From now on, withdrawals will face a limitation of 0.06 BTC for unverified users. Previously, the maximum amount, with registration without verification, was 2 BTC.
Binance is now planning to reduce the maximum daily withdrawal amounts from 2 BTC to 0.06 BTC for those who do not have identity verification. This move is a measure against the regulations required by several of the countries in which the bitcoin and cryptocurrency exchange operates.
The announcement had come directly from Binance’s official blog, posted on July 27. It communicated that this new policy would affect the newly created accounts. For their part, The already existing users will have until August 28 of this year to set up their identity verification before they see the withdrawal limit reduced.
The measure, according to Binance itself, although it is for regulatory purposes, will be set for security reasons, as well as to adhere to the standards of the cryptocurrency exchange industry.
For the daily limit of 100 BTC for withdrawals, which establishes its rules for those users who achieve the identity verification, it will remain intact. This kind of verification also adds the uploading of a photo as an identity document. This photo will be a selfie of the user.
Binance Tries to Find New CEO
The measures imposed on the reduction in withdrawal limits happened on the same day that the news reporting that current CEO Changpeng Zhao (“CZ”) would be seeking a replacement for his position appeared. CZ points out that the new CEO must have greater knowledge and experience in the regulatory area, to be able to work in parallel with the regulatory entities of the countries.
Although the measure to reduce the amount to be withdrawn daily to USD 2,200 seems to favor the anti-money laundering regulations imposed by the regulators of different countries, various exchanges do not permit any withdrawal until there is complete basic identity verification.
This situation could mean an open window for, in the future, due to the willingness that Binance has declared to work and contribute with regulators, the withdrawal limit to get reduced to 0 if users do not comply with verified accounts.
Binance Closes Markets in Favor of Regulations
In addition to the measures on limits on withdrawals, Binance has also decided to close some markets that might be suspicious for European regulators, among them the share tokens. As the company reported, the decision was to shift Binance’s business focus to other product offerings in the cryptocurrency arena.
Other products that have received damage by the new measures in favor of the regulations have been cryptocurrency futures. Firstly, Binance offered cryptocurrency futures trades with leveraged credit limits that reached 125x or 125 times the original investment. As of July 25 of this year, a progressive change began, reducing leverage to a maximum of 20x.
By: Jenson Nuñez