The UK Financial Conduct Authority (FCA) appears to have aimed particularly at operators of illegal crypto ATMs. In a joint operation with the Metropolitan Police, the FCA has used its powers to inspect several sites in East London suspected of hosting illegally operating crypto ATMs. The UK regulator continues its crackdown on the illicit crypto sector. This recent action follows the FCA’s inspection of several sites in Leeds in February 2023 suspected of hosting unregistered crypto ATMs.
Crypto ATMs operating without FCA registration are illegal and, as today shows, we will take action to stop this.
Mark Steward, Executive Director of Enforcement and Market Oversight at the FCA
Crypto ATMs allow people to buy or convert money into cryptocurrencies. There are currently no crypto ATM operators registered with the FCA. Cryptoasset exchange providers, which includes Crypto ATM operators, in the UK must be registered with the FCA and comply with the UK Money Laundering Regulations. This includes operators of crypto ATMs.
The FCA has previously warned operators of crypto ATMs in the UK to shut their machines down or face enforcement action. The regulator maintains a list of businesses that it suspects are operating without our authorization.
The FCA is currently working with the UK’s National Economic Crime Centre to plan and coordinate action with law enforcement partners against operators of illegal crypto ATMs. The FCA will review evidence gathered during these visits and consider taking further action where necessary.
