UK FCA Continues Crackdown on Illegally Operating Crypto ATMs

• The FCA and the West Yorkshire Police conducted a series of searches.
• The agency is now collaborating with the National Economic Crime Centre.

In conjunction with the Metropolitan Police, the largest police agency in the United Kingdom, Britain’s main financial regulator, the Financial Conduct Authority (FCA), stated on Wednesday that it has taken additional action against unlicensed crypto ATMs in East London.

The FCA and the West Yorkshire Police conducted a series of searches on various premises in and around Leeds. They were suspected of operating unlicensed crypto ATMs, prompting the statement. Furthermore, the FCA exercised its regulatory oversight. In conjunction with the Metropolitan Police and conducted inspections at a number of locations.

The Regulator stated:

“The FCA has used its powers to inspect several sites in East London suspected of hosting illegally operating crypto ATMs, as it continues its crackdown on the illicit sector.”

Unregulated and High Risk

Crypto products are not presently regulated. And therefore are high risk, stated Mark Steward, Executive Director of Enforcement and Market Supervision at the Financial Conduct Authority (FCA). Anybody who invests in them, he said, must be prepared to lose everything.

According to the FCA, it will plan and organize action with law enforcement partners against operators of unlawful crypto ATMs. Moreover, the agency is now collaborating with the National Economic Crime Centre.

Moreover, the FCA often issues warnings to customers that cryptocurrencies are “high-risk” and “unregulated.” Businesses in the United Kingdom (UK) that provide cryptocurrency services, such as crypto ATM operators, are required to register with the Financial Conduct Authority (FCA). And also adhere to UK money laundering legislation. Coin ATM Radar reports that there are a total of 18 bitcoin ATMs spread around the UK.