Binance Signs $1.7 Million Deal with Brazilian Securities Regulator

Cryptocurrency exchange Binance has signed an agreement with the Brazilian Securities and Exchange Commission (CVM) to offer derivatives products.

In an August 14 announcement, the CVM said Binance had agreed to pay the securities regulator 9.6 million reais (about $1.7 million at the time of publication). In 2020, the CVM issued a warning to Binance, saying the exchange was offering derivatives to Brazilian residents without authorization.

“Since regulators first contacted Binance in 2020, the exchange has taken all necessary steps and actions to respond to the authorities and comply with local requirements,” Binance said in a translated statement to Cointelegraph Brazil. “The decision by the CVM Board to accept the proposed term sheet reaffirms that the adjustments and updates Binance has made over time are sufficient for the regulators.”

The securities regulator initially rejected a 2023 offer from Binance to pay about $365,000 to end the investigation.

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The agreement follows CVM’s approval of a spot Solana exchange-traded fund (ETF) to be listed and traded on the Brazilian Stock Exchange. The U.S. Securities and Exchange Commission (SEC) began approving spot cryptocurrency ETFs in January, moving from Bitcoin (BTC) to Ether (ETH), but has so far not approved a spot investment vehicle tied to Solana (SOL).

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