The Financial Conduct Authority (FCA) of the United Kingdom has commenced enforcement procedures against unregistered operators of cryptocurrency ATMs in the region.
In over 80 countries, there are around 38,450 ATMs for direct withdrawal from cryptocurrency to cash. According to Coin ATM Radar, 28 ATMs have been deployed in the United Kingdom.
According to the FCA, none of the ATMs functioning in the country is lawful since they do not comply with the regulatory guidelines.
The regulatory body stated that it has previously advised unlawful cryptocurrency ATM operators to cease operations or risk facing legal action.
The FCA announced a partnership with the West Yorkshire Police Intelligence section on February 14 to identify and disrupt the operations of all unlawful crypto operators in the region.
We will continue to identify and disrupt unregistered #crypto businesses operating in the UK. https://t.co/ctaqQIJcAG
— Financial Conduct Authority (@TheFCA) February 14, 2023
The coordinated effort determined the locations of unauthorised cryptocurrency ATMs in West Yorkshire. The ATM operators will be investigated under money laundering laws.
According to FCA official Mark Steward, U.K. crypto firms must register with the FCA for anti-money laundering purposes since the agency will continue to discover and destroy unlawful crypto operations.
As stated by FCA, crypto assets are high-risk investments that must be regulated similarly to traditional markets. It warned that crypto businesses violating its financial marketing rules might face up to two years in jail.
The chairman of the FCA, Ashley Alder, also warned that his administration would be severe on crypto businesses in the U.K because many companies intentionally support money laundering.
