{"id":6910,"date":"2022-02-16T17:28:28","date_gmt":"2022-02-16T17:28:28","guid":{"rendered":"https:\/\/newmoneyreview.com\/?p=6910"},"modified":"2022-03-10T12:19:20","modified_gmt":"2022-03-10T12:19:20","slug":"binance-regains-access-to-key-financial-infrastructure","status":"publish","type":"post","link":"https:\/\/newmoneyreview.com\/index.php\/2022\/02\/16\/binance-regains-access-to-key-financial-infrastructure\/","title":{"rendered":"Binance regains access to key financial infrastructure"},"content":{"rendered":"<p>Cryptocurrency exchange Binance today regained access to the UK&#8217;s <a href=\"https:\/\/www.fasterpayments.org.uk\/\">Faster Payments system<\/a>, which enables 24\/7 real-time sterling payments of up to \u00a31m.<\/p>\n<p>Binance is using UK-based electronic money institution Paysafe for its faster payments access.<\/p>\n<p><a href=\"https:\/\/www.ft.com\/content\/40b5570f-05f9-4f38-b1f4-ecff09b1abfc\">According to the Financial Times<\/a>, Paysafe will have control of anti-money laundering (AML) and compliance checks for Binance customers. Paysafe says Binance will be responsible for collecting the information it needs to run those checks.<\/p>\n<p>Paysafe has its HQ in London but its shares were listed on the New York Stock Exchange in March last year following a merger with special purpose acquisition company (SPAC) Foley Trasimene Acquisition Corp II.<\/p>\n<p>Paysafe ($PSFE) shares have fallen nearly 80% since the merger.<\/p>\n<p><em>Paysafe share price<\/em><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-6911\" src=\"https:\/\/newmoneyreview.com\/wp-content\/uploads\/2022\/02\/paysafe.jpg\" alt=\"\" width=\"1633\" height=\"666\" srcset=\"https:\/\/newmoneyreview.com\/wp-content\/uploads\/2022\/02\/paysafe.jpg 1633w, https:\/\/newmoneyreview.com\/wp-content\/uploads\/2022\/02\/paysafe-300x122.jpg 300w, https:\/\/newmoneyreview.com\/wp-content\/uploads\/2022\/02\/paysafe-1024x418.jpg 1024w, https:\/\/newmoneyreview.com\/wp-content\/uploads\/2022\/02\/paysafe-768x313.jpg 768w, https:\/\/newmoneyreview.com\/wp-content\/uploads\/2022\/02\/paysafe-1536x626.jpg 1536w\" sizes=\"auto, (max-width: 1633px) 100vw, 1633px\" \/><\/p>\n<p>Paysafe has <a href=\"https:\/\/uk.trustpilot.com\/review\/www.paysafe.com\">a rating of 1.8\/5 (Poor) on UK Trustpilot,<\/a> with multiple complaints about poor customer service, accounts being blocked for consumer reasons and clients losing access to their funds.<\/p>\n<p>It&#8217;s only eight months since the UK financial services regulator, the Financial Conduct Authority (FCA), <a href=\"https:\/\/www.fca.org.uk\/news\/news-stories\/consumer-warning-binance-markets-limited-and-binance-group\">issued a consumer warning about Binance<\/a>, saying its trading arm Binance Markets Limited is not permitted to undertake any regulated activity in the UK.<\/p>\n<p>In August, the FCA also <a href=\"https:\/\/www.fca.org.uk\/publication\/supervisory-notices\/first-supervisory-notice-binance-markets-limited.pdf\">published a supervisory notice<\/a> in which it said it was incapable of effectively supervising Binance Markets Limited.<\/p>\n<p>Now, according to the FT, the FCA has said that while it had been notified about the Paysafe deal, its \u201cconcerns about Binance remain\u201d.<\/p>\n<p>The regulator said it had \u201climited powers to object to arrangements of this kind\u201d.<\/p>\n<p>The UK&#8217;s Faster Payments system is regulated by the Payments Services Regulator, which works with the Bank of England and the FCA <a href=\"https:\/\/www.bankofengland.co.uk\/-\/media\/boe\/files\/memoranda-of-understanding\/bank-fca-psr-and-pra-supervision-of-payment-systems.pdf\">under a 2018 memorandum of understanding<\/a> to supervise the UK&#8217;s payments systems.