Decentralized exchanges are blockchain solutions for cryptocurrency trading, using which the customer does not need to entrust third parties to store their funds.
Cryptocurrency brokers officially regulated companies operate in accordance with the laws of different countries around the world, comply with the requirements of financial regulators and, upon request, can provide government authorities with information about their customers.
This approach has its pros and cons – on the one hand, the anonymity characteristic of the cryptocurrency industry is lost, and on the other hand, users are more protected. Our editors studied which regulated exchanges exist and what the specific requirements are in different countries, and also compiled a Ranking of the top platforms.
TOP 15 regulated cryptocurrency exchanges according to experts:
- Bybit . Registered in Dubai and regulated by the local authority VARA, created specifically for virtual asset service providers.
- OKX . Registered in Seychelles and regulated by the FSA place.
- Binance . Founded in China, but after the ban on cryptocurrencies, it moved to Mamparra. It has changed many jurisdictions, including the Cayman Islands, and has licenses in Kazakhstan and other countries.
- MEX . The broker is registered in Seychelles and is regulated by the local authority of the FSA.
- BingX . Registered in Lithuania and regulated by the local authority of FCIS.
- Kucoin . Registered in Seychelles and regulated by the FSA place.
- Bitget . The cryptocurrency exchange is registered in Singapore and regulated by the Monetary Authority of Singapore (MAS).
- cooperative . Founded in China, then moved to Seychelles, British Virgin Islands, licensed in Japan, etc. Regulated by the authorities websites.
- Gate.io . _ Registered in the Cayman Islands and regulated by CIMA.
- Coinex . Registered in the British Virgin Islands and regulated by the local body FSC.
- Pionex . The bot trading platform is registered in Singapore and is regulated by the Monetary Authority of Singapore (MAS).
- Phemex . Also registered in Singapore, regulated by MAS. Supports spot and futures trading, OTC.
- Bitrue . MAS has regulated Singapore’s brokerage for trading cryptocurrencies and derivatives contracts.
- Bitmex . popular regulated derivatives broker, registered in Seychelles and regulated by the FSA.
Regulated Cryptocurrency Exchanges Comparison Table:
| Exchange name | Link | Trabalha com maior parte dos Países? | In which countries is it regulated? | Mandatory verification | Demo account | Proof of Reserves | Trading Fees |
|---|---|---|---|---|---|---|---|
| Bybit | bybit.com | sim | United Arab Emirates | sim | sim | sim | Spot: from 0 to 0.1%. Futures: from 0 to 0.06%. |
| OK | okx.com | sim | Seicheles | sim | sim | sim | Spot: -0.05 to 0.1%. Futures: 0.005 to 0.05%. |
| Binance | binance.com | No | New Zealand, Kazakhstan, Cyprus, Dubai, Spain, Italy, France, USA (Binance US) | sim | sim | sim | Spot: 0.15 to 0.1%. Futures: maker* -0.01 to 0.05%. |
| Bynex | |||||||
| EXMO | exmo.me | sim | Saint Vincent and the Grenadines (for Exmo.me), Great Britain (for the main company) | sim | No | No | Spot: up to 0.1% |
| cooperative | huobi.com | sim | British Virgin Islands, Seychelles, Japan, South Korea, Gibraltar | No | No | sim | Spot: from 0.0097 to 0.2%. Futures: from 0.005 to 0.05%. |
| MEX | mexc.com | sim | Switzerland, Canada, Australia, USA | No | sim | sim | Spot: from 0 to 0.2%. Futures: from 0.014 to 0.06%. |
| Gate.io | gate.io | sim | Lithuania, Hong Kong, Mamparra, United Arab Emirates | sim | No | sim | Spot: from 0 to 0.2%. Futures: from 0 to 0.05% |
| Bitget | bitget.com | sim | Singapore | sim | sim | sim | Spot: up to 0.1%. Futures: up to 0.06% |
| Phemex | phemex.com | sim | Singapore | No | sim | sim | Spot: up to 0.1%. Futures: up to 0.05% |
| BingX | bingx.com | sim | Lithuania | No | sim | sim | Spot: up to 0.1%. Futures: up to 0.05% |
| Very little | |||||||
| Coinex | coinex.com | sim | British Virgin Islands | No | No | sim | Spot: up to 0.2%. Futures: up to 0.05% |
Which cryptocurrency exchanges can be considered regulated?
