64 UK cryptocurrency companies withdraw their application with FCA
More and more crypto companies in the UK are withdrawing their applications from the Financial Conduct Authority (FCA). About 64 companies have withdrawn their applications and are unable to operate in the UK, including Binance.
64 British crypto firms have withdrawn their applications from the FCA
According to Reuters, Reuters reported on Monday that the list of crypto companies refusing to register with the UK Financial Regulator has grown to 64.
According to current cryptocurrency regulation, the Financial Conduct Authority (FCA) is responsible for ensuring that crypto companies comply with anti-money laundering and terrorist financing laws.
Companies wishing to offer crypto-related services in the UK must register with the FCA before doing business.
An FCA spokesman said Monday that registration data showed the number of companies withdrawing applications had increased 25% in less than a month.
The spokesman said about 64 companies withdrew their applications, up from 51 in early June.
So far, only six companies have successfully registered with the FCA, the release said, adding that dozens more are being assessed but have not yet been deemed “fair and appropriate”.
64 UK crypto firms have withdrawn their applications with the FCA, including Binance
Since January, cryptocurrency-related companies have been required to register with the FCA, which oversees compliance with anti-money laundering and terrorist financing laws, before they can conduct business.
However, around 64 people withdrew their applications, up from 51 in early June.
The Financial Conduct Authority (FCA) banned Binance, one of the world’s largest cryptocurrency exchanges, from any regulated activity in the UK as a regulator on Friday. Regulators around the world are strengthening oversight of the cryptocurrency sector.
Subscription data shows registrations have skyrocketed a quarter in less than a month, an FCA spokesman said Monday, adding that Binance withdrew its application in mid-May without giving further details.
A Binance spokesperson declined to comment, but said the company had worked closely with regulators and law enforcement agencies “to improve industry safety and sustainability while providing services and the best protection to our users.”
The FCA’s move comes as regulators around the world scrutinize the crypto sector. Their concerns include potential use for money laundering and other illegal activities, as well as risks to consumers.
Binance, operated by the Canadian Changpeng Zhao, is one of the most important players in the crypto world. It offers services ranging from digital token trading to derivative products, as well as emerging technologies like cryptographic versions of stocks.
However, Binance has been targeted by regulators around the world in recent months.
The Japanese regulator said Friday that Binance was operating illegally in the country, a notice posted on the Japanese financial services agency’s website showed.
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