Binance, one of the world's largest cryptocurrency exchanges, has been facing significant regulatory challenges in the United Kingdom. In October 2023, the UK's Financial Conduct Authority (FCA) expanded financial promotion rules to include crypto assets, requiring firms to obtain FCA approval for marketing crypto services. In response, Binance partnered with Rebuildingsociety.com, an FCA-authorized firm, to comply with these regulations. However, the FCA subsequently prohibited Rebuildingsociety.com from promoting Binance's services, leading Binance to halt the onboarding of new UK customers.

Efforts to reestablish a UK presence have been met with further obstacles. Reports from February 2024 indicate that at least three FCA-authorized firms declined to partner with Binance, influenced by the FCA's concerns. Despite these setbacks, Binance stated that it continues to have productive discussions with potential approvers and remains confident about providing a positive update soon.

These challenges in the UK are part of broader global regulatory scrutiny faced by Binance. In June 2023, Binance canceled its UK registration amid heightened regulatory oversight. Additionally, the exchange has encountered legal issues in the United States, including a $4.3 billion settlement with the U.S. Department of Justice over violations of anti-money laundering requirements, leading to the resignation of its founder, Changpeng Zhao.

The UK's crypto industry has been advocating for comprehensive regulation to boost investor confidence and maintain the country's leading status in financial services. In November 2024, City Minister Tulip Siddiq announced plans for a full regulatory framework to be introduced early next year, aiming to cover areas like stablecoins and staking. This move is intended to position the UK as a global hub for crypto asset technologies post-Brexit.