The leading crypto exchange has a significant presence in the Asian region and with its new partnership in Malaysia, the exchange aims to expand the sustainable growth of the crypto market in the Southeast Asia region.
MX Global, on the other hand, aims to bank on the recent partnership and new flow of capital to expand its market and become a leading liquidity hub in the region.
Binance’s recent slew of partnerships also reflects a pattern of sorts, especially in regions where the exchange has found it difficult to mitigate regulatory compliance requirements independently. The crypto exchange has restricted its services in Malaysia back in July 2021 after an order from the SC over non-compliance with the regulatory laws.
A spokesperson from Binance told Cointelegraph that the recent partnership will help the crypto exchange understand the local regulatory approach and explained:
“This is part of Binance’s initiatives to cooperate with regulators. By working with regulated platforms, we are supporting local representatives to further expand their businesses while they stay compliant.”
In Singapore, the crypto exchange withdrew its crypto license application just a week after announcing an 18% stake in the private stock exchange. The crypto exchange also managed to access the United Kingdom’s sterling payment network through its partnership with PaySafe, after getting barred by the country’s regulator in 2021.
The crypto exchange undertook a similar strategy in Thailand as well, where the exchange had to shut its operation in July 2021, but made a re-entry in the Thai market with its partnership with the country’s Gulf Energy Development PCL in January 2022.
In 2021, Binance faced regulatory warnings and service restrictions from over a dozen countries. However, the exchange managed to mend its regulatory relationship in several of these nations through third-party partnerships.
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