FCA: Cryptocurrency Firms Are Not Following The Rules

In the UK, the FCA, the Financial Conduct Authority, said, "Cryptocurrency firms are not following the rules."

In the UK, the financial services regulator FCA announced that many cryptocurrency companies do not meet various criteria, such as preventing money laundering, so many cryptocurrency companies have withdrawn their applications to the institution. Firms that offer cryptocurrency services are required to register with the FCA. Previously, the deadline for registration was 9 July. It has been reported that this date has been extended to March 31, 2022. FCA said, "A significant proportion of firms do not meet money laundering rules and withdraw their applications. With the extension of the registration period, companies will be able to continue their operations, while FCA will continue its assessments." It was stated that only 5 crypto companies have applied to the FCA to date, and there are dozens of applications on the temporary registration list. There are concerns that cryptocurrencies such as Bitcoin are used in illegal activities such as money laundering and cyber attacks, as they are not regulated and the identity of the person making the transactions is unknown. The FCA warned in January that investing in cryptocurrencies poses a high risk.