Financial Conduct Authority sanctions Binance cryptocurrency exchange
UK regulator continues its battle against cryptocurrency with ominous warning for consumers
The UK Financial Conduct Authority (FCA) has delivered a blow to the cryptocurrency bubble after banning Binance from operating in the country.
Binance, the world’s biggest cryptocurrency exchange, has been blacklisted by the FCA and is forbidden from undertaking regulated activity in the UK.
Binance must now ask the FCA for prior written consent before being permitted to undertake any regulated activities in the UK.
No other entity within the Binance Group currently holds any form of UK authorisation, registration or licence to conduct regulated activity.
Binance said the FCA’s ruling would have no “direct impact” on its services provided from its Binance.com website as it is not UK-based, meaning there will be no impact on UK residents who use the platform.
The FCA said: “You should do further research on the product you are considering and the firm you are considering investing with. Check with Companies House to see if the firm is registered as a UK company and for directors’ names. To see if others have posted any concerns, search online for the firm’s name, directors’ names and the product you are considering.
“Always be wary if you are contacted out of the blue, pressured to invest quickly or promised returns that sound too good to be true.”
In January, the FCA said crypto investors “should be prepared to lose all their money” if they continue to plough funds in the volatile digital currency.