The problems Binance is facing in the UK don’t seem entirely over yet
Financial giant Barclays said yesterday the bank will no longer allow its customers to make direct loan and debit payments to their Binance accounts. The bank said it suspended Binance services following a notice from the Financial Conduct Authority, FCA. Barclays, currently one of the UK’s leading banking institutions, added that it did so to keep its clients’ funds safe.
The bank sent their customers a text stating: “Since you made a payment to Binance this year, we wanted to let you know that we are suspending payments to you by credit / debit card until further notice. This is to help keep your money safe. For more information, please search FCA Binance online. We apologize for any interruptions this may cause you. “
When the decision was made, a number of angry users complained as many of them went on social media to protest the so-called “Barclays decision to monitor how users spend their money”.
Some even claimed that they would close their accounts at the bank. After the outcry, an unnamed bank official responded that the bank’s purpose was to prioritize the safety of clients’ funds and further indicated that the bank would continuously review its position regarding restrictions on its clients. The spokesman also made it clear that the ban did not affect the withdrawal of funds from Binance.
“This promotion does not affect the ability for customers to withdraw money from Binance. The decision was made after the FCA warned consumers. “
Last month, the FCA issued a warning to consumers stating that Binance had been banned from doing business in the country due to a lack of proper license. Although only Binance Markets Limited, a Binance Group company, was banned, the regulator’s decision had an impact on all activities under the Binance umbrella.
The financial regulator has a reputation for running rigorous pre-approval verification protocols that Binance appears to have failed to adhere to. The cryptocurrency company has insisted that only Binance Markets Limited was affected by the ban and that the order did not prevent UK users from trading on the Binance website. There is a general feeling that the UK government has decided to tighten the compliance nuts even further.