According to a report by Decrypt, Binance has been told by Britain’s financial authority to cease all regulated activities in the UK.
Additionally, the watchdog has issued a warning to anyone who may be considering entering the cryptocurrency market, urging them to be cautious of claims of large profits.
Binance CEO, according to an earlier statement, has said that the business is “highly regulated.”
Binance’s Confusing Ban in the UK
The country’s main financial regulator, Britain’s Financial Conduct Authority (FCA), stated Binance would not be able to operate in the UK, although crypto traders may continue to utilize the exchange.
The UK’s financial regulator has warned that unregulated cryptocurrency exchange Binance must get its permission to operate in the country.
The UK’s Financial Conduct Authority (FCA) said Binance Markets Limited was unable to engage in any regulated activity unless given permission by the FCA.
Binance Group, which operates the world’s biggest cryptocurrency exchanges, has a business entity called Binance Markets Limited, which serves as a marketing arm.
The agency also issued a warning to anyone who may consider investing in cryptocurrencies. It recommended people exercise caution while looking at advertisements on the internet and on social media for investment opportunities in crypto assets, cryptocurrency, or cryptocurrency-related goods.
While Binance only has a single incorporated entity in the UK, Binance Markets Limited, the restriction solely applies to that entity (despite plans to do so).
The spokesman made it clear to Decrypt that “UK customers may keep trading with Binance Group,” which includes Binance International, a larger grouping of Binance-owned businesses that has no headquarters. As a result, Binance clients in the UK may conduct regular trading on the platform—there are no differences.
Binance, which doesn’t provide derivatives or margin trading to customers in the UK because of the prohibition on such activities by the FCA, nonetheless offers these features to UK customers because of this difference.
How do you feel about Binance’s business restrictions in the UK?