Binance, the world's largest cryptocurrency exchange, has introduced a new VIP program aimed at attracting traders from traditional markets. This move comes amidst increasing competition and regulatory challenges in the crypto space.
Offering VIP status based on the aggregated trading volume of new users
The initiative, according to a Bloomberg report, seeks to entice new users by offering VIP status based on their combined trading volumes across both cryptocurrencies and traditional assets from external trading platforms.
New members can trade at two locations to meet the VIP monthly trading volume criteria
Under the new program, newcomers can leverage their trading activities from up to two external venues to meet the monthly trading volume requirements for VIP status. This marks a departure from Binance's previous criteria, which focused solely on trading volume within its platform.
Users with higher VIP rankings will enjoy significant discounts
Participants in Binance's VIP program will benefit from competitive trading fees corresponding to their VIP tier, with VIP 9 users enjoying significant reductions. Additionally, VIP traders will receive exclusive invitations to private promotions and industry events.
Binance Settles AML and Sanctions Violations for $4.3 Billion
It's noteworthy that Binance has faced regulatory challenges in the past, with some VIP traders embroiled in lawsuits filed by US regulators, including the Commodity Futures Trading Commission (CFTC).
Recently, Binance agreed to a $4.3 billion settlement following allegations of anti-money laundering (AML) and sanctions violations. The company's founder, Changpeng Zhao (CZ), pleaded guilty to related charges, underscoring the importance of regulatory compliance.
Catherine Chen advocates for the VIP program to promote cryptocurrency trading
Catherine Chen, Head of Binance VIP and Institutional, emphasized the increasing demand for cryptocurrencies, particularly driven by the surge in interest surrounding Bitcoin Spot ETFs. Chen aims to facilitate easier access to cryptocurrencies for high-volume users of traditional asset platforms through the expanded VIP Invitation program.
Bitcoin is nearing its historical high, with Binance Coin (BNB) closely following suit
As Bitcoin nears its all-time high, currently trading at $62,100, Binance Coin (BNB) has followed suit, reaching $416. This milestone marks a significant increase over the past week, reflecting the growing convergence between traditional and digital assets.