Binance Introduces Stricter KYC Guidelines for Corporate Clients, Enhancing Regulatory Compliance Measures.

In a bid to bolster regulatory compliance and adhere to stringent Know Your Customer (KYC) standards, leading cryptocurrency exchange Binance has announced a series of measures aimed at tightening the verification process for its business clientele.

Effective March 20, the crypto platform initiated measures to restrict access to subaccounts that have yet to undergo KYC verification. Subsequently, accounts failing to furnish requisite documentation by May 20 will face suspension. Furthermore, non-compliant clients will forfeit access to Binance Link, a program enabling corporate clients to leverage the platform's technologies and derive benefits from trading commissions.

Under the revised guidelines, Exchange Link account holders tasked with creating and managing sub-accounts are mandated to ensure seamless integration with the Link-KYC module. Additionally, users will be compelled to furnish Binance with supplementary information upon request, encompassing details regarding the source of funds and proof of address.

In a concerted effort to align with anti-money laundering (AML) regulations, Binance may necessitate completion of a Potential Politically Exposed Person (PEP) questionnaire by sub-account holders. This questionnaire encompasses inquiries pertaining to PEP status, occupation, job title, and employer details.

These stringent measures come in the wake of a settlement between Binance and U.S. authorities toward the end of 2023, underscoring the exchange's commitment to achieving full compliance with regulatory mandates. Notably, Binance recently joined the Global Travel Rule (GTR) organization, signaling its commitment to monitor and transmit all transactions exceeding $1,000.

In a significant move, Binance unveiled the composition of its board of directors for the first time since its inception in 2017. Comprising seven members, the board includes three senior executives who have been integral to Binance since its inception, alongside three external members. This transparency marks a pivotal step in enhancing governance and accountability within the platform's operations.