Banks in the United Kingdom continue cracking down on Binance cryptocurrency exchange, with banking giant HSBC reportedly becoming the latest bank to cut payment channels to the platform.
According to an alleged announcement on the service suspension, HSBC UK made the decision “due to concerns about possible risks” to its customers. “We take our duty as a responsible lender seriously and want to do everything we can to protect you. We’ll continue to monitor the situation and let you know if anything changes,” the bank reportedly wrote.
BREAKING: HSBC, the 6th largest bank in the world, has now BANNED all payments towards Binance Exchange. pic.twitter.com/GGHLv0Czcd
— Mr. Whale (@CryptoWhale) August 2, 2021
HSBC UK cited a recent warning on Binance issued in late June by the U.K. Financial Conduct Authority (FCA), raising concerns on the regulatory status of Binance in the country. “This also explains some of the risks of investing in crypto assets should this go wrong,” the bank noted. Binance representatives previously told Cointelegraph that the FCA’s warning only applied to Binance Markets Limited, a separate legal entity from the main global exchange that operates through Binance.com.
HSBC and Binance did not immediately respond to Cointelegraph’s request for comment.
This story is developing and will be updated.
Ray Schuetz received a Masters Degree in computer science from The University of Texas (Austin). Ray has been working as a full-time blockchain consultant for the past 3 years. In his spare time, Ray enjoys writing for EthereumCryptocurrency.com and other crypto news publications.