Global Bitcoin exchange Binance continues to have problems with regulators. This time, he is trying to overcome the problems he experienced in England. Binance will stop accepting new users in the UK to comply with advertising rules.
Binance stops accepting new users in the UK!
UK regulator FCA last week restricted Binance’s local partner from approving crypto ads. Following this, according to the statement made by Binance, it will stop accepting new users as of Monday. The company stated in a blog post that it did this in order for Binance to comply with the country’s crypto marketing rules.
Companies registered with the UK Financial Supervisory Authority (FCA) can approve their own advertisements under the new regime that came into force on October 8. Otherwise, companies need to get help from authorized organizations to approve ads for them.
Bitcoin exchange made a statement on the issue
Binance partnered with a firm called Rebuildingsociety.com before the rules came into force to get their promotions and advertising approved in the UK. However, the FCA said last week that the firm had no authority to greenlight crypto advertising. Binance made the following statement regarding the issue:
We are working closely with the FCA to ensure our users are not harmed by these developments. We are also seeking to find another suitable FCA authorized firm to approve our financial promotions as soon as possible.
The company said existing UK users will continue to access the services if they complete the “Investor Declaration and Eligibility Test”. However, he noted that they will not be allowed to access any new products and services during this period.
What trouble does Binance have with regulators in the UK?
The Financial Supervisory Authority may have derailed Binance’s plans to comply with the new crypto marketing regime by imposing restrictions on the firm’s recently signed up local partner. cryptokoin.comAs you follow from , the FAC said on Tuesday last week that Binance’s UK partner was not allowed to approve crypto advertising, potentially derailing the exchange’s attempts to comply with the new marketing regime.
Last week, Binance announced a partnership with Rebuildingsociety.com. He made this move just ahead of new crypto promotion rules that went into effect over the weekend. Under the new regime, crypto firms must be registered with the Financial Conduct Authority (FCA) before they can approve their promotions and advertising. However, it allows authorized companies to approve advertisements of unregistered crypto companies. Binance, which is not registered with the FCA, has partnered with Rebuildingsociety.com. Thus, he said, the crypto firm complied with the new regime by having its communications approved. However, last Tuesday the FCA said Rebuildingsociety.com could not approve crypto advertising for firms. It also stated that it should “withdraw existing approvals for crypto promotions.” Moreover, he issued a warning about this issue. The firm has until Friday to notify the FCA in writing that it has completed the necessary steps.