Binance suspends popular fiat ramp for U.K. customers amid regulatory crackdown
Faster Payments is no longer an option for Binance customers in Britain amid increasing regulatory pressure.
Binance’s U.K. customers are currently unable t use the popular local payments provider, Faster Payments, to withdraw British pounds (GBP) from the exchange.
On Monday, June 28, a notice on the Binance website declared that GBP withdrawals via Faster Payments had been “suspended for maintenance,” according to the Financial Times.
Faster Payments is a payment provider used by major banks to process near-instant payments. It has become one of the preferred channels for moving fiat currencies to and from the Binance exchange.
According to the report, U.K. users can still use traditional methods such as bank cards to move money from the exchange. However, the exchange acknowledged that the suspension of Faster Payments presents a significant hurdle.
The move follows a June 27 order from the U.K.’s Financial Conduct Authority (FCA) demanding Binance cease all regulated activities in the country following a review of its operations.
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“Binance Markets Limited is not permitted to undertake any regulated activity in the UK,” said the FCA’s letter, noting that no other entity in the Binance Group holds any of the necessary permits to operate in the United Kingdom.
On June 28, the exchange countered that Binance Markets Limited is “a separate legal entity and does not offer any products or services via the Binance.com website,” adding: “The FCA UK notice has no direct impact on the services provided on Binance.com.”
Binance launched its U.K. trading platform for institutional and retail investors under the supervision of the FCA in June 2020.