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Binance, the world’s largest crypto exchange by trading volume has announced it would delist margin trading pairs of Australian Dollar (AUD), Euro (EUR), and Sterling Pound (GBP). The crypto exchange would suspend mentioned fiat trading pairs on 10th August and later move to automatic settlement, followed by the cancelation of all pending orders, and then delisting by 12th August, as per the company’s official announcement.
Binance Margin to Delist $AUD, $EUR & $GBP Pairshttps://t.co/gyBP8XzITI
— Binance (@binance) July 26, 2021
The decision to delist margin trading pairs for AUD, EUR, and GBP is believed to be a regulatory measure taken by the crypto exchange in response to the regulatory backlash in Europe, UK, and Australia. The exchange also added a warning at the end of the announcement claiming margin trading is a risky affair that could lead to significant profits as well as losses.
Margin Trading carries a substantial risk and the possibility of both significant profits and losses. Past gains are not indicative of future returns. All of your margin balance may be liquidated in the event of extreme price movement
The crypto exchange has faced regulatory backlash from 10 nations over the past month, where regulators have expressed two major concerns about the crypto exchange, the lack of headquarters and very high leverage trading options. Binance is known for offering the highest leverage trading pairs in the crypto market, with some trading pairs giving 125X leverage options.
Binance Starts Working to Mend Regulatory Risks
The crypto exchange is a market leader both in spot trading as well as derivatives trading. High leverage options on the platform have made it a favorite for derivative traders but have proven to be a headache for regulators because of the high risks. Several countries have already restricted access to crypto leverage trading and many more are looking at the possibility.
Looking at the brewing regulatory troubles for the exchange, Binance CEO Changpeng Zhao announced the exchange would limit the leverage to 20X for new users and extend it for existing users over the next few weeks.
.@binance futures started limiting new users to max 20x leverage last Monday, Jul 19th, 7 days ago. (We didn't want to make this a thingy).
In the interest of Consumer Protection, we will apply this to existing users progressively over the next few weeks.
— CZ Binance (@cz_binance) July 26, 2021
The post Breaking: Binance Margin to Delist AUD, EUR, and GBP Trading Pairs appeared first on Coingape.
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