Some Binance activities are prohibited in the United Kingdom.

Binance's futures contracts, for example, are prohibited in the United Kingdom as of June 30.

27th of June, 2021 Updated at 13:59 UTC on June 28, 2021.

The Financial Conduct Authority of the United Kingdom (FCA) has ordered Binance Markets Limited to cease all operations in the United Kingdom. Binance Markets Limited, which is part of Binance, the world's largest cryptocurrency exchange by volume, will have to halt operations in the United Kingdom on June 30th, albeit this will not affect the services offered on Binance.com, according to the company.

Despite the fact that the FCA does not regulate "cryptoactivos such as Bitcoin or Ether," as they themselves explain, they do so with "cryptoactivos derivados" (futures, CFDs, and options, in addition to "securities"), and any company that wishes to sell these products must be authorized by the aforementioned regulatory body.

"Binance Group purchased BML in May of 2020 and has yet to launch its business in the United Kingdom or use the FCA's regulatory approvals," according to Binance. The British regulatory body has issued a statement against this business, focusing on the London and Caimán subsidiaries.

As a result, no activities conducted through Binance.com will be impacted. Binance's cryptocurrency exchange has no physical presence in the United Kingdom, thus residents of the United Kingdom will be able to continue buying and selling as usual. As a result, the United Kingdom requires Binance to state on its website that “Binance Markets Limited is not currently authorized to conduct any regulated activity in the United Kingdom,” as well as to end any public relations or financial campaign targeting British users.

Periods of regulation

What is the point of it all? The FCA has refused to give a specific reason for why they want Binance to stop operating. What is known is that they have begun an investigation into other crypto-related operations, warning that if they are not regulated, the investor will be exposed "if things go wrong," in the words of the FCA.

The British Financial Conduct Authority's decision to prohibit Binance Markets Limited's operations comes days after Japan informed the FCA that Binance was carrying out unlicensed cryptocurrency activities for Japanese citizens. In April, a regulatory body in Germany informed consumers that Binance had most likely broken some rules when conducting business.