Poland’s UKNF Reminds Crypto Market Is Not Regulated, Mentions Binance

The Polish Financial Supervision Authority (UKNF) issued a warning on Wednesday about Binance, a major 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 effectiv 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 effectiv Read this Term, in the wake of the recent strain of announcements made by other regulators globally. According to the press release, the watchdog noted that as Binance Markets Limited is a Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term exchange, such a market “is neither regulated nor subject to supervision” in the country.

“However, because of the protection of financial market participants and warnings of foreign regulators, the UKNF Office recommends special caution when using the services of Binance group entities and when trading cryptocurrencies and crypto assets, as it may involve a significant risk that may result in the loss of funds,” the authority noted in the warning. Furthermore, the press release cites alerts issued in other countries regarding Binance’s activities, such as the ones published by the Federal Financial Supervisory Authority (BaFin), the Financial Conduct Authority (FCA), the Cayman Islands Monetary Authority (CIMA), and the Securities and Exchange Commission, Thailand (SEC).

Early this year, the Polish financial watchdog published a document where it asks people to exercise caution when buying and trading cryptocurrencies in the context of a campaign launched by the UKNF named 'Invest Consciously!'

No Comments on Further Legal Actions

However, the authority did not comment on whether it will follow the same path as other regulators worldwide or take legal actions against the cryptocurrency exchange. Still, Binance continues to face tough times regarding regulatory affairs as more countries keep issuing alerts on their activities. The Monetary Authority of Singapore (MAS) announced last week that it would follow the same path as other financial regulators globally about their respective stance towards the firm.

Moreover, in South Korea, the crypto firm is required to register its business before September 24, which is the deadline imposed by the South Korean government for crypto-related companies to obtain licenses under the revised Act on Reporting and Using Specified Financial Transaction Information.