In June 2021, Financial time reported that the UK’s Financial Conduction Authority has been banned in the major crypto exchange Binance. This leads Cryptocurrency to face another roadblock in its quest for government recognition. It includes banning Cryptocurrency Exchange Binance in conducting regulated activities around the country. Also, Binance Markets are now limited and its parent Binance Group.
Cryptocurrency is a digital asset that is designed for work that involves medium exchange wherein individuals coin ownership records. But when cryptocurrency is minted or created prior to issuance or issued by a single issuer, it generally means centralized.
In the past years, Binance has been one of the largest crypto exchanges on the planet, with its locations around the world and industry-leading. With a trading volume of about $2.46 trillion as of May 2021.
The Watchdog just noted “imposition of requirements” and didn’t say anything about being blocked by Binance, keeping Binance from operating. They only have until June 30th to confirm that it’s honoring the FCA’s demands.
FCA said in a statement Saturday “No other entity in the Binance Group holds any form of UK authorization, registration or license to conduct a regulated activity in the UK,” the statement continued.
We have asked Binance for comment but they also said it took regulatory obligations “very seriously” and was “committed” to honoring the rules wherever it operated. As their spokesperson says “We take a collaborative approach in working with regulators and we take our compliance obligations very seriously. We are actively keeping abreast of changing policies, rules, and laws in this new space“.
Now that FCA’s crackdown makes its limit in trading in a major market but hurts the company’s reputation. There is still no clear solution on how Binance can address this kind of situation. It makes a little pressure but they need to act quickly.