On Wednesday, cryptocurrency exchange Binance announced that the company will be on December 31st will remove the Chinese Yuan (CNY) from its peer-to-peer trading platform.
In addition to ending trading pairs with the yuan, Binance will continue to restrict access to its platform by users from mainland China by introducing new measures for region-linked accounts. Binance will specifically limit these accounts to “withdrawal only,” allowing only withdrawals, redemptions and positions to be closed.
Binance pointed out that the company has “left the mainland China market in 2017”And has not carried out any exchange activities in the region since then. The platform claims that users in China have not been able to access Binance since its release.
Despite having left the mainland China market in 2017, Binance has not yet suspended the digital yuan on its platform.
“Binance does not have any active exchange operations in China. We can also confirm that mobile registrations are blocked and the Binance app is not available for consumers in China.A Binance spokesperson told Cointelegraph.
“We have taken another step to delimit trading pairs in CNY and limit services on Binance P2P to any user in China,”Added the representative.
The news comes weeks after the Chinese government announced another major crypto ban in late September, bringing together several state authorities to thwart the adoption of cryptocurrencies in the country. Several major crypto companies have been forced to relocate or reroute some of their services.
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Huobi, one of the largest cryptocurrency exchanges in the world, is one of the companies whose revenues are likely to be affected by the new ban in China.
“For historical reasons, we have a certain proportion of our user base in mainland China. The closure of user accounts in mainland China will have some impact on the company’s revenue in the short term,A spokesperson for Huobi told Cointelegraph on 28 September. “Huobi’s diversified businesses outside of China reached nearly 70% in terms of trading volumes.“