Binance Ordered to Stop All Crypto Services by Belgian Financial Regulator

Belgian Financial Regulator Orders Binance to Cease Virtual Currency Services

The Belgian Financial Services and Markets Authority (FSMA) recently issued an order to the cryptocurrency exchange Binance to cease its virtual currency services in Belgium. This order comes after the FSMA’s investigation into the exchange’s activities in the country, which revealed that Binance was operating without the necessary authorization from the regulator.

The FSMA’s order requires Binance to immediately cease all activities related to virtual currencies in Belgium, including the purchase, sale, exchange, and transfer of digital assets. The regulator also warned that failure to comply with the order could result in criminal sanctions.

Binance has since responded to the order, stating that it is in the process of obtaining the necessary authorization from the FSMA and is committed to complying with all applicable laws and regulations. The exchange also noted that it has already taken steps to ensure that its services are compliant with Belgian law.

This order from the FSMA is an example of the regulator’s increasing scrutiny of the cryptocurrency industry in Belgium. The FSMA has been actively monitoring the sector and has issued several warnings to investors about the risks associated with virtual currencies. The regulator has also taken a number of enforcement actions against exchanges and other entities operating in the country without authorization.

FSMA’s Reasoning for the Order

The Financial Services and Markets Authority (FSMA) of Belgium has ordered Binance to cease its virtual currency services in Belgium due to its lack of authorization to provide such services in the country. The FSMA has also warned Belgian citizens of the risks associated with investing in virtual currencies.

The FSMA has stated that Binance is not authorized to provide services related to virtual currencies in Belgium, and that the company has failed to take the necessary steps to obtain such authorization. The FSMA has also noted that virtual currencies are highly speculative and that their value can fluctuate significantly, making them a risky investment.

The FSMA has also warned Belgian citizens that virtual currencies are not regulated in Belgium, and that there is no legal protection for investors in the event of a loss. The FSMA has urged Belgian citizens to exercise caution when investing in virtual currencies.

Binance’s Response to the Order

Binance has responded to the order by stating that it will comply with the FSMA’s request and cease offering virtual currency services in Belgium.

Binance also noted that it is working to obtain the necessary authorization to resume services in the country.