Key Takeaways
- Binance.US is a separate entity from the global Binance exchange, catering specifically to users in the United States.
- It offers cryptocurrency trading similar to the global Binance platform but with a potentially different selection of coins due to regulatory restrictions.
- Binance.US complies with stricter US regulations, so some features or coins available on the global Binance might not be available here.
There are several exchanges around the world, but one of the largest crypto exchanges today is Binance.US. To comply with regulations and maintain access to the US market, Binance.US was established in September 2019 as a separate entity of Binance to offer a secure and reliable platform for US users to buy, sell, and trade crypto.
In this guide, we share all the details about Binance.US, how this platform became one of the largest in the last few years, and its fair share of legal troubles operating in the United States.
What Is Binance.US?
Binance.US is a cryptocurrency exchange created by Binance and operated by BAM Trading Services. It is the US branch of the popular digital exchange Binance.
Although not all the virtual currencies supported by Binance will be available on the Binance.US platform, the exchange is adding new digital assets according to the regulations imposed by the United States government.
The crypto exchange Binance.US is very similar to Binance, which investors know worldwide. The main differences are related to the number of assets listed by Binance.US and the jurisdictions supporting the platform.
The following sections will explain this platform’s main features and differences from its global counterpart.
Binance.US Supported States And Jurisdictions
While Binance operates in many jurisdictions, the Binance.US branch will be available only in the United States. Binance.US offers its services to residents in the following states and regions:
- Alabama
- Arizona
- Arkansas
- California
- Colorado
- Delaware
- District of Columbia
- Florida
- Hawaii
- Idaho
- Illinois
- Indiana
- Iowa
- Kentucky
- Louisiana
- Maryland
- Massachusetts
- Michigan
- Minnesota
- Mississippi
- Missouri
- Montana
- Nebraska
- Nevada
- New Hampshire
- New Jersey
- New Mexico
- Oklahoma
- Pennsylvania
- Puerto Rico
- Rhode Island
- South Carolina
- South Dakota
- Tennessee
- Utah
- Virginia
- Wisconsin
- Wyoming
In the future, the number of jurisdictions supported by the platform will be able to grow according to the regulations imposed by each of these states.
Binance.US Supported Cryptocurrencies
Due to regulations in the United States, Binance.US has a smaller selection of supported cryptocurrencies than the global Binance platform. Binance boasts over 600+ tradable tokens/coins, and Binance.US only supports around 150+. This means you will find all the usual coins like Bitcoin (BTC) and Ethereum (ETH) on both platforms. The only difference is that Binance.US lacks access to a wider range of altcoins and emerging projects.
You can find a complete list of supported cryptocurrencies here for more information.
It is also worth mentioning that the team behind Binance.US has not confirmed with 100% certainty that it will be adding new digital assets in the future. Everything depends on the regulatory environment and how the exchange deals with regulators in the United States.
The firm will always inform its users if there is a new listing or if they are exploring adding other virtual currencies to the platform. Moreover, Binance.US adopted a Digital Asset Risk Assessment Framework to help select bona fide blockchain projects with a real chance of making the world more efficient, providing more transparency in the listing standards, and ensuring the company complies with all the legal requirements.
Trading Fees
Binance.US has similar trading fees to Binance. The main difference between these two exchanges is that the promotions valid for one exchange may not be available for the other.
For example, Binance.US might offer zero fees for all trading pairs during a given period. However, this promotion may not be available for Binance’s main platform.
Considering Binance.com’s main fee structure, the general trading fee is 0.1%. Users who hold BNB tokens will be using these digital assets to pay for fees with a 25% discount. At the same time, users that handle larger trading volumes would have better discounts.
Verification
The personal account verification requirements will change according to the user’s needs. For example, users who want to withdraw up to $5,000 must only provide their name, gender, date of birth, address, and social security number. The approximate approval time is just a few minutes!
The advanced verification requires users to follow the basic verification steps and provide a US Driver’s License, Passport, Green Card, or State ID card. In addition, Proof of Address, such as a bank statement or utility bill, will be needed. The verification process takes a few hours, and users can handle only digital assets. The daily withdrawal amount goes up to $1 million per day.
Additionally, users who want to trade fiat currencies must follow the Basic and Advanced verification processes and answer additional questions. The verification process usually takes one day, and users can withdraw $1 million daily.
Legal Issues In The United States
Binance.US launched in 2019 as the American arm of the global crypto exchange Binance. It aimed to serve US customers while complying with stricter regulations. However, their story has been marred by legal troubles.
The main issue lies in the US Securities and Exchange Commission (SEC) accusing the crypto exchange of offering unregistered securities. This includes their native token, Binance Coin (BNB), their stablecoin, Binance USD (BUSD), and its staking products like “Simple Earn” and “BNB Vault.”
The regulator also suspects Binance.US of not adequately separating itself from its global counterpart, Binance.com. They believe Binance may have access to US customer assets on Binance.US, despite claims of independence.
Fast forward, things escalated in October 2023 when the agency filed formal charges against both Binance entities and CEO Changpeng Zhao (CZ). The US Department of Justice also got involved, accusing Binance of violating anti-money laundering (AML) and sanctions laws.
Binance.US has fought back, appealing to the court to halt the SEC’s investigation, claiming it caused harm to their business. Meanwhile, the court battle continues with the SEC seeking more information about Binance.US’s operations and customer asset custody.
As of 2024, no final resolution has been reached, and the exchange still operates independently and adheres to US regulations while the SEC and Justice Department continue their investigations.
Final Thoughts
Binance.US is the United States branch of the recognized and popular cryptocurrency exchange Binance. Although the goal is to offer similar services to what Binance currently offers around the world, some details differ from those present in its global counterpart.
