September 24, 2022

Britain’s top financial regulator, the Financial Conduct Authority (FCA), has issued a warning about cryptocurrency exchange FTX operating in the UK without authorization. “Almost all firms and individuals offering, promoting or selling financial services or products in the UK must be authorized or registered by us,” the regulator said.

FCA warns about operating FTX without permission

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The UK Financial Conduct Authority (FCA) on Friday published a warning on its website regarding crypto exchange FTX. Regulator Detailed:

We believe this firm may provide financial services or products in the UK without our authorization.

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The FCA explained that FTX is not authorized, but is targeting investors in UK firms carrying out specific crypto asset activities in the UK, requiring them to comply with the revised “Money Laundering, Terrorist Financing and Money Transfer (Information on Payer) Regulations”. should do. Register with the FCA.

“You won’t have access to the Financial Ombudsman service or be protected by the Financial Services Compensation Scheme (FSCS), so you’re unlikely to get your money back if things go wrong,” the financial regulator warned.

Almost all firms and individuals offering, promoting or selling financial services or products in the UK must be authorized or registered by us.

FTX is trying to expand its operations in Europe. The company founded FTX Europe in March and says it has Safe Approval from the Cyprus Securities and Exchange Commission (CySEC).

In May, the UK government outlined its plans to support crypto adoption and reaffirmed its commitment to regulating stablecoins.

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Rishi Sunak, former Chancellor of the Exchequer, said in April: “It is my ambition to make the UK a global hub for crypto asset technology, and the measures we outlined today will help ensure that firms invest in it.” country to innovate and scale.” His former colleague, Glenn said similarly: “We want this country to become a global hub – the best place in the world for crypto-companies to start and scale.” However, the government’s crypto plans may change under new prime minister Liz Truss.

What do you think about the FCA warning about crypto exchange FTX? Let us know in the comments section below.

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