It has been about 3 months that Binance had announced that they would be shutting down US based investors from trading on their platform on September 12th. The time has finally arrived.
Binance is currently freely accessible by US residents. However, this has all along exposed the exchange to many risks due to regulators in the US starting to tighten up their grasp over the emerging market. Binance offers a variety of unique altcoins, some of which could very well be considered securities under US law which could eventually land the exchange in the hot seat.
On September 4, Binance CEO Changpeng Zhao confirmed that the exchange
“should not have any US users, as per our TOU.”
A poll posted by Reddit user u/millzcrypto on September 2 (now it has 200 responses), shows what options Binance users are considering. (It is estimated that 20% to 30% of Binance users are U.S. residents.) At the moment, most respondents stated that they are going to use “other,” not mentioned exchanges (34%), followed by KuCoin (30%), Coinbase Pro (21%), and Kraken (12%).
The leading crypto exchange also announced that it is planning to launch a branch in the United States
“in the coming weeks.”
KYC onboarding will begin a few days prior to live trading. To complete the onboarding process, users will be required to provide a valid government ID — driver’s license or a passport — and their social security number.
Notably, Binance.com isn’t the only exchange platform by Binance, it’s localized subsidiaries Binance Jersey, Binance Uganda, and Binance Singapore operate mainly as fiat onramps with a few trading pairs