The exchange says the verification process is intended to protect users and create a “safe crypto environment”
Binance has announced new measures designed to align the world’s largest cryptocurrency exchange more closely with regulatory compliance requirements worldwide.
In a statement published on Friday, the crypto exchange said it will introduce a mandatory KYC verification process for all customers.
The exchange has asked existing and prospective users to complete the verification process if they want access to the platform’s full range of services. Binance said the changes “take effect immediately” for all new customers.
The requirements will also apply to current Binance users who have not yet completed verification. Those accounts will be limited to withdrawals only, meaning users will not have access to any services or products other than withdrawing funds, cancelling orders, or closing positions.
The platform urges users to complete verification “promptly” to avoid delays and potential restrictions.
According to Binance, a review of its KYC policies was necessary to protect all users amid the many regulatory developments occurring around the globe. The review follows recent regulatory changes that have put pressure on the exchange in recent months.
Regulators in several countries have recently focused scrutiny on Binance, including authorities in the United States, the United Kingdom, Germany, the Cayman Islands, and Spain.
Pressure from financial regulators in these jurisdictions has forced the leading crypto platform to reassess its strategy and introduce new measures, not only to implement KYC more broadly but also to strengthen its anti-money laundering efforts.