Binance cancels registiration in the UK. Binance is making further market exits as it faces regulatory pushback from authorities worldwide. Binance Markets Limited (BML), the UK subsidiary of Binance, has officially withdrawn its registration with the Financial Conduct Authority (FCA).
Binance cancels registration in the UK amid regulatory scrutiny
Binance, the cryptocurrency exchange facing regulatory challenges, continues its withdrawal from major markets as global regulators increase their scrutiny.
Binance Markets Limited (BML), the United Kingdom-based subsidiary of Binance, has officially canceled its registration with the Financial Conduct Authority (FCA).
The FCA has stated on its website that following the deregistration, no Binance entity is authorized to offer any services in the United Kingdom.
According to the FCA, Binance’s cancellation request for BML’s permissions was completed by the authority on May 30, 2023.
The regulator emphasized in an update on June 7 that Binance is no longer authorized by the FCA as a result of the completed cancellation of permissions.
Binance’s withdrawal from the UK market through the cancellation of BML’s registration reportedly did not impact the exchange’s operations, as it had never engaged in any operational activities in the country, according to a regional manager at Binance.
Ilir Laro, Binance’s sub-regional manager for growth in the UK and Europe, argued that BML had never conducted any regulated business in the United Kingdom.
BML was successfully acquired back in 2020 by Binance Group, intended to launch a regulated business in the UK. This attempt was not successful, however, and has since then remained dormant since its acquisition.
Ilir Laro
Ilir Laro shared important information on Twitter regarding the company’s regulatory landscape. Laro emphasized that Binance currently maintains five regulated entities in Europe, operating in France, Italy, Spain, Poland, and Sweden.
He mentioned that the company is focusing on preparing for the implementation of the Markets in Crypto-Assets Regulation (MiCA) in 2024/2025, necessitating some consolidation to facilitate smooth operations and passporting across Europe.
Laro also addressed Binance’s regulatory retreats in specific countries, including Cyprus, the Netherlands, and Nigeria. The executive provided further insights into the reasons behind these retreats, suggesting that they are part of the company’s strategic response to evolving regulatory conditions.
Binance’s regulatory challenges in the United Kingdom have been well-documented. In 2021, the Financial Conduct Authority (FCA) issued an order for Binance to cease all regulatory activities in the country.
This development follows Binance’s chief strategy officer Patrick Hillmann recently expressing the company’s dedication to obtaining regulatory approval in the United Kingdom amidst ongoing issues faced by Binance in the United States.
As previously reported, Binance is currently confronted with two civil lawsuits from U.S. regulatory bodies, namely the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).
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