UK Regulator Sounds Alarm on Unregistered Cryptocurrency Firms
The Financial Conduct Authority (FCA), the British financial watchdog, has warned 143 cryptocurrency firms operating in the UK without the necessary permissions. The FCA has expressed deep concerns about these unregistered firms operating without oversight, posing potential risks to investors. Notably, prominent cryptocurrency exchange Huobi/HTX and digital asset trading platform KuCoin are among the firms included in this cautionary list.
Here is a glimpse of the list of the unregistered cryptocurrency firms.
|Name||Date added||Date updated|
|CRYSTAL FX (new)||04/10/2023|
|TFX Pro (updated)||04/10/2023|
|Cash in Hands / cashinhands.uk (Clone of FCA Authorised Firm) (updated)||03/10/2023|
|Premier Group Financial Services (Clone of UK registered company) (updated)||03/10/2023|
|GBG Limited / gbglmtd.com (Clone of FCA Authorised Firm) (new)||03/10/2023|
|Fbs Fx Trading (new)||22/09/2023|
|law-financial.com / Lawfinancial.info/ www.lawfinancial.org.uk/ www.lawfinancial.info (Clone of FCA Authorised Firm) (updated)||02/10/2023|
|Asset Flow Traders (new)||02/10/2023|
|BlackRock Advisors (UK) Ltd / BlackRock Investment Management (Clone of FCA Authorised firm) (updated)||02/10/2023|
|CRYPTOASSETFORTRESS / CRYPTOASSETFORTRESSLTD (updated)||02/10/2023|
|Finec Royal Technology (new)||29/09/2023|
|Bit Finance Live Iq (new)||29/09/2023|
|Option Mkts / optionmkts.com (new)||29/09/2023|
|TIO Market Trading/ Tiomarkets-trading.com (Clone of FCA Authorised firm) (new)||28/09/2023|
|Crypto Pips Academy (new)||22/09/2023|
|FX Trading Digital Pay (new)||22/09/2023|
|Coverfast (clone of FCA authorized firm) (updated)||28/09/2023|
|STANDARD ROYAL BANK (new)||28/09/2023|
The FCA underscores the perilous situation for investors dealing with these unregistered entities, emphasizing that legal protections will not cover them. Investors are urged to exercise extreme caution, as the risk of encountering fraudulent activities is significant. Furthermore, in the event of losses, affected investors may find themselves without access to legal assistance.
The FCA’s unexpected inclusion of Huobi/HTX and KuCoin in this list has sent shockwaves through the investor community. Non-compliance with regulations has become a troubling trend among such platforms, resulting in adverse consequences. Experts argue that this announcement may lead to more firms facing difficulties due to increased regulatory scrutiny. These developments underscore the pressing need for more effective regulatory oversight within the volatile cryptocurrency industry.
While the FCA’s approach has garnered criticism from certain quarters, this warning should serve as a wake-up call for regulatory authorities and cryptocurrency firms. It highlights the imperative for improved regulation to safeguard investors while fostering innovation and sustainable growth in the cryptocurrency sector.