The Financial Conduct Authority (FCA) in a collaboration with West Yorkshire Police’s Digital Intelligence and Investigation Unit, took action against multiple sites around Leeds city for the suspicion of hosting illegally operated crypto ATMs.
Mark Steward, Executive Director of Enforcement and Market Oversight at the FCA, said “Unregistered crypto ATMs operating in the UK are doing so illegally. We will continue to identify and disrupt unregistered crypto businesses operating in the UK.”
Customers can purchase or convert money into crypto assets using crypto ATMs. Operators of Crypto ATMs in the UK must be registered with the FCA and adhere to the UK Money Laundering Regulations. Crypto Asset exchange providers are also required to do so. This includes those that run cryptocurrency ATMs.
However, there are no registered FCA crypto ATM operators. All operators and hosts were previously warned in a letter from the FCA about the legal repercussions of not registering with the FCA.
To stop and take down unlawful Crypto ATMs, the FCA is collaborating with numerous law enforcement agencies, including local police departments. The FCA will examine the evidence obtained during these visits and take additional potential enforcement action into consideration.
“Warning letters were issued requesting the operators cease and desist using the machines and that any breach of regulations would result in an investigation under money-laundering regulations,” Detective Sergeant Lindsey Brants of West Yorkshire Police said in a statement.
Also read: MoonPay Secures UK FCA Registrationfca-registration/
