UK’s hugely popular cryptocurrency exchange Binance has been caught by the UK’s financial authority, according to a report by news agency Reuters, causing a shock to the price of bitcoin. In a notice issued on Friday, the UK Financial Conduct Authority (FCA) stated that Binance cannot conduct any regulated activity in the UK and warned citizens in the country about the platform, the report said. asked to stay Let us tell you that not only the UK but many other countries including the US are keeping an eye on the way Binance works.
The recent concerns expressed by the US authority on Binance led to a drop in the price of bitcoin and now, preparations to take over Binance by the UK have also affected the price of bitcoin. The report states that the price of bitcoin saw a drop of 1.8% since this news surfaced and the price of this most popular coin has fallen by 18% in the past 13 days. Till the time of writing the news, the price of bitcoin in India was running around Rs 26 lakh.
The move by the FCA follows concerns raised by financial authorities around the world about the way Binance operates. These officials suspect that the exchange may be used for money laundering and some other illegal activities and may also pose a risk to customers.
A spokesman for the authority said that Binance, one of the world’s largest crypto exchanges, withdrew an FCA registration application last month that also mentioned anti-money laundering regulations, the report said. However, he declined to explain why the company did this.