FCA on the trail of crypto exchange companies
As of January 10, 2020, new companies doing crypto-asset business in the UK must be registered with the FCA before doing business.
Where the FCA suspects that companies provide such services without proper registration, the FCA has shown that it will not hesitate to take action. The FCA has already issued warnings against crypto-asset firms which it believes may provide financial services or products in the UK without the proper authorisation. The FCA has issued its latest warning against crypto-asset exchange firm FTX.
Almost all businesses and people offering, promoting or selling financial services or products in the UK must be licensed or registered. The FCA maintains a list of UK companies that appear to be engaged in crypto-asset business that are not registered with the FCA for anti-money laundering purposes.
With further regulatory changes being implemented in the near future, the regulatory landscape that applies to crypto-asset businesses is becoming increasingly complex. Coupled with a more assertive regulator, as the FCA’s latest warning shows, crypto-asset firms will need to carefully navigate changes to the regulatory regime to ensure they remain compliant.