The Australian subsidiary of global crypto exchange Binance has been ordered to pay a A$10 million ($11.9m) fine after more than 500 of its customers were exposed to high-risk products that led to A$8.7m in losses.

The Australian Federal Court announced the penalty last Friday, which followed legal action by regulator the Australian Securities and Investment Commission (Asic) against subsidiary Oztures Trading, which traded as Binance Australia Derivatives.

The crypto exchange admitted it has misclassified the high-risk crypto products, which required disclosures and a multiple choice test, which would have qualified clients as sophisticated investors.

A total of 524 customers were affected and, in addition to trading…