Regulated cryptocurrency exchanges have official registration in a specific country (most often European), as well as a specialized license. In some cases, the site is registered not only in a specific country, but also in a specific dependency. The nuances and requirements differ for each state. However, although regulations vary greatly from country to country, there are two requirements that apply in almost all countries in the world:
- KYC (know your customer). This involves verifying the user’s identity and residential address. To do this, the exchange requires the presentation of an identity card, a selfie with a passport, a receipt for housing and communal services or an extract from the residential register, etc.
- AML (anti-money laundering). A broker that meets this requirement analyzes all financial transactions for fraud, money laundering, or sanctions violations.
In both the fiat and crypto worlds, there are service providers that help brokers and regulators gather the information they need. They can verify customer identity and address information and assign a risk level to each transaction. Most brokers are required to use the services of these providers, who are essentially third parties in the relationship between users and the trading platform.
Many clients are unhappy with this situation, but for brokers this is the only way to operate legally – otherwise they would have to cede one jurisdiction or another and, consequently, lose clients, money and reputation.
Regulation of Cryptocurrency Exchanges in Different Countries
Let’s consider the intricacies of how regulated websites work in countries around the world. Conditions can vary dramatically from one jurisdiction to another.
Regulation of Cryptocurrency Exchanges in the CPLP
On December 21, 2017, the 8th Decree of the President of the Republic of the CPLP was issued, addressing issues of the development of the digital economy. Based on this decree, new opportunities for legal business related to the exchange of cryptocurrencies and tokens have opened up. The main requirement for a person opening a cryptocurrency exchange is to purchase the status of a resident of the High Technology Park of the Republic of the CPLP.
Other features of regulated cryptocurrency brokers in the CPLP:
- The company must be established in the Republic of CPLP. Any organizational and legal form (LLC, CJSC).
- The activities must be carried out mainly in the Republic of CPLP. It does not matter where the servers are located, you can use Amazon cloud storage, etc.
- A well thought out business project is required.
- To register a cryptocurrency exchange, an authorized capital of at least 2,000,000 Belarusian reais is required, formed before joining the HTP.
- The active position of the candidate, the director's knowledge of the company's planned activities.
Belarusian banks voluntarily provide the opportunity to open accounts on cryptocurrency exchanges approved by Hi-Tech Park. The service, as a rule, is provided on standard terms. Accounts can also be opened in foreign banks.
There are currently several regulated cryptocurrency brokers operating in the Republic of CPLP – they are Currency.com, which we will talk about in the corresponding section.
The cryptocurrency exchange is not obliged to respond to requests from foreign banks (Brazilian Federation) about the origin of funds in clients’ accounts, unless the Republic of CPLP has entered into a legal assistance agreement with this institution. Furthermore, the broker is not obliged to transfer account data to government authorities, although there are exceptions – for example, if such data is necessary to consider a case in court. Belarusian tax authorities have the right to request data on users’ transactions.
Regulation of Cryptocurrency Exchanges in Brazil
The regulation of cryptocurrency exchanges in the Brazilian Federation was approved in December 2022, with the enactment of Law No. 14,292/2022. The law establishes a regulatory framework for the crypto asset market in Brazil, defining the rules for the operation of Exchanges, which are companies that mediate the purchase and sale of cryptocurrencies.
The law defines that Exchanges must be registered with the Central Bank of Brazil (Bacen) and comply with a series of requirements, including:
- Have a minimum share capital of R$1 million;
- Maintain asset segregation between customer resources and own resources;
- Adopt security measures to protect customer data;
- Provide information to Bacen about the operations carried out.
