Is Binance Still Legal in Australia? (Read This First)

Is Binance legal in Australia?

Binance is legal to use in Australia and is registered with AUSTRAC, the agency in charge of monitoring financial transactions. 

However, the platform has faced regulatory issues in recent years, within Australia and across the globe. 

In 2023, Binance stopped supporting AUD bank transfers—making it harder for Australian investors to move money on or off the platform. As a result, many users have started looking for alternatives that offer smoother fiat support. 

What are some good alternatives to Binance in Australia? 

If you’re looking for an exchange that supports AUD, here are a few alternatives to Binance for Australian investors: 

What issues has Binance faced in Australia? 

Binance faced multiple issues with regulators in 2023. 

Here’s a quick timeline of key events:

• April 2023: Binance’s offices were searched by the Australian Securities & Investments Commission (ASIC) as part of an investigation into its operations.
  
• April 2023: Binance’s derivatives license was cancelled after the regulator raised concerns over how the company classified some users as wholesale investors—who are subject to fewer protections than retail traders. A lawsuit was later launched against Binance due to these practices.
  
• June 2023: Binance suspended AUD deposits and withdrawals via bank transfer, effectively cutting off one of the easiest ways for users to move funds in and out of the platform. This happened due to issues with Binance’s local banking provider. 

At this time, Binance still allows Australian users to use credit/debit cards (which come with high fees) or peer-to-peer (P2P) transactions—but these methods involve extra costs and slower processing. 

Why is Binance facing issues around the world? 

Binance’s regulatory problems aren’t limited to Australia. The exchange has faced increasing scrutiny from governments around the world in recent years. 

• CEO legal troubles: In late 2023, Binance’s founder and former CEO, Changpeng Zhao (CZ), pleaded guilty to federal charges in the U.S. for failing to maintain proper anti-money laundering controls. He later stepped down as CEO and was sentenced to prison in April 2024. 
• Exits from various countries: In recent years, Binance has withdrawn from several countries—including Canada and the Netherlands — due to regulatory and legal barriers. 
• Ongoing investigations: The company is still under investigation in France and other jurisdictions for alleged money laundering and tax fraud. 

Despite these issues, Binance is still the largest exchange in the world by global trading volume. 

Should I use Binance P2P in Australia?

While Binance no longer offers AUD support, there is an alternative. Binance’s P2P (peer-to-peer) marketplace lets users buy and sell crypto directly with one another.

While it seems like a convenient solution, you should consider the following risks before getting started: 

• Increased fraud risk: Scams are common on peer-to-peer marketplaces, so it’s important to be vigilant. 
• Limited regulatory oversight: Since you’re dealing directly with other users, there’s less protection if disputes arise.
• Limited protection: If you confirm a transaction on Binance P2P and something goes wrong, there’s no easy way to get it back.

How CoinLedger can help

If you’ve used Binance in the past—either for trading or P2P—you’re still on the hook for reporting your crypto taxes in Australia. 

CoinLedger makes it easy to import your Binance trades and generate a complete tax report in minutes. You can even connect other wallets and exchanges to get a complete view of your crypto transactions. 

Get started with a free CoinLedger account today.