Binance, a cryptocurrency exchange, has been banned from functioning in the United Kingdom by the country’s markets regulator.
Binance Markets Limited, Binance’s U.K. division, “is not authorised to undertake any regulated activity in the United Kingdom,” according to the Financial Conduct Authority.
Binance was planning to build its own digital asset exchange in the United Kingdom.
It was, however, one of numerous crypto firms that withdrew their applications to register with the FCA due to non-compliance with anti-money laundering regulations.
From June 30, the company, which currently offers crypto trading to Britons via its website, must include a notice in a prominent location on its website and apps that reads:
BINANCE MARKETS LIMITED IS NOT PERMITTED TO UNDERTAKE ANY REGULATED ACTIVITY IN THE U.K. Due to the imposition of requirements by the FCA, Binance Markets Limited is not currently permitted to undertake any regulated activities without the prior written consent of the FCA. (No other entity in the Binance Group holds any form of U.K. authorisation, registration or license to conduct regulated activity in the U.K.).
“The FCA U.K. notice has no direct impact on the services provided on Binance.com,” a Binance representative said. The way we interact with our customers hasn’t changed.”
“In engaging with regulators, we take a collaborative approach, and we take our compliance obligations extremely seriously,” the representative stated. “In this new sector, we are actively keeping informed of evolving policies, norms, and laws.”
Meanwhile, China has stepped up its attempts to combat cryptocurrency speculation, ordering digital currency miners to suspend operations in a number of regions and advising banks and payment companies not to offer crypto-related services.
The FCA isn’t the only government agency cracking down on the cryptocurrency business.
Last week, Japan’s Financial Services Agency issued a warning that Binance was operating without its licence in the country.