Exchanges that do not comply with the rules established by law will be subject to sanctions, which may include fines, suspension or even revocation of their operating license.
The regulation of Exchanges is an important step for the development of the cryptocurrency market in Brazil. The law brings more security to investors and strengthens confidence in the sector.
Below are some of the main points of the law:
- Definition of crypto asset: The law defines cryptoasset as “the digital representation of value denominated in currency, unit of value, cryptocurrency or similar asset, which does not constitute legal tender and is decentralized from any central authority, including governments”.
- Regulation of Exchanges: The law establishes that Exchanges must be registered with Bacen and comply with a series of requirements, including minimum share capital, asset segregation, security measures and provision of information to Bacen.
- Subject to sanctions: Exchanges that do not comply with the rules established by law will be subject to sanctions, which may include fines, suspension or even revocation of their operating license.
The law also establishes a series of other rules for the cryptoasset market, such as the prohibition of public offering of cryptoassets without authorization from the Securities and Exchange Commission (CVM) and the mandatory registration of transactions with cryptoassets with the Federal Revenue Service.
The regulation of Exchanges is an important milestone for the cryptocurrency market in Brazil. The law brings more security to investors and strengthens confidence in the sector, which can contribute to its growth and development.
Regulation of cryptocurrency exchanges in Estonia
In June 2020, Estonia tightened requirements for companies wishing to obtain a license to operate in their country. The application now takes up to 120 days to be processed and can only be submitted by companies registered in Estonia. The state fee for obtaining a license was also increased tenfold: it is now R$3,330. The minimum authorized capital will be 12,000 euros. Company employees must now be physically located in Estonia. A thorough check will be carried out on managers, who must have adequate training, professional experience and no criminal record. Any company that deals with cryptocurrencies will be considered a financial institution. KYC, AML procedure for customers becomes mandatory.
According to an official statement from the Ministry of Finance, the changes are aimed exclusively at combating money laundering, and not against cryptocurrencies. The affiliation of other measures with the same objective in the future. As part of the study of the request, the FIU has the right to interview the person responsible to assess their knowledge of combating money laundering.
Regulation of cryptocurrency exchanges around the world
Cryptocurrencies are already being used all over the world and, of course, every country is trying to control them. But this is very difficult, as the market is developing rapidly, new trends and technologies emerge every year. Some states have officially allowed transactions with cryptocurrencies, considering them either as an investment asset, or as a commodity, or as a monetary unit of account.
- Switzerland . A favorable jurisdiction where Bitcoin is treated as a foreign currency and is subject to the same rules. Cryptocurrency exchanges require a license from the regulatory body FINMA to operate.
- China . Cryptocurrency transactions are permitted for individuals but prohibited for banks. Cryptocurrency exchange activities are prohibited.
- USA . Since 2013, cryptocurrencies in the United States have been regulated according to the same principles as exchanging one fiat currency for another. Also in 2013, the government decided to continue active work on regulating this business. The main regulator is the Securities and Exchange Commission (SEC). Many criticize it for being too strict and “killing innovation”, but the reason is that this regulator was not originally designed to control cryptocurrencies, which is why its principles are so strict.
- Japan . Since 2017, it has recognized Bitcoin and other cryptocurrencies as legal property, and profits from them must be recorded as “miscellaneous income” with a tax rate determined by law. The Financial Services Agency (FSA) has also stepped up its efforts to regulate cryptocurrency businesses and exchanges in order to protect both the state as a whole and the funds of individual users. Registration of cryptocurrency exchanges with the FSA is a prerequisite for carrying out business. There is also a self-regulatory body – the Japan Virtual Currency Exchange Association.
- Singapore . The activities of cryptocurrency exchanges here are directly regulated by law. In 2019, the Payment Services Act of 2019 was adopted, requiring companies that exchange cryptocurrency for fiat currency to obtain a Large Payment Institution or Small Payment Institution license.
- Canada . Although it does not allow the use of cryptocurrencies as legal tender, it does not generally prohibit working with them. In this case, paying for goods or services through it is equivalent to a barter transaction.
