UK financial regulator bans world’s largest crypto exchange

The UK has banned Binance Markets from any regulated business in the country, extending a global crackdown on crypto.

The Financial Conduct Authority (FCA) has ruled that the firm cannot conduct any “regulated activity” in the UK.

It also issued a consumer warning about Binance.com, advising people to be wary of adverts promising high returns on cryptoasset investments.

Binance said the FCA notice would have no “direct impact” on the services it provides from its website Binance.com.

Binance’s existing crypto exchange is not UK-based so despite the FCA ruling, in practice there will be no impact on UK residents who use the website to purchase and sell crypto-currencies.

The FCA does not regulate crypto-currencies, but requires exchanges to register with them. Binance has not registered with the FCA and therefore is not allowed to operate an exchange in the UK.

Binance said that the firm’s relationship with its users had not changed, stressing: “We take a collaborative approach in working with regulators and we take our compliance obligations very seriously. We are actively keeping abreast of changing policies, rules and laws in this new space.”

The FCA move comes amid pushback from regulators around the world against crypto-currency platforms.

Binance.com is an online centralised exchange that offers users a range of financial products and services, including purchasing and trading a wide range of digital currencies, as well as digital wallets, futures, securities, savings accounts and even lending.

Binance Group is currently based in the Cayman Islands, while Binance Markets Limited is an affiliate firm based in London. The firm has multiple entities dotted around the world and Binance Group was previously based in Malta.

Written by Influencer Editorial Team

Managed By Influencer Team - United Kingdom

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