• Binance offered derivatives trading services in Brazil without securing necessary licenses, the country's regulator concluded.
• Binance will pay 9.6 million reais ($1.76 million), well over the 2 million reais the company offered to pay a year ago.

Binance, the world's largest cryptocurrency exchange, will pay 9.6 million reais ($1.76 million) to the Brazilian Securities and Exchange Commission (CVM) as a settlement for offering derivatives trading services in the country without receiving the corresponding license.

"On February 15, 2024, a new proposal for a Term of Commitment was presented and, after negotiations with the Term of Commitment Committee (CTC), the applicant undertook to pay the CVM 9.6 million reais," the agency said in a statement published on Wednesday .

In July 2020, the CVM ordered Binance to cease offering derivatives trading services in the Latin American country , arguing that it was not authorized to "act as a securities intermediary" and threatening the company with a daily fine of 1,000 reais.

Later, in August 2023, the CVM rejected Binance's settlement proposal of 2 million ($370,000) reais.

In a separate document detailing settlement terms , the CVM said that Binance was performing "distribution and mediation of operations with securities offered to citizens residing in Brazil without being a member of the securities distribution system and without obtaining the necessary registration or exemption from registration with the CVM."