Obike Favour Obike Favour 06.12.2021

Binance Plans to Become Registered in the UK in the Next 6-18 Months

Leading cryptocurrency exchange, Binance is planning to forge ahead with its expansion into UK markets in the next six to 18 months, following previous regulatory issues it had with the country's regulatory bodies.

During an interview with the Telegraph, the company's CEO, Changpeng Zhao, popularly known as CZ, revealed that Binance would be applying for a license with the Financial Conduct Authority (FCA).

The Binance boss noted the exchange intends to become a fully registered crypto services provider in the UK, which entails that it abides by money laundering and terrorist financing controls within the next six to 18 months.

He said, "We're fully re-engaged here. We're making a number of substantial changes in organizational structures, product offerings, our internal processes, and the way we work with regulators… We want to continue to establish a presence in the UK and serve UK users in a fully licensed and fully compliant manner."

CZ hinted that to meet these requirements, Binance is considering setting up a separate company to focus on serving UK customers, just like it did with its Binance US arm.

CZ noted that Binance has been stepping up its compliance procedures and hiring several ex-regulatory staff from the UK ever since the FCA issued a warning that it was not authorized to provide its services in the UK.

"Our team has definitely had very positive interactions with the FCA since then, we requested in-person meetings as soon as we saw that notice. So that communication is definitely happening."

Binance to Offer Derivatives Trading in the UK

Additionally, CZ indicated that the exchange is actively making a series of changes in its product offerings and intends to provide UK customers with a wider array of its crypto products and services.

He added that Binance is ready to offer UK clients several more complicated financial products, including futures and derivatives trading services once it receives approval from the FCA.

For a long time, the UK government has refused to recognise cryptocurrencies and other crypto-related products as financial instruments.

Binance hopes to break through the country's somewhat strict stance on cryptocurrencies and establish its brand there.

Several high-profile individuals in the country have recently spoken up regarding the regulation of crypto in the UK.

Just last week, ex-chancellor Phillip Hammond, opined that crypto could give London a huge post-Brexit advantage.