Major Cryptocurrencies Including Bitcoin, Ethereum, Unfazed As UK Regulators Ban Binance

Top line

The UK’s financial regulator has banned Binance from operating in the country, joining Canada and Japan this weekend as the third major market causing trouble for the world’s largest cryptocurrency exchange as regulators around the world are cracking down on the industry.

Binance has been reprimanded by the FCA

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Highlights

The British Binance entity is not permitted to conduct “any regulated activity in the UK,” the Financial Conduct Authority said, ordering it to remove all promotions and advertisements before close of business on Wednesday and display a prominent notice on his website saying he is not allowed to work in the UK

While the FCA, and the UK as a whole, do not regulate cryptocurrencies, it does require exchanges to be registered in order to operate, which means companies must comply with anti-money laundering measures. silver.

Binance, which withdrew its registration request last month, mentionned the FCA’s opinion has “no direct impact on the services provided on Binance.com,” which is operated by a separate legal entity, adding, “we take our compliance obligations very seriously.”

This is the latest setback for Binance following its exit from Ontario, the populated province of Canada, this weekend and received a scathing rebuke on Friday from the Japanese financial regulator, who warned the exchange it was not. not authorized to operate in the country.

Despite the FCA ban, the market is largely unfazed and the two major cryptocurrencies, bitcoin and ethereum, have risen by around 4% and 9% in the past 24 hours.

Other major cryptocurrencies also rose on Monday, with Ripple’s Cardano, Dogecoin and XRP all surging around 4-5% in the same time frame.

Key context

Binance is fighting fires in markets around the world as regulators work to curb the burgeoning crypto market, driven by a desire to protect consumers and prevent financial crime. In the United States, Binance is under investigation by the Department of Justice and the Internal Revenue Service over concerns that the platform may be used to conceal illegal transactions or evade the tax authorities. China has been particularly strong in cracking down on financial institutions trading in digital assets and cryptocurrency mining, motivated by environmental concerns and a desire to promote financial order.