Binance UK ban: Is it still possible to use Binance in the United Kingdom? ‘It feels like this has been a long time coming.’
The FCA, the UK’s financial authority, has banned BINANCE, the world’s largest cryptocurrency exchange. Is Binance still available in the United Kingdom?
In the latest step to protect potential investors from the hazards linked with virtual currencies, the Financial Conduct Authority (FCA) has targeted the crypto exchange. The United Kingdom has joined Canada and Japan in taking action against Binance Group affiliates. On Saturday, customers were informed that Binance Markets Limited “is not currently permitted to engage in any regulated activity” without the FCA’s prior clearance.
“No other entity in the Binance Group holds any kind of UK authorisation, registration, or license to conduct regulated activities in the UK,” the financial watchdog noted.
The move underscores the FCA’s tough position on cryptocurrencies, which it has previously referred to as “very speculative, high-risk assets.”
The prohibition did not come as a complete surprise to Nick Saponaro, Divi’s co-founder and CIO, because “writing has been on the walls for years.”
“This feels like a long time coming,” he remarked. Some crypto firms operate in a murky environment at best.
“While blockchain technology is decentralized and borderless, the technologies that support open and public blockchains are not.”
Virtual currencies such as bitcoin and Dogecoin, unlike traditional fiat currencies such as the Pound Sterling, are deregulated and not centralized around a government-backed organization.
Mr Saponaro, on the other hand, believes that regulation will inevitably damage crypto in some way.
“Regulation was a foregone conclusion,” he continued, “which may come as a disappointment to crypto enthusiasts, but the writing has been on the wall for years.
“Those who work within these parameters will become tomorrow’s Amazons, Googles, and Facebooks, while the riskier projects may find it more difficult to operate.”
The FCA has given Binance until Wednesday, June 30 to comply with the judgment.
Despite the fact that the FCA does not oversee cryptocurrency trading, exchanges that feature virtual currencies must register with the FCA.
By failing to register with the FCA, Binance aroused the ire of the regulator.
The prohibition basically precludes Binance from promoting or carrying out regulated activities in the UK, according to Alexandra Clark, Sales Trader at the UK-based digital asset trader GlobalBlock.
“This comes after the Financial Services Agency of Japan warned last week that Binance was undertaking unlawful transactions.”Brinkwire Summary News”, she said.