Cryptocurrency exchange Binance is reported to be preparing to apply for a licence from Britain's Financial Conduct Authority (FCA).

Cointelegraph reported on Aug. 17 that Binance is pushing for approval in line with the rollout schedule for new UK digital asset regulations and is reviewing a plan to reintroduce some services for UK residents in 2027.

The move comes as Binance overhauls its UK business. Binance Markets Limited, its UK entity, was notified by the FCA in June 2021 that it could not conduct regulated activities in Britain.

Since then, the UK regulatory environment has become stricter. Binance previously said it would halt new user sign-ups in response to UK financial promotion rules in 2023. The current push for approval is seen as an attempt to re-enter the formal regulatory system under a new regime, rather than maintain services indirectly as before. Binance did not mention any detailed plans related to this.

Britain's new cryptocurrency regulatory framework is set to take effect on Oct. 25, 2027, and related companies will be able to submit authorisation applications from September to Feb. 28, 2027. That raises the likelihood that Binance will proceed with the application process within that window.

Regulators plan to raise oversight of cryptocurrency operators to a level similar to that applied to traditional financial firms. David Geale (데이비드 질), the FCA's executive director for payments and digital finance, explained that the new framework focuses on applying standards similar to those for other UK financial services providers to crypto companies as well.

The market is viewing Binance's push for UK authorisation as a test case for its regulatory adaptation strategy. Britain is a major financial market, and FCA registration directly affects an exchange's external credibility and the scope of its services. With the provision of regulated services blocked in the UK for years, whether Binance secures approval could also become a significant variable for its operations in Europe.

Key points to watch are the timing of an actual application and its scope. While time remains to prepare before the new system takes effect, the main issue is which services Binance will reopen first and to what extent UK authorities will allow them. If Binance meets regulatory requirements and clears the FCA hurdle, its UK business, effectively constrained since 2021, could enter an expansion phase again.