Britain’s move to block Binance is boosting rival cryptocurrency exchanges, which have reported a surge in new users in the country recently.
The Financial Conduct Authority recently announced a crackdown on Binance, the world’s top crypto exchange by trading volume, restricting the company from carrying out regulated activities in the U.K.
Binance withdrew its application to register as a licensed crypto asset firm in the U.K. in May due to not meeting anti-money laundering requirements, the markets watchdog said.
While Binance is technically allowed to continue offering crypto trading to Brits, it was ordered by regulators to add a notice to its website saying it is not authorized to operate in the U.K.
For its part, Binance said the measures only targeted its U.K. entity, Binance Markets Limited, and would have no impact on services provided in the country by Binance.com.
But following the FCA’s restrictions, Binance has suffered subsequent setbacks in Britain. Customers were temporarily unable to make card withdrawals due to an issue with the U.K.’s Faster Payments system. Meanwhile, the bank Barclays has blocked customers from sending payments to the crypto exchange.
Binance’s woes in the U.K. have been a boon to its rivals, though, some of which have seen user numbers double since the FCA restrictions were announced.