Number of UK crypto firms operating under FCA temporary registration status drops

The number of firms permitted to offer crypto services to U.K. residents under temporary registration status from the Financial Conduct Authority has dropped from 12 to 5. 

According to a Thursday update to its list of ‘Cryptoasset firms with Temporary Registration’, the United Kingdom’s financial regulator named CEX.IO, Revolut, Copper, Globalblock, and Moneybrain as companies in the crypto space allowed to operate in the country in addition to the 34 registered cryptoasset firms the FCA approved since August 2020. The FCA said on March 30 that it would be extending the temporary registration status for “a small number of firms where it is strictly necessary,” which included 12 companies at the time.

In the United Kingdom, firms permitted to “carry out crypto asset activities” must either be registered with the FCA or have been granted temporary status – originally set to expire in March 2022 – following a crackdown on AML and CFT compliance. In the last year, the FCA has ordered Binance Markets Limited to halt “any regulated activity in the U.K.” and issued a “shut down or face further action” order for local Bitcoin ATM operators. Many crypto firms withdrew their registration applications entirely.

The change came following a Monday announcement in which HM Treasury said it would amend its existing regulatory framework to incorporate stablecoins used as a means of payment. According to the FCA’s strategy for the next three years, it will work with the U.K. government to develop a regulatory approach to cryptoassets including stablecoins as well as crack down on “problem firms” under its purview.

Related: FCA reiterates power to ‘suspend or cancel’ crypto firms’ registrations following Bifinity concerns

It’s unclear how long CEX.IO, Revolut, Copper, Globalblock, and Moneybrain will continue to be allowed to operate under this temporary registration status. The FCA 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.

All Dutch and English crypto news!

European families see crypto as a tool to increase savings: Survey

While there are risks associated with crypto investing, some see it as a way to boost their family savings, a recent study commissioned by crypto...

UST aftermath: Is there any future for algorithmic stablecoins?

TerraUSD (UST) is an algorithmic stablecoin that is pegged at $1.00. But, on the evening of May 19, it was trading for $0.083. This isn't supposed...

WEF 2022: Blockchain and digitization to take center stage at Davos

The annual meeting of the World Economic Forum (WEF) is scheduled to take place from May 22-26,  marking the first in-person WEF global leadership event...

G7 landen roepen om haast voor wetgeving crypto-assets

De Groep van Zeven (G7), bestaande uit Canada, Frankrijk, Duitsland, Italië, Japan, het Verenigd Koninkrijk en de Verenigde Staten, wil haast bij de regulering crypto-assets....

Beste exchanges

Koop je crypto bij Bitvavo