- Leading cryptocurrency exchange Binance has banned Chinese users from its token launch platform.
- Chinese Journalist Colin Wu confirmed that the ban is temporary with no official comments from Binance.
- Traders in China have access to the trading platform and the rest of its products in the Binance ecosystem.
Chinese crypto traders can still actively trade and access their cryptocurrencies on Binance but will be unable to contribute to new crypto startups raising capital.
Game-changing projects temporarily out of reach
The Binance Launchpad has earned a reputation for launching projects that have the potential to offer a high return on investment to traders. The tokens featured on the platform go through a rigorous review process to determine if they are up to Binance’s standards.
Crypto teams in a relatively mature stage of their growth approach the exclusive token launch platform when they are ready for large-scale adoption. The vetted cryptocurrency ventures are then featured on the launchpad and open to Binance users for participating in the Initial Exchange Offering (IEO).
Over 10 million people have the opportunity to participate in the IEOs, but that has changed with the temporary ban.
Earlier today, journalist Colin Wu tweeted:
Small survey: Can you open the Binance launchpad? Computer and mobile phone, thanks.— Wu Blockchain (@WuBlockchain) July 13, 2021
Through the responses on the thread, Wu ascertained that Chinese users had lost access to the launchpad and suspected a ban, which was later confirmed. A similar incident was reported on the evening of July 8 when many users in China confirmed that the Binance app appeared to be blocked.
Crypto enthusiasts in China are currently trading cryptocurrencies on Binance and its two leading competitors Huobi and OKEx. This may change in the future, and a temporary or extended ban may be underway given the recent crackdown on the three crypto exchanges by China’s largest internet search engines Baidu, Weibo and Sogou.
These search engines appear to be taking stringent measures to bring tight censorship on cryptocurrency exchanges in effect. First reported on July 9, traders were unable to run searches for ‘Binance’, ‘Huobi’, or ‘OKEx’ on Baidu, Sogou and Chinese social media apps like Zhihu and Weibo.
Though it is not entirely in effect since users can search for longer keywords like ‘Download OKEx app’ and access the search results, the ban is still effective on both desktop and mobile versions of these search engines.
An official comment from Binance is awaited, users continue to remain optimistic since the trading platform and cryptocurrency wallets are accessible.
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