Cryptocurrency exchange Binance is scaling back its operations in key markets in the face of increasing scrutiny from regulatory bodies across the globe, with its United Kingdom subsidiary, Binance Markets Limited (BML) having formally withdrawn its registration from the United Kingdom’s Financial Conduct Authority (FCA).
This withdrawal signifies that, as of now, no Binance company is permitted by the FCA to offer services within the U.K., as mentioned on the FCA’s website.
The FCA completed Binance's deregistration process on May 30, 2023, after Binance submitted a request for the cancellation of BML’s permissions.
In a statement dated June 7, the FCA announced, “Following the completion of the cancellation of permissions the firm is no longer authorized by the FCA.”
Interestingly, the deregistration of BML does not affect Binance's operations since it had not initiated any operations in the U.K., according to a regional manager at Binance.
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Binance’s sub-regional manager for growth in the UK and Europe, Ilir Laro, said BML had not undertaken any regulated activity in the United Kingdom.
“BML was successfully acquired back in 2020 by Binance Group, intended to launch a regulated business in the U.K. This attempt was not successful, however, and has since then remained dormant since its acquisition," he said.
Furthermore, Laro shared insights on Twitter, indicating that Binance continues to maintain five regulated entities within Europe, in countries such as France, Italy, Spain, Poland and Sweden.
“As MiCA kicks into force in 2024/5, we are moving focus to getting ready which means some consolidating in order to passport throughout Europe,” Laro stated.
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