Brazil’s CVM issued a warning to the crypto exchange in 2020 that it was offering residents derivatives products without authorization.
Cryptocurrency exchange Binance reached an agreement with Brazil’s Securities and Exchange Commission (CVM) over offering derivatives products.
In an Aug. 14 notice, the CVM said Binance agreed to pay 9.6 million reais — roughly $1.7 million at the time of publication — to the securities regulator. The CVM issued a warning to Binance in 2020 that the exchange was offering Brazilian residents derivatives products without authorization.
“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,” said Binance in a translated statement to Cointelegraph Brazil. “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.”
