New Delhi: Aiming to tighten the noose on the crypto currency market, the UK financial watchdog has banned Binance Markets Ltd from engaging in any regulated business in the country amid a global crackdown in the crypto industry.
This is one of the most significant moves ever as the government has come down heavily on the crypto currency markets.
According to the Register of Financial Conduct Authority, the company has been given until June 30 to confirm that it has removed all advertising and financial promotions. As reported by Bloomberg, the exchange must also clarify on its website, social media channels and all other communications that it is no longer permitted to operate in the UK, with the current order allowing Binance Markets to cease UK operations without prior written consent. Prevents restarting.
Why is the ban important for crypto markets?
c– The world’s largest crypto exchange by reported turnover- the FCA specifies that notices should be on Binance.com and on communication channels including the Binance mobile and desktop applications.
Binance Markets “does not offer any products or services through the Binance.com website,” the global crypto exchange said on Twitter. “Binance Group acquired BML May 2020 and has not yet launched its UK. Trade or exercised its FCA regulatory permissions.”
“The FCA UK notice has no direct effect on the services provided Binance.com. Our relationship with our users has not changed.”
The move draws attention to a regulatory action on the cryptocurrency market due to its potential involvement in money laundering and fraud. According to the watchdog, following “intense engagement with the FCA”, Binance withdrew an application related to 5MLD – an anti-laundering directive – stating that the action was on the train for some time.
On Monday, bitcoin was trading up 5.1 percent at $35,309 as of 7:19 am in Hong Kong. The movement of crypto often points to tough regulatory action as a sign that the market is maturing where there is the potential for a more robust safety net that could attract investors to enter the space.
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