TL; DR Breakdown
- Binance wants UK license despite regulatory concerns
- The exchange plans to set up a physical branch in the UK
- Binance continues to face regulatory issues from regulators worldwide
With crypto attaining mainstream adoption, there has been a rise in the influx of crypto exchanges. While others are focused on breaking into the sector, other established crypto exchanges are trying to expand their base of operations. One such entity is Binance, a firm that is presently considering expanding its services across the United Kingdom. This recent move is coming after regulators instructed the crypto exchange to close its operation in the country and seek solace abroad.
Binance plans to set up a physical branch in the UK
According to Changpeng Zhao, if the exchange wants to expand its services in the United Kingdom, it needs to actualize the dream next year. Binance was one of the few crypto exchanges that the Financial Conduct Authority of the United Kingdom serviced with an order to suspend services back in June. The move was part of a bigger plan to push crypto exchanges out of the country and where to start, if not with one of the biggest crypto exchanges in the world.
The United Kingdom previously spelled out the basic guidelines that crypto exchanges must follow if they went to be awarded a license of operation across the country. Some of the few guidelines include following anti-money laundering and terrorist financing laws. To abide by these rules, the exchange is presently considering setting up a physical arm of the company in the United Kingdom. The crypto exchange previously did this with its Binance.US branch in the United States.
Binance continues to face regulatory issues worldwide
According to a Zhao statement to the media, after the FCA served the country in June, Binance has gone on a hiring spree. Presently, Binance has staffs that are sound in the regulatory practices in the UK, among others in its ranks. Binance also announced hiring a new executive to help the company oversee issues like this in all of its branches across the world.
The founder also mentioned that the exchange is still in close communication with the regulatory body, and traders could witness a huge change in the services listed on the website. Binance is open to providing United Kingdom traders with services like Futures in the coming months. Regulators in Australia have continued to clamp down on the operations of the exchange across the country. This has pushed the company to inform all traders to close their positions across all trades on the platform.
In Europe, the exchange has suspended parts of its operations across Italy, Germany, and a few countries due to regulatory problems. The FCA put a final blow on the crypto exchange’s ambitions after announcing that its executives have not visited to finalize its regulatory issues. Although Binance is still holding its position of doing things ccording to regulation, it faces stiff rejection from most countries worldwide.