Noah

Binance, one of the world’s leading cryptocurrency exchanges, has announced its complete withdrawal from the Russian market. The company has announced a full exit, selling its operations to the newly launched crypto exchange business, CommEX. This surprising move brings an end to Binance’s journey in the Russian market, which has been fraught with regulatory challenges and economic complexities. 
The transition process for existing <a href="https://crypto.ro/en/education/best-crypto-exchange/#1-binance-lowest-fee-crypto-exchange">Binance</a> users in Russia is expected to span a year, ensuring a seamless shift. Binance has assured its Russian clientele that their assets remain secure and protected throughout this period. 
<blockquote class="twitter-tweet"> 
 Binance has entered into an agreement to sell the entirety of its Russia business to CommEX (<a href="https://t.co/JJRKCo9coA" rel="nofollow" target="_blank">https://t.co/JJRKCo9coA</a>). 
 To ensure a smooth process for existing Russian users, the off-boarding process will take up to one year. All assets of existing Russian users are safe and… 
 — Binance (@binance) <a href="https://twitter.com/binance/status/1706944096688885895?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">September 27, 2023</a>
</blockquote> 
The sale to CommEX marks a strategic shift for Binance, allowing it to refocus its resources on more compatible markets. Noah Perlman, Binance’s Chief Compliance Officer, commented on the decision, stating: 
<blockquote>
 “As we envision the future, it’s evident that our operations in Russia do not align with Binance’s compliance strategy. However, our confidence remains unwavering in the global growth of the Web3 industry. Our focus will now be directed towards the numerous other countries where we have a presence.”
</blockquote> 
To facilitate a smooth transition for its users, <a href="https://crypto.ro/en/education/best-crypto-app/#1-binance-best-crypto-alert-app-for-real-time-trading">Binance</a>, in collaboration with CommEX, will guide users on migrating their assets to the new <a href="https://crypto.ro/en/education/best-crypto-exchange/">crypto exchange</a> platform. A segment of Russian users who have completed the Know Your Customer (KYC) procedures will be immediately redirected to CommEX. Over the forthcoming months, Binance plans to methodically phase out all its services in Russia. 
The announcement also highlighted that Binance’s exit from Russia is absolute. Unlike some international companies that retain ties after exiting the Russian market, Binance will not have any ongoing revenue share from the sale, nor will it retain any rights to repurchase shares in the business. 
This strategic move by Binance comes shortly after CommEX announced its official launch on September 26. The platform, which offers a range of cryptocurrency trading services, appears to be primarily targeting the Russian audience, given its interface is available in both Russian and English. 
Acquiring Binance’s operations in Russia will provide a robust foundation for the firm to establish itself in the regional market. 
Binance’s decision to exit Russia follows a series of regulatory challenges the exchange faced in the country, especially concerning compliance with Western sanctions against Russia. Despite these challenges, Binance continued to market its services to Russian users until August 2023. However,&nbsp;the regulatory environment has proven to be particularly challenging, prompting top Binance executives to leave their roles. 
It’s worth noting that Russia has been a significant market for Binance. Data from SimilarWeb indicates that Russia leads in terms of user visits to Binance.com, accounting for 6.9% of the total traffic.

Binance concludes operations in Russia with CommEX acquisition

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