The world’s biggest cryptocurrency exchange by volume, Binance, is introducing a U.S. division.
The Malta-based company revealed on June 13 that it is working to set up Binance US, a new trading platform particularly centered on U.S. customers, in collaboration with BAM Trading Services. BAM will be in charge of operating the platform, while utilizing Binance’s wallet and matching engine technologies.
Binance did not disclose a timeframe for the launch.
Although U.S. residents have already been allowed to gain access to its trading platform, the move would mark the first legal entry of Binance into the U.S. market.
Bitwise Asset Management said that over the past 24 hours, Binance facilitated roughly $250 million in bitcoin spot transactions, while CoinMarketCap data show that the exchange had $1.7 billion crypto transactions in total.
Binance CEO Changpeng Zhao said in a statement, “we are excited to finally launch Binance US and bring the security, speed, and liquidity of Binance.com to North America.”
“Binance US will be led by our local partner BAM and will serve the U.S. market in full regulatory compliance,” he added.
However, it is not clear who BAM Trading Services is. The company has an address listed in San Francisco, California, and is registered as a money services business with the U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN).
The registration document states that “FinCEN does not verify information submitted by the MSB,” and the document “reflects only what was provided directly” to the watchdog.
Based on the terms of the MSB registration, the firm has only registered to do business in California.
Since BAM’s mailing address on the FinCEN registration is c/o Koi, BAM Trading seems to be collaborating with Koi Compliance, the “fully-managed solutions” arm of over-the-counter (OTC) crypto trader KOI Trading. Earlier this year, Binance Labs invested $3 million in Koi Trading.
A press release quoted an unknown representative from BAM Trading Services as saying, “it is an honor to partner with Binance … leveraging its tier-one security and technology in tandem.”
“We are committed to providing a secure and compliant platform, and beginning the start of a fruitful alliance with Binance,” the unidentified representative stated.