Why Binance is banned in the US
Binance announced that it would no longer allow US users to access the exchange in 2019. It wasn’t until November that it disabled access to Binance.com, its main site for US users. . He transferred these people to Binance.US, the separate company website run by BAM Trading Services, which offers a considerably smaller range of coins.
The global platform has been under regulatory scrutiny since its debut in 2019. Regulators in the UK and Italy have also banned them from operating, while officials in Hong Kong and Japan have alerted investors on this, among other things. According to a Bloomberg report, the US government investigated tax evasion, money laundering and insider trading as recently as September 2021.
According to Bloomberg, the Commodity Futures Trading Commission is investigating whether it engaged in insider trading or market manipulation by “trading on client orders before executing them,” according to Bloomberg. Binance has denied any wrongdoing.
Following charges against another cryptocurrency exchange, BitMEX, the CFTC and the Department of Justice alleged that it violated know-your-customer rules and other laws.
According to Forbes, he planned to avoid US regulations by establishing a subsidiary in the United States and circumventing “geographical limitations” through “technical workarounds”, which they denied.
According to crypto investors, crypto traders based in the US or other regulated jurisdictions have long known that a VPN could be used to access the platform. Additionally, the global scale of the crypto market eases the company’s anxiety about regulatory constraints in the United States.
However, the murky regulatory environment seems to have had an impact on senior management. After three months at the helm of Binance.US, Brian Brooks, former head of the Office of the Comptroller of the Currency, resigned in August over strategic differences. Brian Shroder, who previously worked for Ant Group and Uber, was named chairman in September.
Binance.US is a partner of Binance, the world’s largest cryptocurrency exchange by trading volume and founded in China. The original platform stopped accepting US customers in 2019 and announced that it would instead work with a US version of its platform.
The SEC has turned its attention to Binance.US, previously called a US partner. According to the Wall Street Journal, the Securities and Exchange Commission is currently investigating links between Binance.US and two companies owned by founder Changpeng Zhao.
Although the original Binance is no longer available to US investors, Binance.US now offers cryptocurrencies for purchase. The main appeal of Binance.US is its low fees compared to other exchanges. It also offers an easy-to-use buy/sell option for newcomers, and more expert traders can use its “basic” and “advanced” in-depth trading platforms.
How can US residents access Binance?
Cryptocurrency investors and traders have been unable to access the world’s largest exchange, Binance.com, leading to lower prices on other companies. The platform is the largest cryptocurrency exchange, with over 500 different coins available and billions of market transactions per day.
When they stopped accepting US investors, anyone attempting to visit the Chinese company through a US IP address would run into digital barriers. Due to geo-restrictions and US rules, domestic residents and foreign tourists using their accounts cannot log in to the site.
However, using a VPN to access from the United States is relatively simple: all you need is a virtual private network. Not only will you be able to bypass this geo-blocking, but you will also have much greater protection for your sensitive financial data and online activity, thanks to the enhanced security provided by VPNs.
The technology that allows you to circumvent these digital barriers has also advanced. If crypto investors want to use Binance or their secure crypto wallets for transactions, they can do so with a VPN.
If you’re on US soil, a VPN can redirect your connection through one of its servers in an eligible country of your choice, such as Sweden, Switzerland, or Poland. It allows you to access legally by jumping these geographical barriers.
Keep in mind that they prohibit the use of VPNs to access the platform, so while this is unlikely, your cryptocurrency account may be terminated.