The Financial Services and Markets Authority (FSMA) of Belgium has ordered Binance, a major cryptocurrency exchange, to immediately cease offering its services to customers in Belgium.
The regulator found that Binance was offering exchange services and custody wallet services involving virtual currencies and legal currencies from countries outside the European Economic Area, which is a violation of the FSMA’s prohibition.
The FSMA’s order explicitly directs Binance to discontinue offering or providing any such services within Belgium without any delay. The regulator’s decision to crack down on Binance in Belgium adds to the mounting regulatory challenges faced by the exchange.
Binance has been facing scrutiny and legal battles on multiple fronts, including allegations from the U.S. Securities and Exchange Commission (SEC) related to securities law violations.
The exchange’s troubles further escalated as French authorities revealed an ongoing investigation into Binance’s activities.
The recent order from the FSMA follows Binance‘s withdrawal from various European markets within the European Economic Area due to regulatory concerns.
The exchange has already exited markets in countries like the Netherlands and Cyprus, highlighting the increasing pressure faced by Binance from regulatory authorities.
The FSMA’s order is a significant setback for Binance, and it is likely to have a chilling effect on the exchange’s operations in other European countries. The order also raises questions about the future of Binance’s business in the region.
