In very unexpected news today, the FCA has officially banned Binance, one of the world’s top crypto exchanges, from operating in the UK. The official warning included the straightforward claim that,
“Binance Markets Limited is not permitted to undertake any regulated activity in the UK… Due to the imposition of requirements by the FCA, Binance Markets Limited is not currently permitted to undertake any regulated activities without the prior written consent of the FCA”
The FCA released a consumer warning against both the Binance holdings company based on the Cayman Islands, and the London-based affiliate Binance Markets Limited, which was, until recently, supervised by the FCA.
The UK ban followed last week’s Binance ban by the Japanese financial regulator Financial Services Agency (FSA). This warning had specified that the Binance exchange was offering services without prior consent from the FSA. This was the second warning issued against the firm, the first one originating all the way back from 2018. Back then the FSA warned the crypto exchange giant that it would face criminal charges if it continued to offer unlicensed service to Japanese locals.
Yet, it is the FCA ban on the major company that is considered the most daring step against Binance.
Meanwhile, Germany’s BaFIN warned local investors that Binance had probably violated a bunch of security clauses during its stock token launch.