Binance is not Capable of Being Supervised Properly, Says UK Financial Watchdog

Binance is the largest cryptocurrency exchange platform in the world. Recently, the crypto exchange came under fire by the authorities of several countries over trade and stock regulations. One such jurisdiction is where Binance is facing legal pushback in the United Kingdom. Two months ago, the Financial Conduct Authority (FCA) issued a warning for the investors stating that Binance is a non-compliant cryptocurrency trading service provider.

The FCA also imposed a few restrictions on Binance users under the pretense that Binance does not have permission to undertake any regulated activity in the United Kingdom.

At the same time, legislators in the UK were considering different cryptocurrency platforms and planning to introduce more stringent regulations for virtual currency trading overall. However, the dark clouds now seem to be parting from Binance as new announcements seem to declare Binance free from all charges.

Binance has Taken Every Step to Compliant with Regulatory Authorities

As soon as FCA issued warnings against Binance, the Binance officials addressed the issue and responded that no cryptocurrency derivatives are traded within the United Kingdom. As per the FCA authorities, Binance couldn’t conduct any trading business without expressed consent from the federal watchdog. However, as per Binance management, no services for the users in the UK were changed or altered.

During the same time, Binance was also facing regulatory pushback from other western and European countries. Recently, FCA has issued a new directive that absolves Binance from all charges claiming that the problems are handled by the authorities. The updates post on the official site of FCA declares that all the legal and regulatory requirements imposed on Binance by FCA have been met by Binance.

Changpeng Zhao is Binance’s CEO who remarked a few days ago that he is prepared to step down from his post to make way for someone who can make the platform more regulatory friendly. He recently took to Twitter to share the good news about settling down issues with the FCA and informing the consumers in the UK that they can keep using the platform without any hesitation.

This new development is a result of Binance making important changes in the board and adding many regulatory compliance clauses. The federal authorities in the UK were unable to introduce a generalized framework for cryptocurrency regulations thus far. However, the FCA has declared that all the issues with Binance have been solved, keeping in mind the mandatory KYC compliance introduced by Binance.