FCA crypto crackdown brings warning list up to 12,200 firms
UK consumers are no longer financially protected when dealing with crypto exchanges Houbi and KuCoin after they were among 146 new names added to the Financial Conduct Authority’s (FCA) unauthorized firms ‘warning list.’ The list, which the FCA says shows “details of unauthorized firms and individuals that we’re aware of, that aren’t allowed to operate in the UK,” was updated to take into account new regulations that came into effect on Sunday. Under the new rules, firms wanting to promote crypto assets in the UK, regardless of the country they’re headquartered in, must be authorized or registered with the FCA. New promotions must be “clear, fair and not misleading, labeled with prominent risk warnings, and must not inappropriately incentivize people to invest.” According to the FCA, customers dealing with any so-called ‘unauthorized firms’ won’t be covered by the UK’s financial ombudsman or Financial Services Compensation Scheme . A...