Binance has disabled anonymous crypto trading in France, Italy, Poland, and Spain
Binance, a place to buy and sell cryptocurrencies, has chosen to take privacy coins off its list in some countries. On June 26th, this action will go into force, and it will affect the countries of France, Italy, Poland, and Spain in particular.
Binance has decided to remove these currencies from trade in the countries specified. Binance has notified its French, Spanish, Italian, and Polish clients through email of the exchange’s intention to delist privacy currencies.
Binance said in its email that they were unable to provide these privacy-focused cryptocurrencies due to restrictions imposed by local regulators.
To protect user anonymity during financial transactions, privacy coins use features like zero-knowledge proofs. Because of the efficacy of these technologies, it is very difficult to determine who sent money to whom, who received it, and how much was exchanged.
Using these safeguards, privacy coins make it more difficult for third parties to monitor and trace the activities of their users.
An official from Binance has said: “In spite of our desire to back as many high-quality initiatives as possible, we must adhere to local rules and regulations governing the trade of privacy coins to guarantee that we may continue to help as many people as possible.”
Currently, the total market valuation of all privacy coins is over $5.73 billion. The leader among these currencies is monero (XMR).
Concerned about the potential for money laundering associated with untraceable cryptocurrency transactions, the European Union has begun taking action. The European Union (EU) is considering new legislation that might outlaw privacy coins as a reaction to these concerns.
The European Banking Authority (EBA) has issued draft guidelines warning crypto businesses to keep an eye out for clients making transactions using privacy coins. The goal is to provide assistance to these businesses in their efforts to detect instances of money laundering.