Binance Announces Sale of Russian Business to CommEX, Former Employees to Join New Exchange

Binance Announces Sale of Russian Business to CommEX, Former Employees to Join New Exchange

Crypto News – Binance, a leading cryptocurrency exchange, recently declared the sale of its Russian business to the newly established exchange, CommEX. In a post on X (previously Twitter), Changpeng Zhao, the Founder and CEO of Binance, confirmed that several former Binance cryptography and information security team members might have already joined CommEX or are considering the move.

This strategic move follows Binance’s decision to completely exit the Russian market and transfer its operations to CommEX, a cryptocurrency exchange that made its official debut just this Tuesday.

Addressing concerns within the crypto community about the striking similarities in the user interface of both exchanges, Zhao clarified that Binance intentionally collaborated with CommEX to replicate certain design elements, APIs, and more to ensure a seamless user experience.

Zhao also disclosed that CommEX will not cater to users from the United States or the European Union, implementing IP and KYC blocks as agreed upon in the business deal.

Furthermore, Zhao emphasized that he is not the ultimate beneficial owner of CommEX and does not possess any shares in the new exchange. The deal lacks any buy-back options, distinguishing it from other sell-off deals in the market.

During the transition phase, users will experience crypto transfers between Binance and CommEX as they migrate their funds to the new platform. Zhao anticipated the occurrence of older transactions as a part of integration testing, which is a normal aspect of the process.

In an official statement released on Tuesday, CommEX highlighted its diverse product offerings, including Spot, Futures, Simple Futures, and P2P services, aiming to engage the global cryptocurrency community.

However, questions regarding CommEX’s ownership and management still persist. The exchange has not disclosed information about its owners or operators, providing only an email contact (with no response received regarding ownership inquiries) and specifying Hong Kong as the jurisdiction for legal disputes. Binance, while refusing to reveal ownership details, denied any shared underlying technology with CommEX.

CommEX, as described on a page on Binance-owned CoinMarketCap, presents itself as a swiftly expanding cryptocurrency exchange, supported by prominent crypto venture capitalists, although the specific names remain undisclosed.