UK Crypto FUD
"UK Financial Authority bans Binance" , "Binance banned from advertising and establishing UK based activity" or "“Binance is not permitted to undertake any regulated financial activity” were the top news in Great Britain. Lets clarify from the beginning that the cryptocurrency holders and traders will still be able to use Binance without any restrictions.
This focused FUD was aimed to one of the top crypto exchanges, as the UK financial watchdog ordered to Binance to cease all regulated activities, advertising and the promotion of rapid gains by investing in cryptocurrencies.
The FCA didn't connected Binance to money laundering and the ban measures are set only for the UK based Binance Markets Limited with the note that no other entity in the Binance Group holds any form of authorization for activity in the UK.”
It is understood Binance Markets had applied to be registered with the FCA – a standard requirement for any UK financial entity offering digital assets and exchange services – last month, but recently withdrew its application after meeting uncompromising resistance from the regulator. All records and information relating UK customers must be forwarded to the FCA until Wednesday, the 30th of June.
This ban is strange and unexpected as the FCA gave Binance Markets the clearance to open an establishment in London. This reminds me about the UK ability to deal with crypto and how the UK Police ignored the $3 million Lyfcoin crypto scam
The Lyfcoin project encouraged people to invest in their project for big financial returns. The Lyfcoin project was a massive scam and ponzi scheme where $3,000,000 worth of staking assets went missing. The West Midlands Police had all the evidence of the fraud but decided that no crime happened, showing lack of support for crypto-investors.
Binance strike backs!
Binance reply just confirmed the misleading title of the news, as Binance Markets Limited (BML) is a separate legal entity and that doesn't offer any services on Binance.com official website. UK users can use Binance without any restriction as the ban targets Binance Markets Limited, and contract trading. Contract trading involves speculating the price of an asset whiteout holding the asset. The Financial Conduct Authority (FCA) considers this as illegal. If you understand the difference between Binance and Binance Markets Limited (BML), you will understand that funds are SAFU!
FUD v FOMO - Selling my Coinbase shares
When Binance added the stock and shares pegged tokens, I got sucked by FOMO and HYPE and I bought the Coinbase pegged stock token $COIN !
Coinbase's $COIN was added on NASDAQ at $381 and raised to $429 before starting the downfall. The Binance Stock Tokens are tokens that are pegged to the performance of equites that trade on NASDAQ. I bought 2 $COIN few days after listing, at $339, hoping to see the token bouncing back to listing day values.
I was thinking to sell and reduce the damage when I seen the price dropping under $300. I decided to hold and I felt sorry when $COIN dropped even further and getting closer to $200 than $400. The issue with stocks is that the price will be affected about any external factors ... like a fart!
The UK Financial Conduct Authority (FCA) ban targeted contract trading and derivatives but also considered the stock pegged tokens as illegal. This FUD against innovative crypto made me escape the $COIN dilemma. I considered that $241 was a good value to press the sell button, as the value improved a lot from last week.
The value went down with $2 in only few seconds, and the final deal was made for $239 per $COIN. I Invested $679 at the end of May and sold for $479.52 a month later. The whole deal leaded to a minus $199.5 for this experience.
Was my decision forced by the UK ban? Yes... because until then I was in a 50% 50% dilemma and a HODL based on opportunity, a semi-passive wait for a better price to sell. I totally deserve the damage, as I bought without any research or analysis. What can I say ... buy high and sell low!
Resources:
Join the CakeDeFi revolution and get $30 worth of DeFiChain (DFI)
Amazon author page: PV Mihalache
Quality Faucets: Free-Litecoin , FreeBitcoin & Stakecube
Tier 4 referral system: Horizen (ZEN) & ZCash from PipeFlare & GlobalHive
FreeCryptos Gang: DASH, TRX, ETH, ADA, BNB, LINK, NEO, BTC & LTC
I earn crypto for reading and writing on Publish0x and ReadCash, watching videos on Lbry.tv and surfing online on Brave Browser and Presearch. I use Swapzone for the lowest fee swaps
I'm sorry to hear about the loss from the Coinbase investment. That happens to everyone every now and then. I've definitely had plenty of misfortunes with stocks as well. 😅🙈