Binance has declared that it will no longer allow Indian cryptocurrency exchange WazirX to utilize its wallet services. The operator of WazirX, Zanmai, has been given until February 3rd to transfer all funds from the accounts utilized for Wazirx’s operations. This decision was made due to a public disagreement between Binance and Wazirx.
Binance’s Termination of Wallet Services to WazirX and Zanmai
Although Zanmai has expressed its plan to transfer funds from the concerned accounts, Binance has pointed out that at the time of the announcement, WazirX has not yet completely removed all assets from the Binance wallets utilized for its operations.
Binance emphasized that it only offered wallet services to Zanmai as a technical solution for the latter’s operation of the WazirX exchange and took issue with Zanmai’s misleading claims regarding Binance’s alleged involvement and responsibility in operating WazirX.
On January 26th, Binance presented Zanmai with the option to either retract their false public statements and continue using Binance’s services or to terminate the use of Binance’s wallet services.
JUST IN: Binance terminates wallet services to WazirX
— whalechart.org (@WhaleChart) February 3, 2023
Regulatory Concerns for Cryptocurrency Companies in India
Recently, Binance CEO Changpeng Zhao stated that India is not a promising market for his exchange due to the country’s strict regulations, including a substantial tax structure.
However, Binance has continued to expand its global operations, having obtained licenses in seven European countries, acquired a Japanese exchange, and made investments in a Korean exchange.
The move by Binance highlights the growing concerns among cryptocurrency companies about the regulatory environment in India. The country’s government has been tightening its grip on the industry in recent months, and many fear that further restrictions could be imposed in the future.