Barclays customers in the UK will no longer be able to send funds to Binance after the bank has suspended credit and debit card transactions on the exchange indefinitely, according to recent reports. The apparent ban comes roughly two weeks after the UK’s Financial Conduct Authority (FCA) stated that Binance Markets Limited, the company’s UK branch, does not have the necessary authorization to conduct crypto operations in the country.
Binance & The FCA: Where everything is
The Barclays UK Help Twitter page routinely replies to frustrated consumers Copy and paste language it says: “It is our responsibility to protect your money. With this in mind, we made the decision to suspend credit / debit card payments to Binance until further notice in order to keep your money safe. ”The account also redirects users to the FCA homepage for more information.
The exchange had been instructed by the FCA in recent weeks to cease crypto-regulated activities in the country by June 30 at the latest; While generic crypto assets are not regulated, surrounding trading products such as futures and options are regulated in the UK.
The FCA is a regulator that is a financial regulator but is also independent from the UK government. As part of a broader statement, the FCA also showed widespread concern about the crypto exchanges as a whole; The watchdog gave the exchange six weeks from the date the letter was publicly issued to remind customers how their money is protected and to send a clear message that regulatory protections do not apply to them. Accordingly, a number of exchanges such as Coinbase and Uphold have issued publications to their UK clients.
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It’s difficult to pinpoint the next steps for Binance both in the UK and globally. The UK joins a growing list of countries that Binance has studied or studied, including the US, Japan, Thailand and Canada. The company also had its headquarters relocated significantly before finally concluding that it was a “decentralized” company with no corporate headquarters.
The FCA has only approved five crypto companies to date, and while Binance applied for inclusion on that list last year, the company reportedly withdrew its own application after “deep engagement” by the FCA. Responding to the FCA’s disappointment with the watchdog’s decision, Binance stated that compliance and regulations remain a focus for the company, noting that Binance and Binance Markets Limited are separate legal entities.
The global exchange could likely face increased pressure from traditional UK institutions, but it remains to be seen what long-term and lasting impact the regulatory scrutiny – in the UK and beyond – will have on Binance’s broader operations.
Binance's native token BNB has stayed surprisingly resilient in recent months relative to the broader market, despite increased scrutiny from regulatory bodies. | Source: BNB-USD on TradingView.com
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