They are welcome to base themselves in any jurisdiction however they would rather not because they have no interest in complying with the kinds of financial regulations that underpin a modern and functional economy.
Why on earth would we want to compromise on these regulations and onshore these bucket shops? Just look what happens when you let them do as they will.
Are they? They are not unless they transform to another boring bank which defeats the purpose of the exchange. Banking is not why their users joined
Sure, but if their users joined to participate in an unlawful offshore casino then my point remains. They can comply with regulations, or not. It's not the responsibility of the states to bow down to binance and allow this silliness, but on binance to conform to a state regulatory framework.
If people want these products and they are regulated out of the market, offshore is where these companies will go to provide them.
https://en.wikipedia.org/wiki/BetonSports
And hey, what's 33 months in prison?
Which is not something they want. That was my comment about actually, Reuters article implies that binance must comply with some state.