Yes, originally their exchange ran on Binance Cloud, using Binance's liquidity pool.
After Binance sjut down their cloud exchange program, Mandala pivoted to independant exchange. If you had an account on the old Mandala exchange, it wouldn't work with the new one. You need to create an account again on the new Mandala exchange.
This sounds shady and $1000 daily limit is very low compared to other non-kyc exchanges I know.
It's also strange that I can't find this new Mandala exchange listed on CoinGecko website anymore, but they are listed on CoinMarketCap website.
I would not risk any trading with this Mandala.
Nothing shady about it, the exchange works well if you can live with the daily $1000 limit. I was also a user of their old exchange, if that matters.
I have made a few transactions with it and have faced no issues so far. I always withdraw funds immediately after making the trade, keeping no balance on the exchange.