Binance updates its service terms

Now you gotta show where your crypto's coming from and who you're sending it to. They want the full names of everyone involved. This pretty much signals the end for Binance. Who's gonna stick with an exchange like this? This totally destroys the anonymity that made crypto so valuable in the first place. Not sure why nobody's discussing this...

You can post a link about it instead. No one will just believe you. I have Binance but I do not get any notification about this. Also I do not see any news about it. It does not make any sense but the way exchanges are today, do not think of privacy while using them. Do not forget that verification is compulsory on Binance.

Like Charles-Tim said,  you should drop some link for us to confirm this information. I haven't come across such on any platform, x and not even binance itself. So I wonder how you got such.. but if really something like that is imposed on its users, it would only cause a downfall of their service as most users wouldn't want to go through such procedures to transact. What then is the use of crypto if you need to share detail about your transaction, it's more like going to use a bank where you fill a form and input the sender and receiver details.

Although I agree that the OP should back up what he says with a link, I think it is likely that you have not received this notification because you do not live in the EU, but if it has reached the OP it will be because he does live there. It's not just Binance, those are MiCA requirements for the whole EU. Any exchange will have to apply them in the territory.

This is crypto regulation that has already started to take effect in the EU if this is what the OP is referring to already. Some people would feel safe about it and begin to invest while some others who understand the core principles behind Bitcoin will be unhappy about it. Even though I don't live in the EU, I know that if it has started to happen there it will eventually spread to the part of the world where I reside. Before Binance stopped their operation in my country, there was a rumor that they were given a condition by the government that if they want to continue their operations, they would have to submit the personal information of all their users. It did not happen but I know it is an option that is still possible for other exchanges to explore.

Honestly, as any other Binance user here, I would also be interested to know the source of this news or regulation you referring to. It sounds like a major shift that would impact not just Binance but the entire crypto ecosystem knowing that this platform hold a huge quantity of assets. If what you saying is true, forcing us to disclose full names of both senders and recipients would be a massive blow to the principles of privacy and decentralization that made crypto so appealing in the first place.  This kind of rule could indeed scares a lot of users myself including, especially those who value anonymity or are in regions where crypto is not legal. Exchanges like Binance would definitely face backlash from their users and people will definitely move to more private alternatives like DEX. If you can share where you heard this or if there’s an official statement, it would help us understand how credible this is and what might have motivated it in first place. However, I believe this is just speculation or rumors, because we would have it all over the news now.

E-mail from Binance is: Dear Sir/Madam,   We are writing to inform you about upcoming changes to crypto withdrawal and deposit procedures that will affect our users in Poland. These changes are being gradually implemented to prepare for EU regulatory requirements and to comply with local guidance.   Changes to Crypto Deposit and Withdrawal Procedures:   Crypto Deposits to Binance (for transfers above €1,000 or equivalent):  Users will be required to provide the sender’s information when receiving funds. Withdrawals from Binance:  Users will need to provide the beneficiary’s information when sending any amount of crypto. Affected Transactions:  These updates apply only to crypto deposits and withdrawals.   Actions Required:  Users will see a pop-up message requesting additional information on the originator or the beneficiary when performing deposits and withdrawals.   Sending Crypto Assets to Another Crypto Exchange or Self-Hosted Wallet:  You will need to provide additional information on the beneficiary, such as: Full name Country Name of the crypto exchange (if applicable) Receiving Crypto Assets from Another Crypto Exchange or Self-Hosted Wallet:  You will need to go to the crypto deposit page of your Binance account and click on transactions pending credit. A pop-up message will then request additional information on the originator, such as: Full name Country Name of the crypto exchange (if applicable)   Consequences of Not Providing Required Information: Transactions may be delayed or not processed if the necessary information is not provided. In some cases, we may be required to return the transaction to the originator. Please ensure you provide all required information during the deposit and withdrawal procedures.   To learn more please visit this page.   Thank you for your understanding as we work to ensure compliance while maintaining a smooth experience for you.   Best regards, The Binance Team

It means you need to leave EU instead of leave Binance. People might say "just use no KYC exchanges and avoid CEX", but I don't think so, the banks could ask where the source since you're receive money in banks not in cash, then in the end you need to reveal the exchange you use. Pretty sure no KYC exchanges isn't legal in EU, they might confiscate your coins if you unable to provide the identity of someone you trade.