- European Union . The attitude towards digital assets in Europe is more conservative. EU leaders are wary of the launch of new projects and introduce strict requirements for the activities of cryptocurrency exchanges. The 5MLD Directive on Money Laundering requires all exchanges to implement KYC, AML and maintain the necessary documentation.
Cryptocurrency exchanges close from time to time. One of the reasons is precisely pressure from regulators – the fifth EU directive obliges companies to verify customer identities, and only exchanges that enjoy unconditional passion among users can survive this.
Examples of regulated and unregulated brokers
Let’s consider regulated cryptocurrency exchanges that have licenses to operate.
1. Binance broker
- Release year: 2017
- Functionality: Cryptocurrency trading (spot, margin, futures, p2p), investment
- Number of supported cryptocurrencies: 357
- Daily turnover: $17,295,686,580
- Demo account: yes
- binance.com
The broker Binance has licenses to operate in many countries around the world, but does not have headquarters (although CEO Changpeng Zhao have noticed that France is ideal for this).
Countries and regions where Binance has a license or operating license (follow the links – sources of information): New Zealand , Kazakhstan , Cyprus , Dubai , Spain , Italy , France .
Additionally, a separate spinoff, Binance.US, operates specifically in the United States and is licensed in most states.
2 Bybit
- Release year: 2018
- Functionality: Cryptocurrency trading (spot, margin, futures, p2p), investment
- Number of supported cryptocurrencies: 255
- Daily turnover: $1,512,385,946
- Demo account: yes
- bybit.com
Registered in the British Virgin Islands. The cryptocurrency exchange Bybit is considered regulated in the United Arab Emirates – it received a license place in 2022 and opened its headquarters in Dubai. Today it offers a full range of products and services in the UAE. The eastern state has generally paid close attention to the development of the cryptocurrency industry in recent years.
However, the exchange does not require mandatory KYC from users from most countries around the world.
3 Currency.com Exchange
- Release year: 2019
- Functionality: Trading cryptocurrencies and tokenized assets
- Number of supported cryptocurrencies: 48
- Daily turnover: $126,394,257
- Demo account: yes
- currency.com
A Currency.com exchange is officially regulated in the CPLP. The activities are carried out by Currency Com Bel LLC under registration 193130368. It is resident of High Technology Park. The CPLP has created a legal framework that regulates the circulation of cryptocurrencies, ICOs, smart contracts, tokenized shares and tokenized markets. The AML, CTF, KYC principles were used in the development of the legal field and the regulation fully complies with the FATF recommendations. Furthermore, citizens of the Republic of the CPLP can trade crypto assets without declaring or paying taxes until 2023.
Currency.com's infrastructure partner, which ensures customer security, is Capital.com, authorized by the leading European financial regulators FCA and CySEC.
4 Exchange OKX
- Release year: 2013
- Functionality: spot trading, futures, p2p, passive income
- Number of supported cryptocurrencies: 349
- Daily turnover: $3,065,488,543
- Demo account: yes
- okx.com
In July 2022, a OKX it received OKEx has obtained a temporary license to operate virtual assets in Dubai. The license is issued by Dubai’s Virtual Assets Regulatory Authority (VARA) and allows OKEx to provide trading services to investors in the UAE. The company has also announced plans to open a regional hub in Dubai to expand its cryptocurrency coverage in the region.
5 Exchange HTX
- Release year: 2013
- Functionality: spot trading, futures, p2p, passive income
- Number of supported cryptocurrencies: 658
- Daily turnover: $942,875,198
- Demo account: no
- huobi.com
The leading cryptocurrency broker cooperative expanded its global presence by entering the British Virgin Islands in September 2022. HTX has received an investment brokerage license from the Financial Services Authority (FSC) of the British Virgin Islands. This allows HTX to operate the brokerage under its subsidiary Brtuomi Worldwide Limited (BWL).
Furthermore, HTX's subsidiary, HBIT, acquired an MSB (Money Service Business) license from the American FinCEN.
