Binance is ‘unlicensed’ by the Financial Conduct Authority (FCA) after deregistration in the UK

Binance has been forced into defense mode following a lawsuit filed by the US Securities and Exchange Commission (SEC). Binance recently decided to cancel its registration in the UK due to the current scrutiny by regulators. A week ago he lost his license in the Netherlands and received a lawsuit in France… He still has licenses remaining in several European countries but could this be a new trend?

The SEC lawsuit seems to have opened Pandora’s box and many regulators have decided to condemn Binance for its practices. Since the fall of FTX, Changpeng Zhao, founder and CEO of Binance, has decided that they will clearly work with regulators around the world. However, it seems that regulators have found loopholes in Binance’s operation within their jurisdictions and now Binance is forced to defend itself.

Binance has decided to cancel its registration with the Financial Conduct Authority (FCA), a UK regulatory body. Binance Markets Limited (BML), the UK-based subsidiary of Binance, has officially canceled its registration with the Financial Conduct Authority (FCA). After this FCA decision Comment That Binance is no longer authorized to provide the service in the United Kingdom.

“After completing the revocation of permissions, Binance is no longer authorized by the Financial Conduct Authority (FCA).”

Binance downplays the importance of deregistration in the UK

Ilir Larue, sub-regional growth director for UK and Europe at Binance, argued as much BML has never done “any type of regulated business” in the UKAdding:

“BML was successfully acquired in 2020 by Binance Group, with the aim of launching a regulated business in the UK. However, this attempt was not successful and it has remained inactive since its acquisition.”

LaRue He confirmed Since Binance already has 5 fully regulated entities (France, Italy, Poland, Sweden and Spain) it seeks to “unite ourselves to pass through the whole of Europe”.

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Europe starts attacking Binance

Last week, Binance took some hits in Europe. Regulators in the Netherlands did not grant a VASP license to Binance and thus immediately shut down its services in the country.

On the same day, France’s Financial Judicial Investigation Service opened a file against him for allegedly failing to comply with its obligations regarding “Know Your Customer” procedures, in Spanish.

At present, no initiative has emerged against it in Italy, Poland, Sweden or Spain, so its European regulatory umbrella remains intact.

Disclaimer

Disclaimer: In compliance with Trust Project guidelines, BeInCrypto is committed to providing unbiased and transparent reporting. This news article aims to provide accurate and timely information. However, readers are advised to independently verify the facts and consult a professional before making any decisions based on such content.

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