Britain bans cryptocurrency trading platform Binance!

Photo Credits : Binance

The British financial regulator has ordered Binance, a cryptocurrency exchange platform that is among the largest in the world, to stop all regulated activities, joining austerity measures in Japan and Germany.

Binance Markets, the British branch of Binance, “must not carry out any regulated activities without the written permission of the FCA … and the decision takes effect immediately,” the financial services agency FCA announced on Sunday.

Binance did not respond to a request to comment on the announcement yesterday.

Cryptocurrency trading in the UK is not directly regulated, but platforms must obtain licenses for services such as trading cryptocurrency derivatives.

The FCA has ordered Binance to post a notice on its website and social media channels by June 30 that “Binance Markets is not allowed to conduct regulated activities in the UK.”

The platform must also keep complete records relating to UK consumers and notify the FCA by 2 July that it has implemented that order.

The regulator did not explain why it took action against Binance, who said earlier that it takes its legal obligations “very seriously” and cooperates “with regulators and law enforcement agencies.”

The FCA has tightened its oversight of cryptocurrency trading, which has become hugely popular, both in Britain and around the world.

As of January, the UK regulator requires all companies offering cryptocurrency-related services to register and prove they comply with anti-money laundering laws.

In early June, they announced that only five companies had registered and that most had not yet complied with their requirements.

The Japanese regulator announced on June 25 that Binance in Japan operates outside the law, according to a notice posted on the website of the Japan Financial Services Agency.

Bloomberg reported in May that the U.S. Department of Justice and tax officials investigating money laundering and tax violations were gathering information from individuals who have insight into Binance’s business, according to Reuters.

In April, German financial regulator BaFin warned Binance that it faces a fine for offering cryptocurrencies to investors without a prescribed prospectus.

By: Olivia J. – Gossip Whispers