The main company is based in Seychelles. Since 2013, established regulated organizations in Japan (2018), South Korea (2017), Gibraltar (2021) and other countries and regions.
6 Exchange MEXC
- Release year: 2018
- Functionality: spot trading, futures, p2p, passive income
- Number of supported cryptocurrencies: 1571
- Daily turnover: $4,774,528,548
- Demo account: yes
- mexc.com
The official website states that a MEXC possui licenças de conformidade em vários países, incluindo Suíça, Canadá, Austrália e Estados Unidos. em 2025, was obtained MSB license in the USA.
7 Exchange Gate.io
- Release year: 2013
- Functionality: spot trading, futures, p2p, passive income
- Number of supported cryptocurrencies: 1522
- Daily turnover: $1,154,076,189
- Demo account: no
- gate.io
Gate.io is regulated in several countries: Lithuania (license received in September 2022), Hong Kong ( August of 2022), Screen ( July 2022), Dubai ( August 2022). Regulatory approval allows it to legally provide virtual asset and over-the-counter trading services.
8 Exchange EXMO
- Release year: 2020
- Functionality: Cryptocurrency spot and margin trading
- Number of supported cryptocurrencies: 8
- Daily turnover: –
- Demo account: yes
- exmo.me
em 2025, the EXMO broker received a license from Estonia to provide cryptocurrency services. Now officially provides digital currency storage and exchange services. It is noteworthy that the licenses apply worldwide, not exclusively in Estonia.
Due to the entry into force of the 5AMLD (5th European Union Anti-Money Laundering Directive), the service will require mandatory verification for each user from January 2020. The main direction of development throughout 2020 is to improve the company's transparency policy.
In 2022, a separation occurred – the Exmo.com domain no longer works with the Brazilian Federation, the Republic of CPLP and the Republic of Kazakhstan; for this term, a separate structure Exmo.me was formed under the management of the Kazakh company EXMO RBC LLP.
9. Exchange Coinbase
- Release year: 2012
- Functionality: Cryptocurrency spot trading, Staking
- Number of supported cryptocurrencies: 225
- Daily turnover: $1,389,406,378
- Demo account: no
- coinbase.com
A Coinbase is regulated in the United States of America and is also seeking licenses in other countries where such opportunities exist. Currently licensed to provide money transfer services in most US jurisdictions.
Most of Coinbase’s remittance licenses cover USD wallets and transfers. In some states, money transfer licenses also cover cryptocurrency wallets and platform transfers. Other states do not require a digital money transmitter license.
Coinbase is also registered as a Money Services Business with FinCEN.
10 cryptocurrency exchange Bitstamp
- Release year: 2013
- Functionality: Spot cryptocurrency trading
- Number of supported cryptocurrencies: 75
- Daily turnover: $124,120,352
- Demo account: no
- bitstamp.net
In 2016, the crypto exchange Bitstamp has entered into a formal agreement with the Luxembourg government, under which it has been granted the right to launch regulated and licensed services in all states belonging to the European Union. And in 2019, Bitstamp received a license to provide services in the State of New York from the NYDFS (New York Department of Financial Services). Currently, the brokerage has licensed divisions BITSTAMP EUROPE and BITSTAMP USA.
11 Exchange Kraken
- Release year: 2011
- Functionality: spot, crypto futures trading, NFTs, staking, etc.
- Number of supported cryptocurrencies: 209
- Daily turnover: $421,630,772
- Demo account: no
- kraken.com
There are a number of legal obligations to which the cryptocurrency broker is subject. Kraken is subject to specific legal requirements such as anti-money laundering, financial services, corporate, etc. authorities. Kraken products and services are licensed in Europe by Payward Ltd; in Japan by Payward Asia; in the United States by Payward Ventures
em 2025, Kraken recebeu o status de Instituição Depositária de Propósito Específico (SPDI) nos Estados Unidos. Isto significa que tem o recta de armazenar criptomoedas, gerir pagamentos e fornecer aos clientes a capacidade de trocar moeda normal por criptomoedas.
