The exchange’s CEO has said that it intends to expand to the United Kingdom over the next six to 18 months, despite being told by the country’s regulator to halt trading in June.
Binance CEO Changpeng Zhao said that the exchange plans to expand to the United Kingdom over the next six to 18 months, despite the country’s regulator ordering the exchange to halt trading earlier this year.
The Financial Conduct Authority (FCA) of the United Kingdom (UK) suspended Binance’s ability to trade in the country in June, as part of a comprehensive regulatory crackdown on cryptocurrency exchanges. Binance is one of the biggest cryptocurrency exchanges in the world.
To be recognised as a crypto asset business in the United Kingdom, the platform must adhere to anti-money laundering and counter-terrorist financing regulations. Zhao noted that the business was contemplating establishing a separate corporation to operate in the United Kingdom, similar to its Binance.US subsidiary, to fulfil these criteria.
Zhao told the Telegraph on Dec. 4 that Binance intends to seek for an FCA licence after hiring “a lot of ex-UK regulatory professionals” and “a couple of hundred compliance people” after the FCA notice in June.
In October, the cryptocurrency exchange giant appointed the former director of international relations at the Dubai Financial Services Authority (DFSA) as its top regulatory liaison officer, with the goal of improving cooperation with foreign regulatory agencies.
Zhao further said that the platform has “completely reengaged” with authorities and is in the midst of implementing “a number of very significant reforms” to its “product offerings, internal procedures, and the way we operate with regulators.”
Binance might provide products like as futures and derivatives in the United Kingdom if the FCA approves. Binance said in September that Australian customers will have 90 days to liquidate futures, options, and leveraged token holdings as authorities increased their scrutiny.
Additionally, Binance already banned derivatives trading for customers in Germany, Italy, and the Netherlands as part of a larger strategy to discontinue selling these products across Europe.
The FCA issued a supervisory warning in August noting that it was “unable” to adequately supervise Binance due to the company’s failure to respond to inquiries concerning its headquarters.
Although the exchange has disputed all claims of market manipulation, other countries, including Germany, Malaysia, and South Korea, continue to oppose it.
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