Binance's Riddle: What is BNB Doing on Binance.US?

  • 18 September 2019, Wednesday, 06:40

Something interesting is happening in the story of Binance.US, the American branch of major crypto exchange Binance. The exchange’s very own Binance Coin (BNB) has not been announced as a cryptocurrency that be deposited, but is still featured on the Binance.US website.

BNB can be found among the USD and USDT markets:

While both Binance and Binance.US were not available for immediate comment, Changpeng Zhao, the CEO of Binance, retweeted a screenshot with BNB in it, only adding "Utility token $BNB."

Utility token $BNB. https://t.co/Dp3WuFq4Ou

— CZ Binance (@cz_binance) September 18, 2019

"Although the new U.S. exchange will be a subsidiary company the U.S. Securities and Exchange Commission is unlikely to be impressed by the business model of Binance. The BNB token is both a security and a utility token and as such passes the Howey test for being a security irrespective of its utility properties," cryptocurrency analyst Gary McFarlane recently told Cryptonews.com. Other experts also agree that BNB would certainly pass the Howey test, and that the token is likely to become problematic for Binance as it establishes itself in America.

Watch the latest reports by Block TV.

And while the Binance.US website shows BNB among the available coins, however, it’s not listed as a coin that can be deposited in the exchange’s blog post from September 16th. “Once you have completed account verification for Basic Account Verification,” the post says, “you can begin depositing any of the following digital assets to Binance.US: BTC, ETH, XRP, BCH, LTC, USDT.”

Also, yesterday, Binance.US said that at launch new users will be able to registerd in most U.S. states, except Alabama, Alaska, Connecticut, Florida, Georgia, Hawaii, Idaho, Louisiana, New York, North Carolina, Texas, Vermont, and Washington.

Binance stopped their service to the U.S. customers on September 12, while Binance.US will take its place. At the time, Binance coin (BNB), was not on the initial list despite it being mentioned among 30 crypto assets that Binance.US is considering to list. The initial Binance.US registration phase opens today.

At pixel time (10:27 UTC), BNB trades at c. USD 22.6 and is up by 10% in the past 24 hours and by almost 5% in the past week.

Source: cryptonews.com