UK financial supervisor asks Binance to stop 'regulated activities'

A fresh notice of the Financial Conduct Authority will remain in effect on the cryptocurrency exchange until Wednesday. After reviewing its operations by the National Financial Conduct Authority, Binance, one of the largest cryptocurrency exchanging companies in the world, was told to discontinue any regulated activity within the United Kingdom.

"Binance Markets Limited must not carry on any regulated activity in the United Kingdom," the FCA announced, adding that there are no other entities in the Binance Group that have the essential licenses for the operation of that nation.

The FCA also warned against investing in illegal exchanges in order to reproach:

"The FCA does not authorize most companies to advertise and offer investment in cryptoassets. That means you won't have access to the Financial Ombudsman or the financial services compensation scheme if things go wrong if you invest in any cryptoassets."

While the FCA does not oversee the trading of derivatives, including future contracts and options, of cryptocurrencies like Bitcoin (BTC) or Ether (ETH). The FCA's scope also applies to digital assets considered to be securities.

In a statement to the FCA on Sunday, Binance explained its organizational structure. The exchange is tweeted, adding: 'Binance Markets Ltd.' is a distinct legal business which does not sell any products and services through the Binance.com website;'

"The UK FCA notification does not have a direct impact on the http://Binance.com services."

Only one day after Binance stated that it will leave another important market, the decision by the FCA came. Users of the 15 million Canadian province of Ontario have to cancel all current positions by the end of the year.

On Friday, Binance notified its users, but did not explain any reason why Ontario was "limited jurisdiction." The Ontario Securities Commission probably had an important part in the decision, however, in a broad crypto-exchange attack.

Cryptops has reported that, for allegedly breaking the laws of securities, the OSC has initiated measures against parent firms Kucoin and Poloniex. The agency stated earlier this month that they will hold hearings for similar breaches against Bybit.

Tag :

 Britain's Financial Conduct Authority (FCA) ordered cryptocurrency exchange Binance to stop undertaking any regulated activity in the country, ...

Britain's move comes at a time when Binance is under scrutiny by regulators in other countries. ... Frequently asked questions ... largest cryptocurrency exchanges from undertaking any regulated activity in the country. ... it has removed all advertising and financial promotions, according to the FCA's register.

Share: