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Binance Lowers Withdrawal Restrictions And Introduces A Tax Reporting Facility

Binance, the world’s largest cryptocurrency exchange by trading volume, has introduced withdrawal limitations and a new tax reporting mechanism as part of its ongoing attempts to maintain engagement with global regulators.
The corporation made a big change to its Know Your Customer (KYC) regulations on Tuesday, drastically lowering the maximum withdrawal amounts for individuals who have not completed comprehensive identification verification.
Users who have completed only basic account verification will no longer be able to withdraw more than 0.06 Bitcoin (BTC) per day, worth around $2,400 at the time of writing, for new Binance accounts.
Binance CEO Changpeng Zhao highlighted on Twitter that the highest daily withdrawal amount was previously restricted at 2 BTC, or roughly $80,000.
Binance will continue to implement additional withdrawal limitations to existing customers in waves beginning in August, according to the release.
By August, the exchange aims to have fully implemented additional withdrawal limitations.
Binance customers who have passed full identity verification can still withdraw up to 100 BTC each day, which is roughly $4 million at current BTC values.
“Withdrawal limitations are refreshed everyday at 00:00 AM,” according to the notice.
On Wednesday, Binance launched a new tax reporting tool.
Binance customers may trace their crypto transactions, transmit their transaction history to third-party vendors, and get fast overviews of their local tax responsibilities via the reporting system, which is an Application Programming Interface (API).
The new endeavor is part of the exchange’s larger plan to improve user security and risk management standards.
Users can now choose a third-party tax tool to transmit their transaction history from Binance’s tax reporting instruction website, according to the exchange’s tax reporting instruction page.
“Binance does not recommend any specific third-party tax software.”
When selecting third-party tax tools, please use caution and/or consult your personal tax counsel based on your specific tax circumstances and needs,” the exchange cautioned.
Binance did not react to a request for information on how to use the new tool for Binance US users right away.
The announcement comes as Binance implements additional trading limits in an apparent attempt to respond to the exchange’s increasing worldwide regulatory onslaught.
Margin trading pairings for three fiat currencies, including the Euro, the Australian dollar, and the British pound sterling, were delisted by the exchange this week.
The maximum leverage position on Binance’s futures trading platform has also been reduced from 125x to 20x.
Binance CEO CZ also stated on Tuesday that if someone “with a good regulatory background” becomes available, he could be prepared to step aside.
He stated, “There are no urgent plans to replace me as CEO.”

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