Binance to Withdraw from Cyprus Following SEC Lawsuit, Here’s a Catch

Bloomberg Terminal has spread the word that Binance intends to withdraw from the market in Cyprus and has filed an application to deregister as a crypto asset service provider, according to the securities regulation website.

BINANCE’S CYPRUS UNIT HAS APPLIED TO DEREGISTER AS CRYPTO ASSET SERVICE PROVIDER IN CYPRUS – SECURITIES REGULATOR WEBSITE

— *Walter Bloomberg (@DeItaone) June 14, 2023

The reason for that move has not been provided by the regulator. Binance has been registered with it since October last year. Still, according to Reuters and its source, the crypto exchange never started its business in the aforementioned region, even though it had the right to offer services in spot trading, crypto custody, etc.

Last week, Binance received a major blow from the US securities regulator as it and Coinbase were sued by the SEC on charges of violating US securities laws. Now, Binance intends to defend itself vigorously, Reuters stated.

After the SEC began its crackdown on Binance, rumors began to appear that the crypto platform started massive sell-offs of its Bitcoin and BNB holdings, which raised concerns in the crypto community.

However, in a recent tweet, the head and co-founder of the exchange Changpeng Zhao (CZ) emotionally refuted these claims.