UK financial watchdog extends registration deadline for some crypto firms
Categories: Crypto News UK
The Financial Conduct Authority, the United Kingdom’s financial regulator, has extended the temporary registration status of some firms offering crypto services beyond its Friday deadline. In a Tuesday statement, The Financial Conduct Authority said “a small number of firms” in the crypto space will continue to have temporary registration status in the United Kingdom “where it is strictly necessary.” The financial regulator reiterated that temporarily exempting the crypto firms from its previously announced Friday deadline “does not mean that the Financial Conduct Authority has assessed them as fit and proper” but included situations in which a company “may be pursuing an appeal” or was still in the process of winding down operations.
The Financial Conduct Authority has approved registrations from 33 crypto companies since August 2020 in compliance with the U.K. laws covering Anti-Money Laundering, Combating the Financing of Terrorism and handling transfers of funds. In addition, the financial regulator granted temporary registration status to several companies until Friday, at which time the FCA was expected to reach a decision on the validity of their applications.
As of last Friday, there were 12 firms permitted to “carry out crypto asset activities” under this The Financial Conduct Authority temporary status, including CEX.IO, Revolut and Copper. The financial watchdog did not specify a new deadline for the firm’s registration to be approved or rejected but previously extended the review period from July 2021 to March 2022.
In a Tuesday explanation, The Financial Conduct Authority said "few firms" in the crypto space will keep on having brief enlistment status in the Unified Realm "where it is totally essential." The monetary controller emphasized that briefly excluding the crypto firms from its recently reported Friday cutoff time "doesn't imply that the The Financial Conduct Authority has evaluated them as fit and legitimate" yet remembered circumstances for which an organization "might be seeking after an allure" or was still during the time spent slowing down tasks.
"Just firms that are enrolled with us or on our rundown of firms with brief enlistment can keep exchanging," said The Financial Conduct Authority. "Different firms probably stopped exchanging from 10 January 2021. Firms that poor person stopped exchanging are in danger of being dependent upon The Financial Conduct Authority crook and common requirement powers."
Numerous crypto firms pulled out FCA enrollment applications following the controller's appearing to be take action against AML and CFT consistence in 2020. On Walk 13, The Financial Conduct Authority requested Bitcoin ATM administrators to "shut down or face further activity," refering to the absence of administrative design and the unpredictability of specific resources notwithstanding AML concerns.