Home News Binance plans to become registered UK firm despite regulatory setbacks

Binance plans to become registered UK firm despite regulatory setbacks

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Despite being told by the country’s authority to stop trading earlier this year, Binance CEO Changpeng Zhao said the exchange plans to expand to the United Kingdom in the next six to 18 months.

In June, the Financial Conduct Authority (FCA) of the United Kingdom removed Binance’s permission to trade in the country, as part of a sweeping regulatory crackdown on cryptocurrency exchanges. Binance is one of the largest cryptocurrency exchanges in the world.

The platform must adhere to money laundering and terrorist financing rules in order to become a registered crypto-asset firm in the United Kingdom. To meet these regulations, Zhao stated that the company was considering forming a separate company to operate in the United Kingdom, similar to Binance.US.

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Diligent efforts to improve relationships with international regulatory organisations

Binance aims to apply for an FCA licence, according to Zhao. Who told the Telegraph on December 4 that the company has employed “a number of ex-regulatory people from the UK”. Since the FCA notification in June, and a “couple of hundred compliance staff”

The crypto exchange giant appointed the former head of international relations at the Dubai Financial Services Authority (DFSA) as its top regulatory liaison officer in October. In order to help improve relationships with international regulatory organisations.

Zhao also stated that the platform is “completely re-engaged” with authorities. Additionally, we are working on “a lot of very important reforms” in “product offerings, internal processes. As well as the way we operate with regulators”.

Larger plans to meet the regulators scrutiny standards

Binance could offer products like futures and derivatives in the United Kingdom if the FCA gives its approval. As regulators increased their scrutiny, Binance said in September that Australian customers would have 90 days to liquidate their bets in futures, options, and leveraged tokens.

Binance had already banned futures trading for users in Germany, Italy, and the Netherlands. As part of a larger plan to stop supplying these products in Europe.

The FCA issued a supervisory warning in August, noting that it was “unable” to effectively supervise Binance. Because it had not responded to questions about its headquarters.

The exchange has disputed all claims of market manipulation. However, it continues to encounter opposition from a number of countries, including Germany, Malaysia, and South Korea.

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