For yet another time, I'd encourage every CEX user to just download Bisq and see how easy it is to trade your bitcoin there. No KYC, no shitcoins, no 3%+ trade fees, no data theft. Decentralized, permissionless, private and peer-to-peer, as it should. You didn't have any anonymity by using Binance to begin with, because of KYC.

The same applies for any (literally any) CEX within the European Union. It's a new law that obliges you to declare if the address you 're sending to is yours or if it's not, you need to declare the full name of the person or the entity you send to. December 30, 2024 - Crypto Travel Rule obligations  entered into force in the EU. Both the TFR and the Travel Rule Guidelines will become applicable.

I haven’t received the update but It is indeed not a pleasant one for those who had it. It is not binance‘s  fault though. European authorities are doing exactly what we predicted they would to fight crypto years ago. They know  they can’t shut down decentralized crypto networks and that’s why they’re attacking the centralized businesses. If binance don’t comply, they won’t let them operate in Europe. Remember what happened to Changelly. Exact same situation. I guess we will have to use real decentralized exchanges like bisq. It seems it is pretty much over for the centralized exchanges.

This is a serious issue, especially in Europe where adoption growth is significant. While it is true that this shows the great value paid for the aforementioned adoption, it is a hard blow for the users who use that service. And MICA is not yet fully applied; it is expected to be 100% in 2026, which means that there is still a long way to go.

If I am not wrong, users in India also received similar announcement from official Binance support via email, but there is no such official changes or it might be buried in their fine print. So it's not like it's only for EU the situation is same every nation where exchanges are regulated by their financial institution and this happened to Binance when FIU made them to comply all the regulations last year. So it's not the exchange wish all these things to do their users but your country is what making them to do if they want to continue operating.

The EU is already in charge of killing everything that can bring growth and expelling it from there. Technology startups that succeed in the early stages end up going to the USA to finish growing due to the amount of regulations and the difficulties to raise capital in the EU. The same with bitcoin and cryptocurrencies. I hope that Trump from USA will make a fool of them to see if they think twice about the policy to be carried out. I do not know who I heard say that if the combustion engine with current EU regulations would have been banned, because it attacked existing jobs (those who went on horseback, plowed with mule etc.), pollutes, etc..

It's terrible. The EU and governments there make their countries collapsing by shutting down freedom of speech and allowing mass assylums as well as immigrants into their nations. It caused mass violence and a lot of issues in European countries. They tried to stop Elon Musk and his posts about things going on in EU and tried to shut down X in EU too. More seriously, they tried to influence the USA. President Election last year according to some reports after the election. I guess why EU tried to damage Trump chances to win the USA Election, but they failed and now they will have to face with Trump in next four years. Together with Trump, Elon Musk will be big barriers and challengers for EU in next several years.

Everything you mention are great advantages over CEXs, but there's one thing you didn't take into account - and that's banks. If you use bank transfers for these types of transactions, then the bank has access to all bank transactions, and in my case, that means that the tax office, as well as the financial police and maybe a few other agencies, have access to the same transactions. If someone can remove the bank from this equation, then there is almost a perfect way to trade with cryptocurrencies.

EU is governed by bureaucrats and for bureaucrats it is only natural to stifle innovation and growth, because innovations cause changes and changes are what bureaucrats hate the most. So they will continue killing cryptocurrencies by overregulating them to the point where it is easier to use fiat instead of crypto.

Yes, but it still is better, in nearly every way. First of all, the authorities do not know that you bought or sold bitcoin. They can only found out about it if you report them what you did. If you're worried about that, you can still report everything normally, and just know that you'll buy and sell with no bullshit that has to do with "tainted coins", or whatever other nonsense they figure out to impose. The only pro that a CEX can offer to you is larger volume, and buying and selling large quantities which cannot be done peer-to-peer easily.

I personally think everything can be managed by the EU.  Such as killing any cryptocurrencies.  Can use something else without killing it again.

We must define what a "bank" is though. Because there are also some financial services that require KYC to be used, that allow you to send/receive money instantly. These services can be used to buy and sell BTC via Bisq or Robosats etc, but the problem is that if you constantly send $50 to people on (say Revolut or any other service), then the service will know that the person XY sends $50 to random people occasionally and they may ask. They may just ignore it, but you never know.