Binance, the world’s largest cryptocurrency exchange, is trying to limit services in unfriendly jurisdictions. Meanwhile, the world’s regulators are approaching the firm. Finally, the UK came to the fore when Binance UK affiliate canceled its registration with financial regulators. Binance has become the number one enemy among global financial regulators. Also, many are faking the United States to “fire” the company. Here are the details…
Binance UK registration canceled
Bad news for the UK subsidiary of the world’s largest crypto exchange. The company has officially withdrawn its licenses from the Financial Conduct Authority (FCA). A current status page of the financial regulator includes the following statements:
This firm can no longer provide regulated activities and products. However, it was previously authorized by the FCA and/or PRA.
The FCA stated that Binance UK is “no longer authorized” and that “some of this firm’s activities may not be protected”. Binance Markets Limited has obtained various permissions from the FCA for services and activities it never offered. On June 7, FCA claimed that Binance UK had withdrawn its registration at the company’s request.
It is stated that the exchange is not “effectively regulated”
The FCA’s page said, “After the completion of the cancellation of the permits, the firm is no longer authorized by the FCA”. It also confirmed that “no other entities in the Binance Group have any UK authorization or registration to conduct UK regulated business.” Moreover, Binance did not have a smooth journey in the UK. As we reported on cryptokoin.com, in 2021, the FCA stated that Binance was “not being effectively regulated”. In February 2022, the FCA said it was concerned about the exchange’s deal with Paysafe, a UK payments provider.
Despite comments from UK prime minister Rishi Sunak welcoming Web3 and blockchain innovation, things have changed. The country’s banks and regulators continue to be hostile to the crypto industry. However, the company’s Chief Strategy Officer, Patrick Hillmann, thinks the UK is more favorable and forward-looking than the US. Binance also recently announced that it has withdrawn regulatory registrations from Cyprus and the Netherlands as it prepares to implement European MiCA crypto regulations.
Increasing pressure on the stock market
Earlier this month, the U.S. Securities and Exchange Commission (SEC) sued the firm over a wide variety of allegations. The regulator alleges that Binance and its CEO have manipulated the market, misled investors and regulators, and violated securities laws. However, there was a slight delay last week. A judge told the SEC that a deal would be better than freezing BinanceUS’ assets, hurting investors.
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