Enroll Course

100% Online Study
Web & Video Lectures
Earn Diploma Certificate
Access to Job Openings
Access to CV Builder



Online Certification Courses

Binance Encourages National Legislators To Collaborate With Their Constituents On Cryptocurrency Regulation

Bitcoin, Cryptocurrency. 

Binance encourages national legislators to collaborate with their constituents on cryptocurrency regulation

Global blockchain ecosystem leader Binance has urged national legislators to work together with their constituents and cryptocurrency industry leaders to regulate the cryptocurrency space. Binance is the world's largest blockchain ecosystem and operates the world's largest cryptocurrency exchange.

The announcement was made as part of the launch of the cryptocurrency exchange's Ten Fundamental Rights for Crypto Users document, which will serve as a guide for regulatory discussions and the development of global frameworks for crypto markets in the future.

It has previously been reported that the Nigerian central bank has begun a crackdown on bank accounts suspected of dealing in cryptocurrencies in response to a directive prohibiting Nigerian banks from providing financial services to customers who use Bitcoin and other cryptocurrencies.

As a result of this development, the number of weekly peer-to-peer (P2P) cryptocurrency transactions taking place outside of the country has decreased by 43 percent. Nigeria accounts for nearly half of all crypto-related activity in Sub-Saharan Africa, according to the World Cryptographic Association.

In addition, the Indonesian Islamic Council recently ruled that Muslims are prohibited from transacting in cryptocurrencies under any circumstances. This is due to the fact that the assets are speculative, making them comparable to gambling and sports betting in nature. Indonesia has the world's largest Muslim population, with a population of over 260 million people.

A number of other countries, including these two, have enacted legislation restricting the use of cryptocurrencies. Binance, on the other hand, believes that the time has come for industry leaders, regulators, policymakers, and users to collaborate in order to shape the future of global finance and the cryptocurrency industry.

Binance 10 fundamental rights for crypto users

Founder and CEO of Binance, Changpeng Zhao (CZ), has announced the ten fundamental rights for cryptocurrency users. He claims that this move is in line with his company's commitment to the everyday user, which includes everything from ensuring their security to improving their overall experience as a member of a larger community.

"That is the essence of cryptocurrency, and it is critical that we as an industry do not lose sight of this." With the establishment of these fundamental rights, we hope to give a voice to those who have been historically marginalized by the financial sector," he said.

Aiming to foster more productive conversations with the broader industry, which includes other exchanges, blockchain innovators, policymakers, and world leaders, Coinbase believes that the ten Fundamental Rights for Crypto Users will serve as a springboard.

The following are some of the provisions of the fundamental rights charter:

  • Every individual should have access to financial tools, such as cryptocurrencies, that enable them to achieve greater economic independence and financial security.
  • Participants in the crypto asset industry must work together with regulators and policymakers to develop new crypto asset standards. Smart regulation encourages innovation while also contributing to the safety of users.
  • Trustworthy cryptocurrency platforms owe it to their users to protect them from bad actors and to implement Know Your Customer (KYC) procedures in order to prevent financial crimes from taking place.
  • Individuals' right to privacy is a fundamental human right, and data containing personally identifiable information (PII) should be protected to the highest possible standards.
  • Cryptocurrency investors have the right to transact on exchanges that offer comprehensive deposit insurance to protect their funds from loss.
  • A high level of liquidity is required to maintain stable and frictionless trading environments.
  • Innovation and regulation need not be mutually exclusive in order to be effective. Crypto investors deserve secure access to emerging technologies and practices, such as non-fungible tokens (NFTs), stablecoins, staking, and yield farming, that are currently unavailable to them.
  • It is critical to close the knowledge gap when it comes to cryptography. Users have a right to accurate information about crypto assets, without having to worry about being taken advantage of by unfair or deceptive advertising practices.
  • Derivatives markets should be properly regulated in accordance with applicable laws. This ensures that all users are eligible to participate and that their transactions are settled in a fair and equitable manner.
  • It is unavoidable that cryptocurrency regulation be implemented. Using their preferred blockchain platform, users have the ability to express their thoughts on how the industry should develop.

As part of its collaboration with regulators and policymakers, the exchange says it is working to develop global regulatory frameworks that protect users while allowing responsible innovation to continue, thereby ensuring the long-term health of the industry.

Because of recent market highs, an influx of new investors, and the industry's maturity, this is a reasonable assumption.

"Regulation and innovation are not inherently incompatible with one another. Our industry is committed to doing everything possible in collaboration with regulators and world leaders in order to identify an effective regulatory policy that protects users while also encouraging innovation. According to CZ, "At Binance, we look forward to working closely with regulators to assist them in gaining a better understanding of the industry and its potential."

Corporate Training for Business Growth and Schools