Binance, the most popular crypto exchange, has introduced a brand new trading program. The new program is targeting high-profile (VIP) and institutional investors.
Binance VIP program rewards Binance users with increased discounts and VIP privileges. The rewards and benefits come when the user progresses through the VIP tiers. According to the Exchange platform, upgrading institutional offerings and services is critical. It forms a basis for realizing Binance’s goal to grow.
As per the information provided on its website, the services offered by Binance Institutional are flexible. Any individual or institution can adapt them to meet their specific needs. However, these individuals and businesses include high net worth individuals only. The targeted entities include asset managers, brokers, hedge funds, and family offices. Moreover, proprietary trading firms, liquidity providers, and mining firms also make a list.
Privileges of the VIP platform
The newly developed platform provides users with access to a variety of services. Some services include direct access to OTC liquidity, asset management, custody, and brokerage.
Binance CEO Changpeng Zhao (CZ) made the following comment:
Brokerage services are in an excellent position to assist our sector in closing gaps. They push the crypto and traditional financial markets closer. Thus, propelling the continued expansion of digital assets.
Changpeng Zhao
Binance’s VIP program enables users to “be rewarded with increased discounts and VIP privileges.” Yet, this only happens when the clients’ trading volume increases, as stated in the exchange’s program explanation. VIP advantages include reduced service fees as well as increased 24-hour withdrawal limits.
The exchange features a total of nine different VIP tiers. Users can reach VIP status if their 30-day transaction volume is at least 1 million BUSD. Besides, their balance must be at least 25 BNB. A level nine VIP has a BNB balance of at least 5,500 and a 30-day trade volume of at least 5 billion BUSD.
Binance under probe by SEC
Meanwhile, the US Securities and Exchange Commission (SEC) is investigating the BNB token due to allegations that it may be unregistered securities.
A Binance rep said that as the industry expands, they have been working hard to follow new regulations. Besides, Binance has been educating and supporting law enforcement and regulators. The representative said they would keep fulfilling all regulations’ obligations. However, the individual did not comment on the specifics of the alleged investigation.
Various entities in the US seek Binance. The Justice Department, the Commodity Futures Trading Commission (CFTC), and the Internal Revenue Service are all looking into Binance. Also, market-making firms working with Binance are facing a probe from the SEC. Yet, the largest DEX in the world claims it has no permanent office anywhere.
According to a person familiar with the review, Binance US is a U.S.-based affiliate of the international exchange. It majors its operations in the US. The SEC is keen to determine if Binance.US is entirely autonomous of the international exchange and if any of its workers may be participating in insider trading.
Changpeng Zhao questions SEC’s intention
The US SEC has asked questions on Binance’s native token, BNB, according to Binance CEO CZ. BNB’s initial coin offering (ICO) in July 2017 is being investigated by the authorities, as the exchange revealed earlier this month. So far, Binance has not received a subpoena. Yet, it is in continual communication with the appropriate authorities about the matter.
Since 2017, SEC has been taking a swipe at Binance. It intends to establish whether BNB constituted a security breach during an ICO. However, until now, the regulator has not decided on the matter. Binance US is also facing a lawsuit against Luna and Terra. However, the case is not championed by authorities. Instead, investors who lost money on Luna and Terra are aggrieved.
The investors hold that Binance misled them about the stability of Terra and Luna coins. Interestingly, Binance appears to have anticipated the probe. They have shelled millions of dollars on the world’s top cyber forensics team.