<\/p>\n<p>Last summer, Binance <a href=\"https:\/\/newmoneyreview.com\/index.php\/2021\/06\/27\/binance-crackdown-accelerates\/\">faced a series of bans from regulators in different countries<\/a>, as well as exclusion from the European Central Bank&#8217;s Single Euro Payments Area (SEPA). SEPA allows real-time payments within the eurozone of up to a billion euros.<\/p>\n<p>However, Binance announced on 22 January <a href=\"https:\/\/www.binance.com\/en\/support\/announcement\/6bd5763ecaa04a4a87b2ef0053842207\">it had rejoined SEPA<\/a>, also using Paysafe as its intermediary.<\/p>\n<p>With today&#8217;s announcement that it is rejoining the UK&#8217;s faster payments system, Binance again seems several steps ahead of regulators. <a href=\"https:\/\/newmoneyreview.com\/index.php\/2021\/07\/02\/binance-plays-cat-and-mouse-with-regulators\/\">It&#8217;s a cat-and-mouse game it&#8217;s been playing &#8211; apparently successfully &#8211; for several years<\/a>.<\/p>\n<p>But the dangers for Binance haven&#8217;t gone away. Yesterday <a href=\"https:\/\/www.wsj.com\/articles\/sec-probes-trading-affiliates-of-crypto-giant-binances-u-s-arm-11644948162\">the Wall Street Journal reported<\/a> that Binance is facing new scrutiny from the US Securities and Exchange Commission (SEC) over links between its US exchange and two trading companies owned by Binance&#8217;s CEO, Changpeng Zhao.<\/p>\n<p>In the past, <a href=\"https:\/\/newmoneyreview.com\/index.php\/2021\/08\/04\/did-binance-cover-up-may-19-liquidations\/\">Binance has faced allegations of trading against its own customers, of benefiting from the forced liquidation of leveraged trading positions and of covering up related data<\/a>. Binance is currently involved in lawsuits over such allegations.<\/p>\n<p>Meanwhile, Binance&#8217;s 44-year-old CEO has become one of the most powerful figures in global finance. <a href=\"https:\/\/www.bloomberg.com\/news\/features\/2022-01-09\/binance-ceo-cz-s-net-worth-billionaire-holds-world-s-biggest-crypto-fortune\">Bloomberg said in January<\/a> he has amassed a $96bn fortune from cryptocurrency, placing him 14th in a list of the world&#8217;s richest people.<\/p>\n<p><em><a href=\"http:\/\/eepurl.com\/du6eTr\">Sign up here<\/a> for the New Money Review newsletter<\/em><\/p>\n<p><em><a href=\"https:\/\/blubrry.com\/newmoneyreview\/\">Click here<\/a> for a full list of episodes of the New Money Review podcast: the future of money in 30 minutes<\/em><\/p>\n<p><span style=\"text-decoration: underline;\">Related content from <em>New Money Review<\/em><\/span><\/p>\n<p><a href=\"https:\/\/newmoneyreview.com\/index.php\/2021\/06\/27\/binance-crackdown-accelerates\/\">Binance crackdown accelerates<\/a><\/p>\n<p><a href=\"https:\/\/newmoneyreview.com\/index.php\/2021\/07\/02\/binance-plays-cat-and-mouse-with-regulators\/\">Binance plays cat and mouse with regulators<\/a><\/p>\n<p><a href=\"https:\/\/newmoneyreview.com\/index.php\/2021\/11\/05\/binance-disowns-smart-chain-scams\/\">Binance CEO disowns smart chain scams<\/a><\/p>\n<p><a href=\"https:\/\/newmoneyreview.com\/index.php\/2021\/08\/04\/did-binance-cover-up-may-19-liquidations\/\">Did Binance cover up May 19 liquidations?<\/a><\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Cryptocurrency exchange Binance today regained access to the UK&#8217;s Faster Payments system, which enables 24\/7 real-time sterling payments of up to \u00a31m. Binance is using UK-based electronic money institution Paysafe [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":6516,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1012,1053,1014,1011],"tags":[1461,2110,2111,1184],"class_list":{"0":"post-6910","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-exchange","8":"category-featured-1","9":"category-payment","10":"category-value","11":"tag-binance","12":"tag-faster-payments","13":"tag-paysafe","14":"tag-sepa"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.3 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Binance regains access to key financial 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