Binance, the world’s largest cryptocurrency exchange, appears to have momentarily halted Brazilian real transactions on its website.
The decision follows the announcement by the exchange that it would be switching payment providers in the nation. Binance has dissolved its cooperation with payment services provider Capitual and stated that it is seeking for new partners.
Capitual also handled transactions for Brazil through the government’s PIX payments network. Users will be unable to use PIX in the meantime due to the end of their collaboration.
Binance said that it will replace Capitual with a local payment provider with “deep experience” that it will announce soon.
According to Coindesk, the change was made in reaction to the Central Bank of Brazil’s modified policy. It comes as the Central Bank’s deadline for PIX service providers to implement new KYC rules approaches.
Binance is now in the process of purchasing local brokerage Sim;paul, which is licenced by the Brazilian Central Bank and the Securities and Exchange Commission.
The exchange plans to grow throughout Latin America, as well as launch comparable operations in Asia and Europe.
Given that it is also home to a huge number of crypto users, Brazil, Latin America’s largest economy, provides a vital foothold for Binance on the region.
Binance is trying to extend its worldwide footprint despite the current drop in cryptocurrency prices. Changpeng Zhao, the company’s CEO, has stated an interest in returning to the South Korean market.
The exchange is now looking for licences in the Philippines and Vietnam, with other Southeast Asian nations being considered.
This is happening at the same time as a European campaign. The exchange recently received regulatory clearance in France and Italy, and it is now looking at Germany and Spain.