Cryptocurrency Crackdown: FCA Bans Binance Exchange Platform in the UK

The Financial Conduct Authority (FCA), announced that, Binance Market Limited, or the world's largest cryptocurrency exchange platform from undertaking any regulated activity in the UK without any prior written consent of the FCA on Saturday. FCA has also stated that people, who are interested in cryptocurrency should be careful of the advertisements related to the high ROI on cryptocurrency assets. The primary reason is that the Binance exchange platform is not registered with the FCA. The regulatory authority of the UK has also mentioned that the Binance Group does not hold any form of authorization, registration, or license for any financial activity in the UK. It has also ordered the Binance Group to take down all the promotions by Wednesday, 30 June 2021.

This is not the first-time ban for the Binance exchange platform from one country. Being the world's biggest cryptocurrency exchange platform, the group has faced severe issues with the US, Canada, Germany as well as Japan. Binance was founded by a Canadian-Chinese developer known as Changpeng Zhao. Now, he is required to follow the strict instructions provided by the FCA and other regulatory authorities.  The Binance Group is based in the Cayman Islands while the Binance Market Limited is a London-based affiliate. The Binance Group is not concerned with this ban because the ban did not have any direct effect on the Bitcoin price.

FCA has granted temporary registration to the multiple firms that are dealing with cryptocurrencies till July. But this is a signal that all the regulatory authorities across the world are keeping an eye on the cryptocurrency market for a mission— cryptocurrency crackdown over concerns with money laundering or cyberattacks to the investors. The FCA is focused on the unusual activity from the Binance Market— the world's largest cryptocurrency exchange platform applied to become a registered company in the UK but withdrew the 5MLD application after some time due to not meeting anti-money laundering requirements.

Binance is the world's largest cryptocurrency exchange with an average daily volume of 2.0 billion, more than 1.4 million transactions per second as well as offers products like Binance Exchange, Binance Academy, Binance Charity Fund, Binance Card, Binance Labs, Binance Launchpad, Binance Research, Trust Wallet as well as NFT.