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Back in June, the world’s most popular crypto exchange, Binance, announced that it would soon be blocking US-based investors from its platform, in order to comply with global regulations.
The deadline for US-based investors to cease trading and using Binance is less than 48 hours away. Here is everything crypto investors and traders need to know about the major disruption and what may occur in the crypto market after the largest portion of traders is cut off from much of the altcoin market.
Binance To Shut Off Trading for US Investors on September 12
Ever since Binance announced it would be blocking US investors from using its flagship trading platform and website, the crypto market has never been the same. Altcoins, Binance’s claim to fame, have been bleeding out profusely due to the lack of buy pressure and uncertainty surrounding the asset class.
Related Reading | Binance US Evaluating 30 Crypto Assets, Bitcoin and Ethereum Under Scrutiny?
Binance currently offers hundreds of altcoin trading pairs against BTC and other major currencies, however, the upcoming US-based alternative may only offer 30 some odd cryptocurrencies, including Bitcoin – a far cry from what crypto investors and traders are used to under the Binance namesake.
But the exchange is only “exploring” these assets, and there’s no certainty any of them outside of what’s offered at other US-based exchanges such as Coinbase will be listed. The assets Binance is considering can be seen below.
What Steps Should US Crypto Investors Take?
Crypto investors and traders may want to consider liquidating any assets not included in this list, otherwise, they risk potentially holding assets they will be unable to ever sell.
Despite Binance blocking users from the United States from trading or making deposits to their platform in the next 48 hours, Binance will continue to leave accounts open to allow for users to withdraw their funds, or view account statements and the like.
Related Reading | Clearing Up the Crypto Confusion For US-Based Binance Traders of Altcoins
It is recommended that any US-based customers download their account statement after their last trade is made, to ensure complete tax compliance. US-based traders are also urged to withdraw any crypto holdings including Bitcoin from Binance, despite accounts being left open. Eventually, these accounts may be closed at the discretion of Binance. There’s little point in leaving funds on the platform if the investor or trader cannot actually take any positions with the assets.
In terms of what to expect for the crypto market itself, most believe that the information is already priced in, and that’s why altcoins have suffered so badly. Others believe that the lack of interesting in altcoins driven by Binance could mean that another alt season never arrives.
Featured image from Shutterstock
