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RRUPDATES📍: Binance Halts New User Registrations in the UK to Align With Advertising Regulations
In response to regulatory constraints imposed by the UK's Financial Conduct Authority (FCA), Binance, the renowned cryptocurrency exchange, announced its decision to suspend the onboarding of new users from the UK starting Monday.
The R Roundup
October 17, 2023
RRUPDATES📍: Binance Halts New User Registrations in the UK to Align With Advertising Regulations 🇬🇧
In response to regulatory constraints imposed by the UK's Financial Conduct Authority (FCA), Binance, the renowned cryptocurrency exchange, announced its decision to suspend the onboarding of new users from the UK starting Monday.
The move is a proactive measure to ensure compliance with the country's recently enacted cryptocurrency marketing regulations. Binance confirmed this strategic shift in a blog post, elucidating the reasons behind this decision.
Under the updated regulatory framework, which became effective on October 8th, companies registered with the FCA have the authority to approve their own advertising campaigns. Alternatively, they can employ authorized entities for the approval of their advertisements. Binance had previously established a partnership with Rebuildingsociety.com to secure approval for its promotional content and advertisements in the UK.
However, the FCA's recent announcement revealed that Rebuildingsociety.com lacked the necessary authorization to greenlight cryptocurrency-related advertisements.
In response to this development, Binance swiftly engaged with the FCA, emphasizing their commitment to ensuring the security and well-being of their user base.
The exchange expressed its dedication to collaborating closely with the FCA to mitigate any potential impact on its users. Binance also assured its existing UK-based users that their access to services would continue, provided they had completed the "Investor Declaration and Appropriateness Test."
However, these users would not be able to avail themselves of any new products or services during this period of adjustment, as clarified by the company.
This strategic decision underscores Binance's dedication to regulatory compliance and user protection. The exchange is actively exploring avenues to secure a partnership with an FCA-authorized firm swiftly, allowing them to resume their financial promotions in the UK as soon as possible.
The move aligns with Binance's commitment to maintaining the highest standards of integrity and regulatory adherence in its operations, ensuring a secure environment for its users amidst evolving regulatory landscapes.
As a reminder, this is not a trading signal or investment advice; it is an opinion, and each trader/investor should know and understand the risks of trading cryptocurrencies.
This should not be regarded as financial advice; feel free to familiarise yourself with our NFA disclaimer.
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