Regulators in Great Britain recently came out with bad news for Binance. It is the top digital currency exchange platform globally. They said Binance cannot carry out regulated operations within the country’s jurisdiction. Furthermore, Britain gave an alert to clients in regard to the exchange platform. Since it is under thorough scrutiny in the whole world.
This notice was from late June. The financial regulator FCA (Financial Conduct Authority) stated this jurisdiction for the platform. As it was the only permitted financial platform in Great Britain. They said Binance “should not” take part in their regulated operations unless permitted. This decision will solely be from the Financial Conduct Authority. To continue, they must provide written consent to the regulatory body. That is if they seeking a further grant to continue with the regulated activities. Besides, the FCA gave an alert to all Binance clients. Regarding the Binance Ventures and any other body operated by the financial entity.

Binance Responds

A recent report came from the exchange platform. It says the markets introduced in the year 2020 weren’t making use of the regulatory permits. Also, Binance said that this is a systematic plan by the regulator. It is to interrupt its normal programs. But it wouldn’t affect the services given by them. They are also considering taking collaborative approaches in teaming up with FCA. Since they do take compliance procedures with a lot of seriousness. Binance spokesman said the firm is active in retaining the variable policies. They are in parallel, working on related terms in the brand-new crypto world.
Looking back in the previous year, Binance gave an announcement. They stated about the purchase of a firm that is FCA authorized. Therefore, it considered using it to give the virtual coins services. This firm mostly incorporates in euro and pound currencies.

Getting Authorized

Digital currency investment doesn’t have direct trade regulations in the United Kingdom. As a result, the giving of crypto-related derivatives doesn’t necessarily need authorization. The Financial Conduct Authority missed these facts. Instead, the regulator issued a harsher requirement to the exchange platform. By the end month, Binance creates and displays a statement on their official website. They also have to state this message on their social platforms. The statement is, “The Binance Markets Ltd isn’t Permitted. This is to Undertake any Regulated Activity in the United Kingdom”.
Hitting hard on the exchange platform, the financial regulator added more requirements. The exchange platform has to retain full records concerning the UK customers. The crypto exchange will also have to notify the Financial Conduct Authority. These records have a submission date of early July 2021.

No Explanation

Even with these restrictions, the financial regulator did not offer an explanation. So, it’s hard to say why such moves were necessary. People from other nations can still access Binance’s services with no interruptions. Recently, we have seen FCA and other financial regulatory bodies scrutinize globally. They are trying several exchange platforms to curb fraudulent transactions in this sector.
Kayla Turner
Kayla Turner

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