Cambodia Blocks Global Crypto Trading Platforms Including Binance, Coinbase, And OKX

JAKARTA The Cambodian government recently blocked 16 major crypto exchange sites, including Binance, Coinbase, and OKX. Reportedly this blocking is an attempt to regulate the fast-growing crypto market but still minimal regulations. However, although these sites cannot be accessed through local internet networks, mobile applications of these platforms can still be used.

The Cambodian government implemented this blocking following reports from the United Nations Office on Drugs and Crime (UNODC) revealing that criminal groups in Cambodia are utilizing crypto for illegal activities, including money laundering and transactions on the dark web.

In addition, a report from Chainalysis noted that transactions worth more than 49 billion US dollars (around Rp774 trillion) connected to Huione Guarantee, part of the Huione Group from Cambodia, are exacerbating the country's image in terms of cybercrime.

On November 20, 2024, the Cambodian Telecommunications Authority (TRC) issued an order to block 102 sites, many of which are linked to online gambling. However, the entry of large crypto exchanges such as Binance shocked many, especially since Binance had previously entered into partnerships with Cambodian regulators to assist the country in drafting crypto regulations.

To date, only two companies have been allowed to operate in the digital asset industry under Cambodia's 'FinTech Regulatory Sandbox' program, but they have not converted digital assets into local or foreign currencies.

Despite these restrictions, Cambodia remains one of the countries with the highest crypto per capita usage rate in the world, with transactions through the centralized exchange (CEX) covering 70% of the country's total crypto transactions.