The under-fire cryptocurrency exchange Binance has been registered as a financial institution in Sweden, according to the country's financial regulators, who announced this on Thursday.
Companies that are registered are required to furnish the Swedish watchdog with information on anti-money laundering procedures, but little else, unlike licensed financial services providers.
The registration enables Binance to open a Swedish website while being under intense regulatory pressure globally as a result of the FTX collapse scandal. According to Per Nordkvist, deputy head of the Financial Supervisory Authority's banks division, it also enables the exchange to sell itself directly to consumers in the Nordic country.
Over half of the global cryptocurrency trading market is dominated by Binance. It now has regulatory licences or approvals in 15 jurisdictions, including numerous European Union states, Australia, and New Zealand, thanks to its registration in Sweden.
The giant Binance.com exchange, which is at the center of the company's operations, completed trades worth more than $22 trillion last year.
Binance has chosen not to disclose the location of the exchange, which was established by CEO Changpeng Zhao in Shanghai in 2017.
The Binance.com exchange is still mostly out of the public's eye, according to a Reuters review of Binance's business records in 14 jurisdictions from December.
For instance, the amount of money flowing between the units and Binance.com is not disclosed in the public filings. Several of the units appear to have little activity, according to the study of the data.
According to a statement released by Binance on Thursday and published on Twitter by its CEO, Swedish citizens now have legal access to services like crypto trading and the ability to withdraw and deposit euros on the exchange thanks to the most recent registration.
However, according to Nordkvist, the company is not entirely within the watchdog's control only because Binance Nordics AB is registered here.
According to Richard Teng, head of Europe and MENA at Binance, "Binance continues to demonstrate its commitment to work closely with regulatory agencies to uphold global standards."
By fLEXI tEAM