UK Crypto Firms Are Withdrawing FCA Registration Applications
- A total of 64 crypto companies have taken their applications back.
Cryptocurrency companies are dropping the United Kingdom as one of the preferred jurisdictions as the number of withdrawals of the applications for regulatory registration has increased significantly, Reuters reported.
The Financial Conduct Authority (FCA) mandated the registration of crypto businesses, but the approval process turned out to be extremely slow. Out of many submitted applications, the British regulator only gave the green light to six crypto firms that include the Winklevoss twins’ Gemini and Arca.
In addition, the sluggish process forced the regulator to increase temporary relief to crypto companies until next March.
However, several crypto exchanges are withdrawing their applications and preparing to exit from the country. An FCA spokesperson revealed that a total of 64 crypto companies have withdrawn their applications, which is up from 51 from early June.
Chasing the Giant
The FCA itself is turning hostile towards the crypto companies. The regulator last week issued a warning against Binance, flagging that the cryptocurrency Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading. An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading. Read this Term giant is illegally operating in the country.
Interestingly, Binance withdrew its registration application with the FCA in mid-May, according to the spokesperson, which might have prompted the warning.
A Binance spokesperson told the publication that the exchange giant worked closely with the British regulator to further the security and sustainability in the industry while providing the best services and protection to our users, but that certainly did not help it to gain UK operations.
Founded in 2017, Binance turned out to be a crypto giant with services ranging from spot and derivatives trading to mining and lending. Recently, Japan’s top financial market regulator flagged the exchange for illegally operating in the country.
Meanwhile, the FCA seems to be launching its crackdown on crypto companies. Recently, its head of enforcement revealed that 111 unregistered crypto companies are operating in the country. Interestingly, all of this is happening when demand for crypto is skyrocketing in the country as the number of crypto-holding adults jumped to 2.3 million.
Cryptocurrency companies are dropping the United Kingdom as one of the preferred jurisdictions as the number of withdrawals of the applications for regulatory registration has increased significantly, Reuters reported.
The Financial Conduct Authority (FCA) mandated the registration of crypto businesses, but the approval process turned out to be extremely slow. Out of many submitted applications, the British regulator only gave the green light to six crypto firms that include the Winklevoss twins’ Gemini and Arca.
In addition, the sluggish process forced the regulator to increase temporary relief to crypto companies until next March.
However, several crypto exchanges are withdrawing their applications and preparing to exit from the country. An FCA spokesperson revealed that a total of 64 crypto companies have withdrawn their applications, which is up from 51 from early June.
Chasing the Giant
The FCA itself is turning hostile towards the crypto companies. The regulator last week issued a warning against Binance, flagging that the cryptocurrency Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading. An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectively relevant with real-time pricing.Depending upon where you reside, an exchange may be referred to as a bourse or a share exchange while, as a whole, exchanges are present within the majority of countries. Who is Listed on an Exchange?As trading continues to transition more to electronic exchanges, transactions become more dispersed through varying exchanges. This in turn has caused a surge in the implementation of trading algorithms and high-frequency trading applications. In order for a company to be listed on a stock exchange for example, a company must divulge information such as minimum capital requirements, audited earnings reports, and financial reports.Not all exchanges are created equally, with some outperforming other exchanges significantly. The most high-profile exchanges to date include the New York Stock Exchange (NYSE), the Tokyo Stock Exchange (TSE), the London Stock Exchange (LSE), and the Nasdaq. Outside of trading, a stock exchange may be used by companies aiming to raise capital, this is most commonly seen in the form of initial public offerings (IPOs).Exchanges can now handle other asset classes, given the rise of cryptocurrencies as a more popularized form of trading. Read this Term giant is illegally operating in the country.
Interestingly, Binance withdrew its registration application with the FCA in mid-May, according to the spokesperson, which might have prompted the warning.
A Binance spokesperson told the publication that the exchange giant worked closely with the British regulator to further the security and sustainability in the industry while providing the best services and protection to our users, but that certainly did not help it to gain UK operations.
Founded in 2017, Binance turned out to be a crypto giant with services ranging from spot and derivatives trading to mining and lending. Recently, Japan’s top financial market regulator flagged the exchange for illegally operating in the country.
Meanwhile, the FCA seems to be launching its crackdown on crypto companies. Recently, its head of enforcement revealed that 111 unregistered crypto companies are operating in the country. Interestingly, all of this is happening when demand for crypto is skyrocketing in the country as the number of crypto-holding adults jumped to 2.3 million.