Binance reaches $1.7M agreement with Brazilian securities regulator

Turner Wright4 hours agoBinance reaches $1.7M agreement with Brazilian securities regulatorBrazil’s CVM issued a warning to the crypto exchange in 2020 that it was offering residents derivatives products without authorization.543 Total viewsListen to article 0:00NewsOwn this piece of crypto historyCollect this article as NFTCOINTELEGRAPH IN YOUR SOCIAL FEEDFollow ourSubscribe onCryptocurrency exchange Binance reached an agreement with Brazil’s Securities and Exchange Commission (CVM) over offering derivatives products.

In an Aug. 14 notice, the CVM said Binance agreed to pay 9.6 million reais — roughly $1.7 million at the time of publication — to the securities regulator. The CVM issued a warning to Binance in 2020 that the exchange was offering Brazilian residents derivatives products without authorization.

“Since the regulator’s first communication to Binance in 2020, the exchange has taken all necessary measures and actions to respond to the authority and comply with local requirements,” said Binance in a translated statement to Cointelegraph Brazil. “The CVM board’s decision to accept the proposed Term Sheet reaffirms that the adjustments and updates made by Binance over time are sufficient for the regulator.”

The securities regulator initially rejected Binance’s 2023 proposal to pay roughly $365,000 to end the investigation. 

Related:Brazil leads LATAM crypto trading with $6B volume in 2024

The agreement followed the CVM reportedly approving a spot Solana exchange-traded fund (ETF) for listing and trading on the Brazilian stock exchange. The United States Securities and Exchange Commission (SEC) started greenlighting spot crypto ETFs in January, moving from Bitcoin (BTC) to Ether (ETH), but to date, it has not approved a spot investment vehicle tied to Solana (SOL).

Magazine:Godzilla vs. Kong: SEC faces fierce battle against crypto’s legal firepower# Brazil# SEC# Cryptocurrency Exchange# Derivatives# Binance# RegulationAdd reaction