By Mark Hunter
21 hours agoTue Dec 03 2024 08:33:35
Reading Time: 2 minutes
- Cambodian authorities have blocked 16 cryptocurrency exchange websites operating without proper licenses
- The Securities and Exchange Regulator of Cambodia (SERC) has emphasized the need for all crypto platforms to secure official authorization
- These measures align with the country’s broader efforts to safeguard investors and regulate the digital asset market
Cambodia has escalated its efforts to regulate the cryptocurrency market by blocking access to 16 unlicensed crypto exchange websites, including Binance and Coinbase. This decision, reported by Nikkei, is part of the government’s initiative to protect investors from fraud and ensure compliance with legal frameworks. The Securities and Exchange Regulator of Cambodia (SERC) has made it clear that unlicensed entities are not permitted to operate, highlighting the risks posed by unregulated platforms, although the apps are still available to download.
Cambodia Tightens Cryptocurrency Controls
Cambodia’s crackdown targets platforms operating without proper licenses, which authorities view as potential avenues for fraud and cybercrime. The move echoes those seen in other countries, such as the UK and South Korea, which have set up registers for crypto companies.
The affected sites include giants such as Binance and Coinbase, with the Securities and Exchange Regulator of Cambodia (SERC) stating, “All entities engaged in cryptocurrency trading must obtain official licensing before offering services.”
Collaboration with Global Players
Cambodia has been working with international organizations to bolster its blockchain and cryptocurrency ecosystem, including with one of the prohibited exchanges, Binance. In 2022, Binance partnered with Cambodia’s Royal Group of Companies to expand blockchain adoption in the country, with such collaborations underscoring Cambodia’s commitment to leveraging global expertise while maintaining strict regulatory oversight. This partnership doesn’t seem to have protected Binance from being hit with the same ban as all other impacted exchanges, however.
The launch of the Royal Group Exchange (RGX), Cambodia’s first licensed digital asset exchange, earlier this year reflects a significant step toward legitimizing the local crypto market. Operating under the SERC’s FinTech Sandbox, RGX offers a secure and transparent platform for trading digital assets, with the government pushing this as the only exchange citizens should trust.
