Customers of Binance have been kept out of UK transactions, raising worries of a price crash.
Customers on Binance, the world’s largest crypto-exchange, have been kept out of making pound withdrawals and deposits, however it’s unclear whether this is related to the FCA’s recent action.
Customers of the online cryptocurrency exchange Binance have lost the ability to withdraw or add pounds sterling to their accounts. Sterling transactions using bank cards have been “suspended for maintenance,” according to the site. According to Binance’s website, this effectively disables two options for withdrawing pounds off the platform.
Binance, on the other hand, claimed on Tuesday that speedier payments in sterling “should be available” later in the morning.
The cryptocurrency company has not stated when or if card payments would be reinstated.
The announcement comes after the Financial Conduct Authority of the United Kingdom (FCA) stated that Binance Markets Limited “is not authorised to engage in any regulated activity in the United Kingdom.”
Binance wants to use its London-based partner Binance Markets Ltd to build a UK-based exchange.
However, Binance is one of several cryptocurrency companies that have withdrawn their applications to register with the Financial Conduct Authority of the United Kingdom (FCA).
This was owing to Binance’s failure to comply with anti-money laundering regulations.
“Binance Markets Limited withdrew their 5MLD application on 17 May 2021 following significant interaction by the FCA,” a spokeswoman for the FCA told CNBC.
“The action against Binance Markets Limited that was conducted today has been planned for a long time.”
“The FCA UK notice has no direct impact on the services provided on Binance.com,” Binance told the Financial Times on Sunday.
“Our relationship with our users has not changed,” the business claimed.
On Monday and Tuesday, Binance customers turned to Twitter to express their dissatisfaction with the GBP withdrawal downtime.
Checkout.com, a payment processor, revealed on Monday that it has begun processing credit and bank card transactions for Binance.
“We don’t have any relationship with Binance Markets Limited,” the company claimed in a statement.
“As a result, we are unable to provide any comment,” the corporation noted.
“We continue to keep a close eye on the FCA’s decision.
“We want to make sure Checkout.com follows all regulatory orders.”