In accordance with the new Financial Conduct Authority (FCA) requirements in the United Kingdom, leading crypto exchanges Binance and OKEx have adjusted their operations to comply.
Binance UK, the UK-based arm of the prominent crypto exchange, announced that it is halting its services for British customers on Monday, 1 February. Binance UK cited the new FCA requirements set out on 9 January causing the suspension of its services, which include crypto-to-fiat, crypto-to-crypto, and margin trading. The adjustments to operations are effective immediately.
OKEx, another leading crypto exchange, had also taken steps prior to the FCA order to make sure its operations were compliant on the UK market. The exchange had announced on 27 January that it will suspend its services for UK customers effective from 1 February.
These new requirements from the FCA provide greater security to digital asset investment activities, providing clearer guidance to investors upon entering a crypto asset-related activity within the UK. The newly revised regulations focus heavily on Anti-Money Laundering (AML) and Counter Terrorism Financing (CTF) rules, increasing monitoring standards to verify individuals’ identities and their sources of funds.
Going forward, crypto exchanges in the United Kingdom will be required to gain authorization from the FCA to offer their services to customers. Anyone who fails to comply with the new requirements could face criminal sanctions.
