Crypto exchange Binance is having difficulty re-establishing its operations in the United Kingdom due to the need for FCA-approved partner firms, according to Bloomberg. The Financial Conduct Authority's requirements demand an authorized approver for financial marketing, which ensures compliance. Binance lost its U.K. partner, REBS, in October because of FCA limitations.
At least three organizations with regulatory approval have reportedly declined Binance. Allegedly, there are raising concerns among businesses eager to collaborate. However, Binance denies having difficulty obtaining clearance. Despite continuous discussions with potential partners, there has been no confirmation of development.
In May 2023, Binance canceled its registration with the FCA through its company, leading to the absence of FCA-authorized Binance services in the United Kingdom. These setbacks have been attributed to the platform's overseas issues.
Last June, the US SEC filed a lawsuit against Binance and its ex-CEO, Changpeng Zhao, alleging unregistered securities and wash trading. Zhao pleaded guilty to breaking anti-money laundering rules, resigned as CEO, and settled with the US Department of Justice for $4.3 billion. His sentencing is scheduled for late February.
