Binance, the world’s largest cryptocurrency exchange by trading volume, has announced that it has sold its Russian affiliate brand, Binance.ru, to CommEx, a local digital asset platform. The deal, which was finalized on September 27, 2023, marks the end of Binance’s direct presence in the Russian market, which has been facing increasing regulatory pressure and uncertainty.
According to a press release, Binance.ru will continue to operate as an independent entity under the new ownership and will provide its existing users with access to CommEx’s products and services, as well as Binance’s global liquidity and ecosystem. Binance said that the sale was motivated by its desire to comply with the local laws and regulations, and to support the development of the Russian blockchain industry.
“We are proud of what we have achieved with Binance.ru in the past two years, and we are grateful for the trust and support of our users and partners in Russia. However, we also recognize the challenges and complexities of operating in this market, and we believe that CommEx is better positioned to serve the needs and interests of the Russian crypto community,” said Changpeng Zhao, the founder and CEO of Binance.
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CommEx is a licensed digital asset platform that offers trading, custody, lending, staking, and other services for cryptocurrencies and tokens. The company was founded in 2020 by a group of Russian entrepreneurs and investors and has received backing from several prominent local institutions and funds. CommEx claims to have over 500,000 registered users and over $1 billion in monthly trading volume.
“We are excited to acquire Binance.ru and to welcome its users and partners to our platform. We share Binance’s vision of democratizing access to the crypto economy, and we are committed to providing the best products and services to our customers. We also look forward to collaborating with Binance on various initiatives and projects that will benefit the global crypto community,” said Dmitry Volkov, the co-founder and CEO of CommEx.
Binance’s exit from Russia comes amid a series of regulatory actions and warnings against the exchange by various authorities around the world, including the UK, Japan, Canada, Singapore, Brazil, and others. Binance has been accused of operating without proper licenses or authorization, offering unregistered securities or derivatives, violating anti-money laundering rules, and facilitating illicit activities. Binance has denied any wrongdoing and said that it is working to comply with the local regulations in each jurisdiction.
So why did he decide to transfer his affiliate program to CommEx? The answer is simple: to create more value and opportunities for both platforms and their users. By partnering with CommEx, CZ Binance can leverage its network and resources to reach more potential customers and expand his user base.
CommEx, on the other hand, can benefit from CZ Binance’s reputation and expertise in the crypto space, and offer its users a seamless and secure way to access the Binance platform. Together, they can create a win-win situation that enhances the growth and innovation of the crypto industry.
Binance also said that it remains committed to supporting its users and partners in Russia through its global platform, Binance.com, which is not affected by the sale of Binance.ru. Binance.com offers a wide range of products and services for crypto enthusiasts, including spot and futures trading, margin trading, peer-to-peer trading, savings, loans, cards, launchpad, launchpool, NFT marketplace, academy, research, charity, and more.
