Binance Returns to the United States of America

After a four month hiatus, cryptocurrency exchange Binance will return to the United States of America. However, there will be six states, where the exchange will not be operational-namely, Florida, New York, Washington and Texas, among others.

While, the unofficial reason for excluding these states is ‘regulatory uncertainty’, it is noteworthy to know that Binance bigwigs, including founder, Changpeng Zhao, have been pretty tight-lipped about the reasons why they are not allowing access, news portal Express reported.

The restriction was imposed, almost immediately after Binance was hacked and nearly 7000 bitcoins were stolen, earlier this year. A little backstory of the hack goes as follows: Hackers had gained access to a large number of user API keys, 2FA codes, and other sensitive information which had enabled them to propagate this attack. They had used a variety of techniques such as phishing, viruses and other sophisticated forms of attacks.

In its update, Binance had said that they had not identified all the affected accounts. However, the platform had also clarified that the hack only affected their hot wallets, which contained 2% of their Bitcoin holdings. The statement from the exchange had said, “The hackers had the patience to wait, and execute well-orchestrated actions through multiple seemingly independent accounts at the most opportune time. The transaction is structured in a way that passed our existing security checks. It was unfortunate that we were not able to block this withdrawal before it was executed. Once executed, the withdrawal triggered various alarms in our system. We stopped all withdrawals immediately after that.”

Earlier this month, Crypto Dost had reported that Binance.US would open registrations and deposits for customers in the US. At the time of launch, the exchange will accept Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Bitcoin Cash (BCH), Litecoin (LTC) and Tether (USDT).

In June, we had reported about Binance.US, which was announced by the exchange itself. At the time, we had said that announcement followed Binance’s latest foray into the US market with a regulated trading platform Binance.US in partnership with BAM Trading Services Inc. The exchange’s Terms of Use Review Statement had said, “After 90 days, effective on 2019/09/12, users who are not in accordance with Binance’s Terms of Use will continue to have access to their wallets and funds, but will no longer be able to trade or deposit on Binance.com.”