Solana’s Largest DeFi Protocol Restricts Access to UK Users

0
3056

 ​

Marinade Finance, the largest decentralized finance (DeFi) protocol on the Solana blockchain, has recently initiated a process to block access for users based in the UK.

This decision follows a similar action by Orca Finance and is responding to “compliance concerns” related to the Financial Conduct Authority (FCA) regulations.

Marinade Finance Blocks UK Users

Marinade Finance, the largest DeFi protocol on the Solana blockchain, has begun blocking access to users in the region, a restriction coming in response to the recent regulations from the FCA.

The landing page for UK users attempting to access Marinade Finance now displays a warning message. However, it clarifies that UK clients can still perform specific actions, stating, “Users may withdraw liquidity, claim delayed tickets, or delay unstake via our SDK.”

This action by Marinade is not a standalone occurrence. Orca Finance, known to be the biggest decentralized exchange on Solana, has also put geo-blocking measures in place for users in the UK.

The new restriction is uncommon on centralized platforms due to geo-restrictions infrequency and the absence of know-your-customer (KYC) checks on decentralized protocols.

Marinade Finance currently boasts a substantial presence on the Solana blockchain, with a total value locked (TVL) of $248 million across its native and liquid staking products. The Solana blockchain holds approximately $350 million in total assets, according to data from DefiLlama.

Marinade Finance also offers competitive annual yields, including 8.15% for native staking and 7.7% for liquid staking, with native staking introduced earlier this year.

The Implications of FCA’s Regulations on Crypto in the UK

The latest guidelines by the Financial Conduct Authority (FCA) have garnered significant attention within the crypto sector. The new rules aim to regulate promotional campaigns of crypto-based products and services. However, these changes have unintentionally caused multiple entities to reassess their business strategies in the region.

The move by Marinade Finance reflects broader trends in the crypto industry’s response to FCA regulations. Centralized crypto platforms such as Bybit and PayPal have withdrawn from the UK market. Luno has gone so far as to block some customer investments in crypto. Binance, one of the world’s largest cryptocurrency exchanges, has temporarily stopped accepting new UK customers.

SPECIAL OFFER (Sponsored)

Binance Free $100 (Exclusive): Use this link to register and receive $100 free and 10% off fees on Binance Futures first month (terms).

PrimeXBT Special Offer: Use this link to register & enter CRYPTOPOTATO50 code to receive up to $7,000 on your deposits.

You Might Also Like:

About The Author

Wayne Jones
More posts by this author

Wayne is a dynamic part-time trader with an impressive eye for detail. His passion for understanding financial systems has led to an intriguing interest in blockchain technology, and he enjoys exploring and writing about cryptocurrencies. Possessing a keen intellect and diligent work ethic, he stays up-to-date on the latest industry trends, regularly sharing his insights in articles and professional presentations.

 

Post Disclaimer

The information provided in our posts or blogs are for educational and informative purposes only. We do not guarantee the accuracy, completeness or suitability of the information. We do not provide financial or investment advice. Readers should always seek professional advice before making any financial or investment decisions based on the information provided in our content. We will not be held responsible for any losses, damages or consequences that may arise from relying on the information provided in our content.