ISLAMABAD: After a ban imposed on the world’s largest crypto exchange company, Binance in the United Kingdom, the UK’s famous bank Barclays has blocked the cards of its customers who are using cryptocurrency. In terms of trading volume, Binance is the world’s leading crypto exchange company.
In June 2021, the Britain’s Financial Conduct Authority ordered Binance to stop its operations in the United Kingdom by 30th June. The Authority also directed Binance to inform its customers about ban on its operations in the UK. This development is being a big blow to Binance, known as the world’s leading crypto exchange company having the largest customers base in Asian countries.
Binance was doing aggressive marketing for the past few months to broaden the scope of its customers base throughout the world. However, UK’s ban on Binance operations in the country would upset the customers of the country residing in Britain. Meanwhile, this development will also affect trading of Bitcoin and Altcoin as thousands of the customers of Binance in the United Kingdom will not be able to use their debt/credit cards to make payment or receive funds from the crypto exchange company.
Barclays bank has issued a statement saying, “With effect from today, Barclays intends to stop credit and debit card payments to Binance,” Barclays said in an email sent to its customers. “This action does not impact on the ability for customers to withdraw funds from Binance.”
The bank has been contacting customers who have used their cards on Binance this year advising them that it is stopping payments until further notice. The decision follows shortly after the U.K. Financial Conduct Authority (FCA) announced that Binance was not allowed to conduct any regulated activities in the country.
Regulators in other markets including Japan and Canada have offered similar warnings in recent weeks, with one in Thailand even threatening criminal charges.