- Securities Commission (SC) Malaysia, has taken stringent measures against those not complying with securities laws within the country.
- The market regulator has added Binance, on its list of companies/websites/individuals not following rules and regulations in the capital market.
Established on 1st March 1993, Securities Commission (SC) Malaysia, has taken stringent measures against those not complying with securities laws within the country. The market regulator has added the world’s biggest cryptocurrency exchange, Binance, on its list of companies/websites/individuals not following rules and regulations in the capital market. A report suggests that cryptocurrency trading surged in the country during the lockdown and is still on the rise. The addition of the Binance Exchange on its watch list is not beneficial for an economy that is crippling under a pandemic.
The significance of the Move Behind Adding Binance in Investor Alert List
Binance is allegedly operating a market without authorization by the Securities Commission. The list guides investors as to what they are getting into and creates awareness among those who are still amateur in the industry. In the last couple of months, the same regulatory body had approved domestic cryptocurrency exchanges’ Sinegy and Tokenize to start operations. More recently, the latter the country’s Shariah Advisory Council had allowed the trading of digital assets in the country.
Hence, it is proof that the addition of Binance to its watch list is not going to affect the domestic investors, who have the support of their government. It is just that due to certain regulations not followed, the step had to be taken.
Investors interests safeguarded properly
The Securities Commission has worked effortlessly to bring about a change in the digital assets space. It recently cautioned investors from withdrawing money from cryptocurrency ATMs in the country. The crypto ATM operators advised ceasing all operations in the country. Additionally, 14 men also arrested for carrying out a cryptocurrency scam.
With the addition of Binance to the watch list, the regulatory body aims to be more-stricter when dealing with securities, derivatives, and financial planning. They plan to supervise cryptocurrency exchanges and various other clearinghouses and ensure proper conduct in the capital market. Last month itself, the Market Surveillance System integrated with cryptocurrency exchange Tokenize. It is a matter of time before Binance follows all the protocols provided and removed from the watch list.