How To Prepare For Losing Access To Your Binance Account

[Fariwala]

Binance recently announced that it will block all cryptocurrency exchange services to users in the US in the future. This guide describes how you should prepare for the loss of access from both a trading and a tax compliance perspective.

This announcement comes after the exchange also announced that it will be launching a separate service that will cater towards US citizens, Binance.US. This is all likely a result of dealing with the regulatory pressures of operating within the US. It is not clear exactly when this new platform will launch nor which cryptocurrencies will be offered on it.

Timeline
According to the announcement, US users will lose trading access on Binance 90 days from June 14th, 2019—so in September. The announcement also discussed that “users who are not in accordance with Binance’s Terms of Use will continue to have access to their wallets and funds, but will no longer be able to trade or deposit on Binance.com.”

If you are a US passport holder on Binance, you will no longer be able to trade on the platform once September arrives.

How to Prepare From a Trading Perspective
If you are a trader on Binance, you should be aware of which assets you are going to lose trading access to.

In the below graphic, the tokens highlighted in purple are traded on other U.S. compliant exchanges, so you have the ability to move these assets onto these exchanges. Tokens that are not highlighted in purple do not have other exchange support within the US.

If you hold significant amounts in any of the non-highlighted tokens, you should take action before the September deadline hits. If you fail to do so, you could be stuck holding tokens that you have no way of cashing out of. Don’t worry, our team will send out another update to remind you prior to this deadline.

More info: https://cryptotrader.tax/blog/binance-us-residents-losing-access-heres-how-you-should-prepare