UK bans Binance as crypto crackdown continues
The Financial Conduct Authority (FCA), UK’s financial regulator, stated that Binance, one of the world’s premier cryptocurrency exchanges, can no longer conduct any further regulated activity in the region even as it issued a warning to consumers regarding the platform, which is already being increasingly scrutinized in other countries as well.
In a notice issued on June 25, the FCA stated that Binance Markets Ltd., Binance’s only regulated entity in the UK, “must not, without prior consent of the FCA, carry out any regulated activities… with immediate effect”. The financial regulating body also warned consumers about Binance Markets and Binance group.
Binance stated that Binance Markets, which it acquired in 2020, has not yet begun using its regulatory permissions, and that its services offered on its Binance.com website would not be impacted by the FCA’s decision.
Binance made an announcement in June last year that it bought an FCA-regulated entity that would be used to offer cryptocurrency trading services using pounds and euros. Although cryptocurrency trading in the UK is not directly regulated, services such as cryptocurrency derivatives trading still require authorization.