Binance, the world’s largest crypto exchange, is encountering obstacles in its efforts to re-establish a presence in the U.K. market following the suspension of its services in the country last October, according to sources familiar with the situation as reported by Bloomberg.
The challenges stem from the U.K.’s Financial Conduct Authority (FCA) shifting its regulations concerning the promotion of crypto-related activities. Under the new rules, crypto firms must be registered with the FCA to greenlight marketing campaigns, or they must be approved by an authorized third party. Binance’s previous attempt to partner with Rebuildingsociety.com to comply with this requirement was met with resistance from the FCA, which ultimately blocked the partnership.
Since then, Binance has been actively seeking a new partner to approve its marketing services. However, at least three firms contacted by Binance have declined the offer after the FCA expressed concerns about potential partnerships with the exchange, as per information obtained by Bloomberg.
In response to these challenges, a spokesperson for Binance refuted claims that the exchange has been rejected by 21 approvers in the U.K. The spokesperson further expressed confidence that Binance will provide a “positive update soon.”
This situation sheds light on the evolving regulatory landscape surrounding crypto promotions in the U.K., as well as the complexities that crypto firms like Binance face in navigating these changes. As the industry continues to adapt to regulatory shifts, Binance’s approach to re-entering the U.K. market serves as a notable case study for the broader crypto and NFT field.
