projects in some markets due to “regulatory uncertainty,” a sign Binance might cut ties to U.S. partners in response to a regulatory crackdown.

Binance does not operate its exchange in the U.S., but is still does business with U.S. banks and other crypto firms. Binance.US, which claims to be a separate and independent exchange, operates in the U.S. and a spokesperson told The Information it “has no plans to leave the US market.”

Binance is also re-examining its venture capital investments in the U.S. and thinking of de-listing U.S.-based tokens, according to the report, which cited a person familiar with the matter. Binance’s Zhao disputed part of the report, however, tweeting that the exchange is not considering de-listing U.S.-based tokens but it has pulled back on some investments and bidding on bankrupt companies. Binance has reportedly been under investigation for U.S. anti-money laundering violations since 2018.