- Bitcoin experienced a substantial decrease in value on May 30, as its price on Binance Australia, a major cryptocurrency exchange, dropped by approximately $6000.
- The price of bitcoin, the world’s most popular cryptocurrency, stood at around $22,000 on Binance Australia, whereas on the Australian crypto exchange BTC Markets, it reached $28,000. Outside of Australia, the price of one bitcoin was $27,790.
Bitcoin experienced a substantial decrease in value on May 30, as its price on Binance Australia, a major cryptocurrency exchange, dropped by approximately $6000. The trading activity on the exchange reflected a notable inclination to sell, resulting in a decline of bitcoin’s price from $28,000 on the local exchange, BTC Markets, to $22,000. This significant difference in prices has caught the attention of market observers.
Bitcoin’s Value Takes a Dive on Binance Australia, Prompting Trader Panic
Indicating a strong desire to exit their positions promptly, bitcoin prices on Binance’s Australian branch, a prominent cryptocurrency exchange, were approximately $6000 lower on May 30.
The price of bitcoin, the world’s most popular cryptocurrency, stood at around $22,000 on Binance Australia, whereas on the Australian crypto exchange BTC Markets, it reached $28,000. Outside of Australia, the price of one bitcoin was $27,790.
Internationally, the crypto exchange has faced legal actions and investigations. In April, the company announced the closure of its Australian derivatives division and relinquished its financial services license following an investigation into its business practices.
Buyers can acquire one bitcoin on the Australian platform for the equivalent of $22,000 in Australian dollars. However, the challenge lies in transferring funds to the platform for executing the transaction.
On May 18, the Australian branch of the crypto exchange declared the suspension of its Australian dollar services due to a decision made by its third-party payments provider.
Binance Australia’s Important Update: Reminder of AUD Conversion Deadline
Following the discontinuation of bank transfer deposits, Binance Australia allowed PayID withdrawals until June 1 at 5 p.m. local time. The exchange cautioned its Australian customers that any remaining Australian dollars (AUD) in their accounts after May 31 would be automatically converted into USDT (Tether). Users were alerted to manage their AUD holdings before the deadline to avoid this automatic conversion. With the deadline for AUD bank withdrawals approaching, traders are rushing to convert their bitcoin holdings into Australian dollars.
Users are facing difficulties accessing reduced BTC due to the inability to deposit AUD into the trading wallet and the high fees associated with converting other crypto assets into AUD. Users who want to take advantage of the opportunity presented by the lowered bitcoin prices on Binance Australia require assistance in these circumstances.
Furthermore, the crypto exchange has cautioned users about the delisting of several crypto trading pairs against Australian dollars (AUD) scheduled for June 1. Users have been advised to trade with caution and be aware of the associated risks.
In the meantime, the exchange is actively searching for a new partner to maintain the availability of Australian dollar deposits and withdrawals on the platform. Buying and selling cryptocurrencies using credit or debit cards is still possible, with prices closely following the market trends.
Major Blow for Binance: Australian Regulator Revokes License of Crypto Exchange
As reported by CNBC, the Australian Securities and Investments Commission (ASIC) revealed on April 6 that Binance’s derivatives license had been revoked following a request from the cryptocurrency exchange. The regulator had initiated a targeted review of Binance back in February.
According to the regulatory requirements, Binance was instructed to close all active trading positions by April 21. ASIC Chair Joe Longo emphasized the focus on identifying potential harm to consumers and mentioned that the investigation into Binance’s practices was still ongoing. A spokesperson from Binance stated that the company would adopt a more focused approach in Australia, including the closure of its Binance Australia Derivatives business, following discussions with ASIC. It was disclosed that this particular business had more than 100 customers engaged in derivatives trading.
In recent weeks and months, Binance has faced increasing regulatory scrutiny. The U.S. Commodity Futures Trading Commission filed a comprehensive lawsuit against the cryptocurrency exchange and its founder, Changpeng Zhao, primarily related to concerns about anti-money laundering and know-your-customer compliance. The complaint outlined how Binance generated substantial fees through derivatives trading.
The Australian regulatory investigation stemmed from what appeared to be an inadvertent compliance issue. Binance operates globally through an extensive network of subsidiaries, including Oztures Trading Pty Ltd in Australia.
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