Binance, one of the world’s largest cryptocurrency exchanges, has made a new move in the UK. In response to evolving legal requirements in the country, it announced that it has opened a special sub-page specifically for its UK-based customers. This move aims to ensure full compliance with the UK’s updated Financial Promotion Regime, which will come into force on 8 October 2023. Here are the details…
Binance opens a new page in England
As part of its compliance efforts, Binance’s new subpage, accessible at www.binance.com/en-GB, will only serve UK residents. This regional subpage provides UK users with access to a range of services that comply with local regulations. It will also restrict certain offerings that are subject to regulatory review. Under revised UK regulations, users in the UK have access to a range of services including fiat and cryptocurrency deposits and withdrawals, spot trading, margin trading, conversions, NFT markets, crypto lending, Binance Pay and ICO platform Launchpad. will be able to access.
However, Binance users in the UK will no longer be able to access gift cards. He will also not be able to access reference websites and news aggregator Binance Feed. In particular, bonus cancellation is a feature that has attracted the attention of regulators in the UK. These referral bonuses will also not be available to UK users. It is worth noting that in June, Binance withdrew its UK-based subsidiary’s registration with the Financial Conduct Authority (FCA), and as of the last update, Binance is not authorized by the FCA. The company’s current announcement does not indicate any plans to reapply for registration in the UK. Instead, Binance chose to partner with FCA-registered firm Rebuildingsociety.com to ensure its marketing materials comply with S21 gateway rules.
What’s behind the UK regulations?
The main focus of the new UK regulations is to impose stricter limits on how cryptocurrency companies can promote their services within the country. Key provisions include the requirement for risk warnings and the ban on referral and sign-up bonuses. Violation of these rules may result in severe penalties, including potential imprisonment and fines. The expected changes to the Financial Promotion Regime will come into force today, October 8, 2023. Binance will implement service adjustments to comply with the updated regulations.
In a broader context, the steps Binance has taken in response to UK regulations are critical. Because it is part of a trend in the cryptocurrency industry. Some other leading companies such as PayPal, ByBit, Luno and NiceHash are also in trouble in this regard. Because they are trying to comply with increasingly stringent legal regulations. For this reason, there are those who are considering scaling down their services for UK users. Also those who announced that they plan to temporarily restrict their transactions. As the cryptocurrency industry continues to evolve, regulatory compliance and adaptation to local laws become important. They have become critical considerations, especially for companies operating in various jurisdictions, such as Binance.
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