Chinese users log $90b in transactions on Binance under domestic ban: report

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After China declared all crypto-related transactions illegal in 2021, Binance said it would stop trading for China-based customers.

However, Binance used different websites and domain names to redirect China-based users to its global exchange, according to a report from The Wall Street Journal

According to the publication, users from China traded as much as US$90 billion of assets on Binance in one month, accounting for 20% of its volume worldwide.

The report, citing internal data, also Binance has also cooperated with Chinese law enforcement to scout for criminal activity among its over 900,000 active users in the country.

A representative from Binance told Tech in Asia that the main Binance.com platform “is blocked in China and is not accessible to China-based users.”

In March, Financial Times reported that Binance had been hiding “substantial links to China” for years, with its CEO Changpeng Zhao and other top execs telling employees to keep the exchange’s Chinese presence under wraps.

Binance has been facing regulatory scrutiny worldwide, especially in the US. The company had recently sought to dismiss a complaint from the US Commodity Futures Trading Commission. Binance US, its platform in the country, is also currently under close attention of the US Securities and Exchange Commission.

See also: Is MAS’ purpose-bound money really money?

Update (August 3, 11:00 am): This article was updated to include a statement from Binance.