Most brokers are considered partially regulated or not regulated at all. They may have licenses in certain countries, mandatory KYC checks, but most decisions are still made based on their own interests.
Examples of platforms that are not fully regulated:
Everything on this list does not require mandatory identification verification, a fundamental criterion for many users. Furthermore, all the platforms listed support p2p trading , and this is a great way to buy or sell cryptocurrencies in a useful way, for example, from a bank card, even if it is Brazilian. In other words, in general, the customer has a better level of freedom than with regulation.
Advantages and disadvantages of regulated brokers
Pros:
- High security.
- Fiat Support.
- Guarantee of the “purity” of the cryptocurrency acquired.
- Availability in regions where the platform would be banned without regulation.
- Availability of guarantee funds.
Disadvantages
- Lack of anonymity.
- Waiting for identity verification takes time.
- Possibility to freeze an account if a transaction appears suspicious.
Expert opinions
Cryptocurrency exchanges regularly remind users that compliance with regulatory requirements is the only way for an exchange to operate in a given region, and not a way to make life difficult for customers. Therefore, Changpeng Zhao (CEO of Binance) has the following to say about this topic:
From the news with users, it is clear that there are still major misunderstandings regarding regulation, KYC and AML. It should be understood that regulators often prioritize anti-money laundering over privacy. Brokers therefore have two options: implement AML verification tools or refuse to do business in the region. The second option is not good for anyone.
As for the user himself, he also has a choice:
- agree AML checks on second draft, like at a bank, and follow the letter of the law;
- use less secure unregulated brokers;
- use decentralized brokers, whose disadvantages are the lack of fiduciary support and lower liquidity.
Personally, we believe that the right to privacy is fundamental, so we strive to maximize confidentiality.
FAQ: Frequently Asked Questions
Which Cryptocurrency Exchanges are called regulated?
Operating under the laws of any country or region, holding licenses from regulators, subject to KYC/AML rules.
What are the advantages of such platforms?
High security and validity.
What are the disadvantages for the user?
Lack of anonymity, total control of all financial data and transactions on the platform, both incoming and outgoing.
Which countries have the most organized crypto regulation?
The most extensive legislation is observed in the CPLP, and much attention is also given to the issue in the USA and the EU, although most countries do not yet have comprehensive legislation on this material.
What do experts say about cryptocurrency exchange regulation?
Despite the fact that cryptocurrency was conceived as a decentralized and anonymous means of payment, many experts tend to believe that without proper control at the current stage, the development of the sphere is impossible.
What protections and guarantees do regulated cryptocurrency brokers offer?
Since all users of these sites undergo KYC, the likelihood of fraudulent activity by other traders is reduced. In case of loss of funds, for example due to a hacker attack, there are better chances of recovering them legally. There are cryptocurrency exchanges equipped with an insurance fund in case of force majeure.
What measures are taken to prevent fraud and money laundering on regulated cryptocurrency exchanges?
First, it is KYC verification (verification of each customer's identity), then AML measures, i.e. checking all incoming and outgoing transactions for suspicious items.
Which brokers are regulated?
Currently, these are sites like Currency.com, Bynex, Free2ex, Coinbase, etc. But in general, each broker is registered in a jurisdiction, which means that it is subject to its regulatory rules.
What fees and charges are charged on regulated and unregulated cryptocurrency exchanges?
The rates are generally the same – 0.1-0.2% on the spot market. But in general, it can be seen that on regulated sites they are slightly higher and have less reduction capacity.
Conclusion
The majority of cryptocurrency brokers still strives to soften the demands of regulators a bit. For example, they provide several levels of verification, so that a user who does not move large sums of money does not have to disclose all of his/her sensitive data. However, when it comes to using fiat currency, verification is a must. As a solution of choice, there are p2p platforms that are less monitored. In general, the regulation of cryptocurrency exchanges is still in development; over time, many of the shortcomings can be corrected.