Tory peer and former minister Lord Vasey of Didcot has joined the advisory board of crypto exchange Binance, which has come under repeated scrutiny from UK regulators.
Vaizey’s appointment is part of a broader plan by the world’s largest crypto-asset exchange to bring 11 people to its new global advisory board. The company hopes to improve relations with international regulators.
Vazi served as Culture Secretary under former Prime Minister David Cameron before becoming a member of the House of Representatives in 2020.
Vaizey said the global advisory board will “support the healthy development of the global blockchain industry.”
Vaizey added: “Binance cooperates with regulators around the world, as demonstrated by its registrations and licenses obtained in various jurisdictions.”
The UK financial regulator has frequently raised concerns about Binance’s operations in the UK. Financial Conduct Authority (FCA) banned the company from conducting regulated activities in the UK in 2021 following the introduction of tougher consumer protection measures.
Binance was able to continue trading in the UK thanks to a deal with FCA-regulated London-based Paysafe. FCA expressed concern about this dealwarning consumers that it did not believe Binance could be “effectively monitored”, although the regulator had “limited powers to object to arrangements of this nature”.
The FCA takes a strict stance on crypto-asset trading across the board, regularly warning the public about the risk of losing money.
Binance, which is the world’s largest crypto-asset exchange, was used as an example of the FCA’s concerns about the risks associated with “global reach of crypto“. FCA chief executive Nikhil Rathi has warned that multinational companies could allow unregulated crypto to be traded in the UK from offshore.
Binance has come under fire from international regulators for its policies regarding Russian sanctions. The company refused to impose a complete ban on Russian and Belarusian accounts, despite external pressure.
Tory peer Lord Vasey takes on role as adviser to Binance amid FCA scrutiny
Source link Tory peer Lord Vasey takes on role as adviser to Binance amid FCA scrutiny