Binance, which is the largest crypto exchange platform in the world by trading volume today, has announced that it will eliminate the ‘pair’ of crypto trading margins of the Australian dollar (AUD), Euro (EUR) and Pound Sterling (GBP).
Binance will suspend the fiat trading pair on August 10, followed by the cancellation of all pending orders and then on August 12, the trading pair will be completely eliminated.
The decision to remove the AUD, EUR, and GBP margin trading pairs is believed to be a regulatory measure taken by crypto exchanges in response to legal action from Europe, the UK, and Australia.
Binance has faced pressure from 10 countries over the past month, where regulators have expressed two major concerns about Binance’s business practices namely the lack of headquarters and very high trading margin options. Binance is a crypto exchange trading company that provides ‘leverage’ options up to 125x.
The high leverage option on the platform makes it a favorite for derivatives traders but it is not popular among regulators due to the high risk. Some countries have restricted access to crypto ‘leverage’ trading and are expected to be followed by several other countries.
On that basis as well, Binance CEO Changpeng Zhao announced that Binance will limit ‘leverage’ to 20x only for new users and then to old users.
