The Financial Conduct Authority (FCA) of the United Kingdom has added the Poloniex exchange to its warning list after it suffered a series of hacks in the past two months, which resulted in a total loss of approximately $100 million.
The agency published news on its official website and told citizens to avoid dealing with Poloniex as it is “not authorised by us and may be targeting people in the UK.”
The FCA has not given any specific reason for putting Poloniex on the warning list, but it clarified that firms or individuals cannot promote financial services in the country without proper authorization. The agency also stated that financial law protections do not apply when dealing with such entities.
The British regulatory agency is being stricter with crypto service provider companies, with it only approving 38 out of 291 applicant companies that are seeking registration to operate in the country.
The agency had previously added over 140 crypto companies to the warning list, including crypto exchanges HTX and KuCoin.
Poloniex is registered in the Seychelles and owned by the prominent crypto entrepreneur Justin Sun, who also owns Tron, BitTorrent, and crypto exchange HTX (formerly Huobi). It suffered a major hack of nearly $60 million on November 10, which exceeded approximately $100 million.
