Brazil’s
Securities Watchdog Halts Binance From Offering Derivatives To Users in the
Country
Brazil’s securities regulator,
the Comissão de Valores Mobiliários (CVM), has barred cryptocurrency exchange
Binance from offering derivatives products in the country.
An order published on Monday
details the CVM said Binance “does not hold authorization” to act as a
securities intermediary in Brazil for derivatives contracts and securities,
regardless of the underlying assets. The order reads:
"It remains evident that the company
Binance Futures, through the webpage 'www.binance.com,' captures customers
residing in Brazil with a public offering of derivative intermediation
services...; the aforementioned company does not hold authorization from this
Securities and Exchange Commission to act as a securities intermediary.”
According to local news outlet Portal do Bitcoin, CVM has threatened a
daily fine up to R$ 1,000 ($186) if Binance does offer derivatives in Brazil
and fails to “immediately suspend” the direct and indirect offering of such
services on its website and social media platforms.
