Binance plans services expansion toward the UK amid legal hurdles in the US

Patrick Hillmann of Binance confirmed that Binance exchange is facing huge difficulty to conduct business under the jurisdiction of the US. 

Binance.com is a global crypto trade platform. BinanceUS is an American independent subsidiary of Binance Exchange. Just a few weeks ago, the US Commodity Futures Trading Commission (CFTC) body sued the Binance exchange over unregistered derivatives services in the US and also alleged that Binance never supported any investigation over a subpoena. 

Recently Binance Chief Strategy Officer Patrick Hillmann appeared at the Financial Times’ crypto & digital assets summit and there he talked about the unclear & tough environment of the US for the crypto sector.

Hillmann said that conditions for the crypto companies have not been good for the last 6 months citing unclear regulators’ regulatory approach against this sector. He also hinted toward the United States Securities and Exchange Commission (SEC) vs Coinbase exchange conflict. 

Binance CSO confirmed that the Binance team will do everything to maintain its crypto business and for this Binance will try to secure regulatory approval from the UK’s regulatory body, the financial conduct authority (FCA). 

In early May of this year, the UK government said that it wanted to become a “competitive location for sustainable finance. Binance Exchange showed its interest and confirmed that it will support it. 

Binance CEO Changpeng Zhao (CZ) said that he is happy to see that the UK government & lawmakers are open to talk about proper regulatory clarity. 

Last week #Binance responded to the UK HM Treasury's consultation on the ‘future financial services regulatory regime for cryptoassets’.

Always good to see policy makers openly seek input and suggestions.

Quick thread about our response.

— CZ Binance (@cz_binance) May 2, 2023

In early 2021, Binance suspended services for UK residents following a red flag notice by the UK’s FCA. At the time, the FCA body stated that Binance was not “permitted to undertake any regulated activity.”

Over the past several years, it has been found that the majority of the crypto companies failed to secure regulatory approval from the FCA body citing highly strict rules & standards. On several occasions, many crypto companies alleged that the FCA agency doesn’t want to provide regulatory approval to the crypto companies because they want to prevent crypto exposure in the UK. 

Read also: Spotify fighting against artificial streaming & AI Music