The world's leading cryptocurrency exchange office – BINANCE – has announced on Twitter that it has shut down Australian account positions that have been mistakenly classified as "wholesale investors".
- Binance revealed that Australian regulation requires them to forcibly close positions of mistakenly classified accounts of Australian investors.
Our team has identified a few Australian users who have been incorrectly categorized as "wholesale investors" on binance.
In accordance with Australian regulations, we were required to notify those users and close their own derivatives positions with immediate effect.
- The Exchange also stated that they have already contacted impacted users and intend to fully indemnify them for any losses they may have incurred in binary derivatives trading.
- That said, the news has caused market volatility, as the price of Bitcoin has dropped below $24K and then picked up minutes later:
- Data from Coinglass also shows an uptick in liquidations, with the last four hours seeing over $20 million worth of liquidated BTC positions, most of them being long.