The UK is tightening its regulations on cryptocurrency trading by issuing warnings about cryptocurrency investments being offered by web-based companies. The Financial Conduct Authority (FCA) specifically made mention of Binance, a leading cryptocurrency exchange site.
Apparently it has come to the attention of the UK FCA that a Binance website is offering cryptocurrencies as a form of financial investment along with enticements for high yields.
According to the FCA, Binance Market Limited, a member of the Binance Group, has not been granted any written authorization to carry out regulated financial activity in the country. In fact the warning mentioned that most firms that are into selling cryptocurrencies as investments, have not been granted written permissions to participate in the country’s regulated industries.
The FCA also warned UK consumers who still insist in buying cryptocurrencies for investment purposes, that they cannot bring complaints of unfair investment deals to the Office of the Financial Ombudsman Service; nor be able to access the Financial Services Compensation Scheme.
Barclays Pays Heed, Suspends All Card-Facilitated Payments to Binance
In line with the warning issued by the FCA to UK consumers about the Binance Group’s lack of authorization, Barclays has suspended processing of all credit and debit card payments for the Binance Group of companies.