Binance ramps up removals in response to escalating regulatory scrutiny
Binance, the cryptocurrency exchange, has introduced stricter regulations for listing trading instruments, resulting in a 21% reduction in the number of listed assets in 2023, according to a report by Kaiko. This change comes after Binance’s founder and former CEO, Changpeng Zhao, settled a $4.3 billion case with US regulators for operating an unlicensed exchange. Binance is not the only exchange to decrease its listing offerings, as Coinbase and OKX have also delisted some instruments. However, US-based exchange Kraken has slightly increased its supported cryptocurrencies. Kaiko’s data reveals that a total of over 3,445 tokens or trading pairs were delisted or rendered inactive on major platforms in 2023, a 15% increase compared to 2022. Coinbase alone removed 80 trading pairs, bringing the total number of delisted instruments on its platform to 176 in 2023. Binance’s newly-appointed CEO, Richard Teng, admitted that the exchange’s compliance control at launch was inadequate and that mistakes were made. This statement followed the US Department of Justice’s claims that Binance’s anti-money laundering procedures were insufficient and attracted criminals to the platform.
