The Cayman Islands Monetary Authority (CIMA) has released a statement informing the public that Binance isn't authorized to operate in the territory.

The regulator is currently investigating whether Binance or any of its subsidiaries have activities that fall within the scope of its oversight.

According to CIMA, contrary to media reports that Binance is incorporated in the Cayman Islands, it's not licensed to operate its crypto exchange business to residents of the island.

The regulator noted that any firm incorporated under the Cayman Islands Companies Act, 2020 and providing virtual asset services must be registered by the country’s virtual asset service providers (VASPs). The announcement reads in part,

“Any company incorporated under the Cayman Islands Companies Act, 2020 or otherwise established or registered in the Cayman Islands that provides virtual asset services or custodian services as a business or in the course of business, in or from within the Islands must either be: (i) registered or licensed in accordance with the Virtual Asset (Service Providers) Act, 2020 (“VASPA”); or (ii) an existing regulated entity that has been granted a waiver by the Authority under the VASPA.”

Responding to the news, a Binance spokesperson said Binance does not run its crypto business out of the Cayman Islands as it was falsely reported in some media articles. The spokesperson added that the exchange continues to operate in a decentralized manner.

Binance says although it has entities incorporated under the laws of the Cayman Islands, they do not operate crypto-exchange trading activities.

The list of countries that have the crypto exchange giant on their radar is rising as regulators in Singapore, UK, Thailand are now investigating the platform.

Today, the Thailand Securities and Exchange Commission (SEC) disclosed that it had filed a criminal complaint with the Economic Crime Suppression Division of the Royal Thai Police (ECD) against Binance. The regulator argues that Binance has continued to operate in Thailand without the necessary operational license.

The Thai regulator mentioned that it had previously issued a warning letter instructing the exchange to submit a written response in April. However, Binance failed to submit a response within the specified time.

Singapore's Monetary Authority also plans to start reviewing the license application of Binance Asia Services Pte, Bloomberg reports.

“We are aware of the actions taken by other regulatory authorities against Binance and will follow up as appropriate,” the agency remarked in the report.

The exchange is also facing similar cases in Japan and the UK. Recently, the Japanese Financial Services Agency issued a second warning to the trading platform to cease operation in the region. In the UK, the Financial Conduct Authority banned Binance outright from offering crypto derivatives in the country.

On the other hand, Canada hasn't taken action against Binance, but the platform no longer serves customers in Ontario. It reportedly pulled out due to pressures from the Ontario Securities Commission (OSC) concerning regulatory compliance.

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