The U.K. Financial Conduct Authority (FCA), the country's financial market regulator, has announced that it has shut down 26 illegal crypto ATMs since the beginning of the year. The agency also warned U.K. citizens that they could lose all their money in these machines operating illegally across the country. The regulator said it has inspected 34 locations allegedly hosting crypto ATMs since the start of 2023, with 18 in May and June. - The latest inspections were conducted in collaboration with the South West Regional Organized Crime Unit and the police forces of Greater London, Bedfordshire, and Hertfordshire.
- In a recent incident, a public member paid 1,000 British pounds (~$1,290) into a crypto ATM in Sheffield but could not receive any cryptocurrency or funds back.
- The financial watchdog said that U.K. citizens use a machine operating unlawfully when they use a crypto ATM in the country and could hand their money over to criminals.
- The joint executive director of enforcement and market oversight at the FCA, Steve Smart, also underlined that consumers will not be protected if something goes wrong.
There are currently 40 crypto-related companies registered with the FCA in the U.K. - None of these registered companies has a license to offer ATM services, which means that the operations of all the crypto ATMs in the country are illegal.
|
