Leading cryptocurrency exchange Binance will remove the off-chain fund transfer channel between India’s WazirX and itself beginning Aug. 11, following recent regulatory action taken against Zanmai Labs Private Limited, the entity operating WazirX.
See related article: Only the big fish will survive as India cracks the whip on crypto: Binance-backed WazirX
Fast facts
- Users will still be able to deposit and withdraw balances between Binance and WazirX, Binance said in a statement.
- Binance also said it will support Indian regulators in ongoing matters concerning WazirX.
- WazirX, one of India’s largest cryptocurrency exchanges by volume, has been under regulatory scrutiny since the Directorate of Enforcement (ED), responsible for enforcing economic laws and fighting economic crime, started investigating cases of alleged foreign exchange violations.
- The spat over ownership — Binance had reportedly acquired WazirX in 2019 — surfaced after Indian authorities reportedly froze US$8 million in WazirX assets, alleging possible violation of foreign exchange laws.
- “Binance believes in keeping an open dialogue with regulators, policymakers and the law enforcement community as we collectively seek to establish a global regulatory framework for the industry,” Binance said in its statement.
See related article: Indian crypto exchange WazirX in probe over US$382M in suspect transactions