Foreign broker offered financial products without requesting approval, now the authority and broker have reached an agreement.
Binance with green and yellow symbol
The Brazilian Securities and Exchange Commission, CVM, has accepted a commitment term from Binance in the country, represented by the company “B Fintech Serviços de Tecnologia Ltda“.
In the past, the cryptocurrency brokerage offered investment products linked to the futures market. However, without authorization from the CVM, Binance Futures had to be deactivated in Brazil.
The process was underway and in 2022 the CVM even accepted a term. However, in 2023, the autarchy resumed the process and, in August of that year, rejected a proposal from Binance.
Now in August 2024, a year later, the board voted by the majority to accept the brokerage's terms. Until the closing of the article, Livecoins had not been able to access what Binance presented in terms of conduct to convince the board.
Even so, Director João Accioly (CVM) was the only one who voted against the commitment term, but his vote was defeated.
In 2024, CVM accepts Binance Brasil's commitment term/Reproduction: CVM.
What does Binance Brazil say after CVM accepts the commitment term?
In a note to Livecoins, Binance Brasil, represented by B Fintech, sent a note about the case. According to the broker, it is pleased to inform that it has reached an agreement with CVM.
“Binance is pleased to inform that it has reached a settlement with the Brazilian Securities and Exchange Commission (CVM) regarding past derivatives offerings. Since the regulator’s first communication to Binance in 2020, the exchange has taken all necessary measures and actions to respond to the authority and comply with local requirements. The CVM board’s decision to accept the proposed Term Sheet reaffirms that the adjustments and updates made by Binance over time are sufficient for the regulator.”
The broker also stated that it has made efforts to protect its users, and intends to continue leading the market.
“As an industry leader, Binance always strives to protect users, and we want to continue leading the way in compliance as we mature and evolve alongside other players and regulators.
Several authorities around the world have announced decisions recognizing the relevance of cryptocurrencies and blockchain, including the CVM, which recently authorized the first Solana ETF in the Americas. We are confident that the CVM’s approach allows the industry to innovate while protecting users and their funds. The approval of Bitcoin and Ethereum ETFs abroad and regulatory frameworks such as MiCA are important examples of countries following this same path.”
Finally, Binance also reinforced that it will continue to comply with the authorities in Brazil and the countries in which it operates.
“Binance will continue to collaborate with authorities to share its experience and contribute to the development of the industry for the benefit of users and society as a whole.”
